The Tablet Device Market Expansion Continues in Second Quarter

The Tablet Device market expansion continues in Second Quarter of this year.   Apple continues their market dominance by shipping 17 million iPads during the second quarter, beating its all-time high and leading a quarter during which Samsung, Amazon and Asus also saw tablet shipments rise.  The remaining year is expected to only get even better in overall tablet sales.

The strong second quarter for the tablet market was attributed to Apple iPad record sales, IDC stated in an Aug. 2 preliminary report.   IDC estimated that 25 million tablets shipped during the quarter, up from 18.7 million during the first quarter and 15 million a year ago.

If the numbers are any indication of the overall prospects for the Tablet market, Apple is estimated to have shipped 17 million iPads during the quarter, beating even its holiday-timed high of 15.4 million units during the fourth quarter of 2011!

“The vast majority of consumers continue to favor the iPad over competitors,” Tom Mainelli, an IDC research director, said in an Aug. 2 statement, “and Apple is seeing increasingly strong interest in the device from vertical markets—especially education.”

It is interesting to hear that the iPad is getting well entrenched in the education market.  For example, during Apple’s second-quarter earnings call, Chief Financial Officer Peter Oppenheimer, talking up Apple’s “new all-time quarterly record” for iPad sales, the iPad is enjoying in schools.  A school district in Texas, he said, had purchased 11,000 iPads, one for each teacher and student.”

“Some teachers will use a flipped-classroom concept,”  Oppenheimer explained, “putting their lessons and resources online, where students can access them anytime on their iPads.”

This tablet growth was not exclusive to Apple.  For example, Samsung is in second place, shipped 2.4 million units during the quarter, up from 1.1 million a year ago. Amazon, after first-quarter sales plummeted from its holiday high, rallied during the second quarter, shipping 1.2 million units, despite shipping only within the United States.  The Fourth-place Asus also enjoyed relatively strong shipments, which at 855,454 units, was more than double the 397,048 it shipped a year ago.

Interesting to see only fifth-place Acer experienced a dip in sales, shipping 385,458 units, compared with 629,222 units a year ago.  Not sure what has attributed to their contraction for the quarter.

Additionally, IDC made note that sales of the Asus-made, Google branded Nexus 7, which Google introduced at its I/O developer’s conference in June, are not counted in their totals, as the tablet officially began shipping during the third quarter.

While these second quarter numbers have everyone confident in the tablet ecosystem, the second half of 2012 is expected to continue this remarkable market expansion.

In looking at the end of the year into early 2013, we can also expect a robust market for Microsoft Windows 8 and Windows RT-based tablets starting in late October.

No doubt competition is great for everyone from publishers, consumers, businesses and students alike.  But it is interesting to see how the overall consumer market reacts into next two quarters.  Tablet buyers will have many options this holiday season.  Analysts will be watching if consumers confused by the differences between Amazon and Google versions of Android, or Windows 8 and Windows RT, may ultimately decide to purchase the market leader Apple and the iPad.

Regarding the Corporate Market for Tablets, enterprise BYOD is becoming an acceptable corporate strategy, and businesses have continued to embrace it.

So, as IT budgets have been opened to buying iPads, and people find more apps that make the iPad actually useful as a business tool, it’s easy to see why the latest iPad is finding a home at work.

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