Apple’s revolutionary iPad: The PC killer

“After he unveiled the iPad at a San Francisco conference center in early 2010, the late Steve Jobs spent a few minutes asking people holding the device for the first time what they thought of it. A reporter suggested it might make consumers forget why they needed a laptop computer,” Peter Burrows and Jim Aley report for Businessweek. “Jobs shrugged his shoulders and said, coyly, ‘We’ll see.’ Jobs was a master not just at anticipating paradigm shifts but creating them. If tablets eventually did eclipse the laptop and desktop businesses, Jobs was determined that Apple would reap the windfall.”

“That day has arrived,” Burrows and Aley report. “On March 19, the same day Jobs’s successor, Tim Cook, declared Apple would disburse some of its $98 billion cash stockpile as dividends, the company announced it had sold 3 million new iPads in their first weekend of release. The product is expected to bring in $38 billion in sales in 2012, according to Piper Jaffray (PJC) analyst Gene Munster. In the fourth quarter of 2011, Apple sold 15.4 million iPads—more than the number of PCs sold by Hewlett-Packard, the world’s No. 1 maker of Wintel PCs.”

Burrows and Aley report, ” If you consider an iPad a PC substitute—and many consumers certainly do—then Apple, which also produces the iMac and MacBook, is now the biggest PC maker in the world. The most astonishing part of the iPad era is how completely Apple still controls it. There were plenty of smartphones on the market when the iPhone first appeared in 2007, and it quickly drew new competitors, most notably Android devices. The iPad’s trajectory has been different. Despite loads of new tablets from Samsung, HTC, Motorola Mobility, HP, Dell, and others, the iPad still holds 66 percent of the market, according to Gartner (IT). ‘The whole industry has been going nuts, trying to figure out how to compete with Apple,’ says Robert Brunner, a former Apple design chief who now runs design firm Ammunition Group. ‘You can see the fear in their eyes.'”

Read more in the full article here.

MacDailyNews Take: Bloodbath. 🙂

26 Comments

    1. What Apple needed to do to protect the iPhones uniqueness as the iPhone was slowly maturing, just happened to be exactly what the iPad needed to make it unique from the start… hence I Headstart that is just not going to be able to be made up by any competitors.

  1. If “the iPad still holds 66 percent of the market” then 34 percent is something else I have never seen. Are the talking about the crappy e-readers? Is that not like grouping bicycles and motorcycles together because they both have 2 wheels? Anyone tried to go cross country on their bicycle this year? How about to the next state? But it has 2 wheels.

    e-readers are not iPads. Not even close.

    1. I have yet to see another brand of tablet in the wild. I see lots of iPads being used lots of ways but no other tablets. I do get a lot of comments, since July 2010, to the effect that (a) Apple is too expensive, and (b) that “I am going to wait for” the next iPad killer. All the while, I continue to be amazed at this wonderful piece of technology. People have no idea what they are missing.

    2. I think this “66% market share” stuff is bullcrap. Nobody can get their head around apple having pushing 100% of the tablet market, so go to whatever contortions necessary to come up with a lower number.

      I say again: I think the 66% market share thing is a lie.

  2. to paraphrase the musical gifts of Dandy Don Meredith in the fourth quarter of Monday Night Football: “…turn out the lights, the party’s over; they say, all dumb things must end..turn out the lights the party’s over and Windblows is a has-been…”

  3. It’s about time iPad was correctly labeled in true Jerry Lee Lewis tradition “The Killer.”. And what better thing to kill than the venomous and now extremely vulnerable WinTel PC. I think one has to “kill” first before presumptuously receiving the Killer monicker, so all others approaching the gates of Apple iMordor should be “iPad Victim” before proving themselves worthy.

    It occurs to me Steve Jobs must have been inspired by Star Trek II: Wrath of Khan by pulling a Captain Kirk inspired Kobayashi Maru strategy of re-writing the rules instead of playing a no-win game with Bill Gates & Microsoft. So you can now imagine (Ballmer &) Gates rug-pulled-out-from-under-them surprise especially after his famous view of asking “why Jobs was back at Apple, he knows he can’t win.” But he can and is by changing the rules of the game. Brilliant.

  4. I’m fairly certain that Microsoft won’t let the PC go that easily. I don’t think corporations will readily give up the PC platform, either. I won’t be dumping my iMac whether I have an iPad or not. The tablet won’t entirely kill the PC, but merely lessen its high market share.

    1. Exactly! Someone who Get It!

      PCs won’t die any time soon, just decline.

      Still need a Mac (PC) to develop iOS apps.

      Can you see all those business and government offices going to tablets? PCs will still have a place, but as a smaller piece of the action.

  5. The PC will die when the iPad’s successor still maintains the familiar form factor of today and yet gains most of the capabilities of the desk top PC. This day will come as surely as night follows day. Enjoy the trip!

  6. I think the desk top pc as we know it is all ready dead. Big screen and key board with your iPad is all you will really need. With Siri even the keyboard is limited. It’s just a matter of time. The iPad will become your desktop box.

  7. Saying that Apple’s new iPad is the PC killer, is like saying that guns kill people. Guns don’t kill people, people kill people using guns. iPad’s don’t kill PC’s, people buy iPad’s. Consumers make Apple successful as voted by their wallets. PC’s attempt to copy Apple’s by introducing Windows 8 is hardly original thinking on their part. Besides, the PC is not dead. It will continue to be around for a very long time to come, because PC’s serve a certain purpose (no different than trucks will never replacing cars or visa versa). We are in the mobile era, which is just a different area of emphasis in the technology world.

    People complained about Apple not paying dividends. Now it’s reality and people can now complain about dividends not being high enough or low enough or as frequent enough.

    Leave it to the media, including MDN, to spread rumours or intel about or from Apple, knowing full well that Apple does not announce future products until they are ready to. The media’s expectations of future Apple products are too high, then when people don’t get what they expected, they complain. Lower your expectations!

    I’m a huge fan of Apple and its products for many years, but the way my fellow Apple fans behave or talk sometimes is embarrassing, and they don’t speak on behalf of all Apple fans. I’m a former/current PC user as well, so I know full well how pleasantly different Apple does things to make great products.

    Why do people compare Mac vs. PC as if one has to be better than the other? They are both designed for different reasons. PC is designed for users to be able to tinker with many settings, etc. On the other hand, Mac is for “the rest of us” who just want a simple, easy to use computer that just works, where all the special settings are hidden from view (but can still be accessed).

    IMHO

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