Friday, October 26, 2012

Reuters: Most Read Articles: Tablet Wars: How does AAPL's iPad Mini Stack-up?

Reuters: Most Read Articles
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Tablet Wars: How does AAPL's iPad Mini Stack-up?
Oct 26th 2012, 12:31

* Reuters is not responsible for the content in this press release.

Fri Oct 26, 2012 8:31am EDT

PrintMedia-Data UG / Tablet Wars: How does AAPL's iPad Mini Stack-up? . Processed and transmitted by Thomson Reuters ONE. The issuer is solely responsible for the content of this announcement.

Y!F Teaser Content: With competition heating up in the tablet market, Market-Digest.com takes a look at how the iPad Mini stacks up against the Kindle, Nexus 7 and Surface.

TO BE RELEASED AT: Friday October 26, 2012 8:30AM EDT

SOURCE: Equity News Network

Apple Inc. (NASDAQ: AAPL) [Read Full Article] is no stranger to the tablet game, recently surpassing an impressive milestone of over 100 million tablets. Without delay, Apple announced on Tuesday its new iPad Mini - a smaller form factor of its tremendously successful iPad.

Apple has a knack for creating entirely new markets and nurturing new demand where there previously was none. The business model is simply genius: Apple takes complicated technology built from other suppliers and packages them into an easy-to-use format for the average user. Apple is in the business of "it simply works".

Apple is also quick to add to fuel to fire. The secret behind Apple's ability to meet and beat analyst expectations is in its strategy of furthering markets in which it is dominant.

The success of the iPod set a new precedent, demonstrating how demand can scale in-line with the introduction of linear product variation. Beginning at a modest 125,000 units - the iPod has now sold over 350 million units worldwide, coming to dominate over 78% market-share.

This successful model was followed by the iPhone, with over 224 million units sold worldwide, the iPhone is on track to have its biggest sales yet. Sales are accelerating as Apple continues to innovate on the iPhone product line, releasing new models that are driving demand even higher. Just over 5 years from its debut, the iPhone is now slightly above 34% market penetration in a market traditionally controlled by carriers - plenty of room to gain further share from its competitors.

"So now let's get to the main event," the Apple iPad. "Last time there was so much excitement about a tablet, it had some commandments written on it", noted the Wall Street Journal regarding the release of the iPad. Within two years of its debut, Apple was leading with an 81% share of the entire tablet market. Today, competitors have caught up with the tablet trend and have pressured Apple's tablet share down to just 52%. With products like the Amazon Kindle (now 21% of market share), the Google Nexus 7 and Samsung Galaxy entering into the marketplace in new form factors and better pricing, Apple has a battle ahead. Not to mention Microsoft's introduction of their version of tablet computing, the Microsoft Surface, beginning its release today.

Though pricing is higher than expected, with the tablet starting at $329+, the iPad Mini is expected to expand opportunities in the tablet market. Consumers have proven they are willing to pay a premium to own Apple products, as the brand signifies a well-rounded and consistently supported user experience. The new form-factor introduces the first major variation of the iPad product line, historically a signal of good things to come for Apple shareholders.

Concerns raised regarding the lower margins on the iPad, are particularly heighted on the new iPad Mini release, with margins pressed even further. Despite these concerns, the iPad still remains the fastest selling device Apple has ever made, with over 100 million units in under 3 years, this unparalleled volume of sales could still send Apple to." [Read Conclusion].

Providing reliable analysis and commentary, Market-Digest.com digs deep to find the real story behind today's events.

Content and Media Contact:
Neil P. Williams Jr.
mediarelations@equitynewsnetwork.com




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(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.

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