“There are two potential paths for Apple Inc.’s tablet business: Call [them] the Amazing Scenario and the Super-Extra-Amazing-With-Whip Scenario,” Farhad Manjoo writes for The Wall Street Journal.
“In the first, Apple’s iPad line continues to earn far more money than rival tablets, and likely remains the top seller in the category,” Manjoo writes. “But with increasingly intense competition from low-price devices, the iPad will slowly give up its dominance, eventually slipping to perhaps a quarter or less of the tablet market. This wouldn’t be disastrous for Apple. In this scenario, the iPad would be in the same place as its older brother the iPhone—spectacular earnings from middling marketshare. In other words, pretty amazing.”
MacDailyNews Note: Please see: Why market share doesn’t matter to Apple
“In the second scenario, the iPad runs the table,” Manjoo writes. “Like it did in the iPod business, Apple’s tablets will maintain a long-term, indomitable lead in both earnings and market share. Sure, you’ll see a handful of rivals vie for second place, but they’ll be a sideshow. For the PC industry, this is the nightmare scenario. If you believe that tablets are becoming the primary computing device of our age both at home and work, then Apple’s market share dominance would establish a self-perpetuating, super-profitable juggernaut. The iPad would make Apple the combined equivalent of Microsoft Inc., Intel Inc. and Dell Inc. of tomorrow’s computer business.”
“On Tuesday, Apple unveiled a slate of new iPads. Which of the two paths is more likely, considering the new models?” Manjoo writes. “I’m going to violate every lesson I learned at Pundit University by issuing a firm prediction: I think Apple’s new iPads will help push it toward realizing the second, super-extra-with-whip scenario. With the iPad, Apple is going for the whole game — and it is likely to win.”
Read more in the full article here.
MacDailyNews Take: Total mofoing worldwide dominance.
Has a nice ring to it, doesn’t it?
[Thanks to MacDailyNews Reader “Scott M.” for the heads up.]
Other than Samsung is anyone making money off of Android?
Just Google.
google loses money on android…
I think Google makes more ad revenue off iOS devices than Maldroid.
Google makes money through android tracking and reporting everything a user does for targeted advertising.
The biggest earner from what i have heard is Microsoft through patent licensing. Part of the fact that the “free and open” claim google keeps pushing is utter bullshit
Pundit University? I always suspected…
Yes, it has a deliciously, superb ring to it!!
I love the smell of vindication in the morning!!!
In the dark days before Steve Jobs’ return, if you suggested that Apple would eventually be bigger than MS, Intel, & Dell combined, you would have been throw into the asylum.
How times have changed! Can’t wait to do a happy dance on Microsoft’s grave.
These two “scenarios” are actually just ONE. They would be different, if in the second scenario, Apple took specific action to go after the ultra-low-end of the tablet market. Apple did not take any such action at the recent media event, and Apple is not going there any time soon. So those two scenario merely define levels of success (for Apple’s ONE strategy), “Amazingly Successful” and “Super-Extra-Amazingly Successful.”
Some people forget that iPad was released in 2010 as Apple’s answer to “netbooks.” There was no “tablet market” then, because iPad created it. iPad’s first competition was netbooks. Initially priced starting at $499, iPad was a better alternative to those ultra-cheap laptops for most consumers.
Going forward, Apple wants iPad to become the primary computing device for people, and replace Windows PCs (and also Macs) in general. A $299 iPad is already less expensive than the cheapest of the cheap Windows PCs, especially now that they need a touchscreen to be fully functional with Window 8. There is no reason for Apple to go after the ultra-low-end of the tablet market, because the goal for iPad is to conquer the low-end of the MUCH larger PC market.
The main reason the ultra-low-end even exists in the tablet market is because Apple’s competitors in tablets have no way to compete head-to-head with iPad. They have to go where Apple will not go. And that’s fine, because Apple’s competition is unwittingly creating an even larger user base of FUTURE iPad customers.
Exactly! A lot of these people starting out on tablets with training wheels will eventually plunk down their money for the real thing.
Your really believe that what you write? You must be from another world.
I can’t wait for November 1st. I’m glad I waited until now to get an iPad. I just picked up a rig from IK MultiMedia to hook my guitar up to the new iPad. Should be fun playing with that and Garage Band. They also sell a nice clip to hook the tablet onto a mike or music stand. Nice toy. Like they say: “The only difference between men and boys, is the price of their toys.”
Rule the world? That depends on which game the analyst are playing doesn’t it? If they are playing iPad market share (sales) versus Android market share iPad loses. One versus many is not a fair comparison. If they look at iPad versus galaxy note 10.7 or surface ARM (MS has me confused) then iPad wins hands down. Talk any other share metric (internet browsing, advertising, online shopping, profitability) iPad wins.
Apple would _already_ own the entire iPad market by now — much like the iPod market — if it were not for Google ripping off Apple’s Intellectual Property to produce Android. (And Apple’s share price would be over $1000 by now, too.) But Android jammed Apple’s plans and caused a lot of market turbulence, so it will take a little longer for Apple to completely own the tablet market, but it will happen. Meanwhile, Apple and the Apple faithful will never forget Google’s treachery. Just ask Microsoft how it feels to piss off Apple. Anyway, it could not happen to a nicer group of people. /s
Perfectly stated.
Just nonsense. The market share from APPLE in every product is falling fast and you write they overtake the tablet market. I have, for example an ipad but I don’t use it anymore. Why? Because it does not replace a PC and a good Android phone with a big screen is more useful than a pad. So that is the next problem for Apple ahead the merge of the tabs and the big screen phones. you will see.
I don’t believe I’ve ever seen such a pathetic circle-jerk as what I’m seeing here. 🙂
I hate to bring some reality to this orgiastic frenzy, but Apple’s market share is falling in almost every category. Unpleasant facts… but facts just the same.