Skip to main content

Segmenting the Demand for Mobile e-Reader Devices

According to the latest market study by Informa Telecoms & Media, e-reader sales are expected to peak at 14 million units in 2013, before falling by 7 percent in 2014 as the device category faces increased competition from other consumer electronics (CE) devices.

This decline will be driven by a shift away from dedicated e-readers, such as the Amazon Kindle, towards other multifunction device types -- notably mobile smartphones and tablet form-factor computing devices.

Informa believes that this transition may lead to a segmentation of the e-reader market into two distinct groups -- low price, low feature models and higher price devices with more advanced features.

The current e-reader offers a good reading experience, high levels of portability and extended battery life. However, it is under threat from the availability of electronic book (e-book) content on multifunctional devices such as mobile phones, tablet computers, netbooks and other portable CE devices.

"Mobile broadband e-readers will also face competition from much cheaper non-connected models that are targeting a lower retail price in order to stimulate adoption," said Gavin Byrne, senior analyst at Informa Telecoms & Media.

In order to better fit the application needs of customers, there are a number of design alternatives for device vendors. They can develop low-cost e-readers with minimal features that can be used in conjunction with a PC or USB dongle to access additional content. For example, e-readers like the Kobo may appeal to the cost-conscious reader -- 100 classic book titles are included on the device.

Alternatively, verdors can improve feature sets in mid and high-end e-readers to transform them, over time, into tablet-like computing devices. These will in effect become more like smartbooks than e-readers.

Early steps in this direction include Barnes & Noble's latest software update for the Nook which adds games and a more open web browsing functionality.

Many e-reader companies are already looking to develop an electronic reading platform -- initially based on their e-reader devices, but that will extend across e-readers, mobile phones, netbooks, notebooks and desktop PCs.

"There are certainly a number of things that vendors can do to counteract this growing threat. However, the current absence of an obvious subsidy model for mobile network operators, the launch of the iPad and market dynamics are likely to limit the size of the e-reader market in the long-term," concludes Byrne.

Popular posts from this blog

Digital Transformation Investment at $3.4 Trillion

Business technology leadership matters. Across the globe, more leaders have been pursuing bold Digital Transformation (DX) initiatives with the goal of creating new sources of business value through digital products, services, and experiences. As an additional benefit, the COVID-19 pandemic revealed that digital transformation efforts improve an organization's resilience against global market disruptions. Global DX investment is forecast to reach $3.4 trillion in 2026 with a five-year compound annual growth rate (CAGR) of 16.3 percent, according to the latest worldwide market study by International Data Corporation (IDC). Digital Transformation Market Development "Despite strong headwinds from global supply chain constraints, soaring inflation, political uncertainty, and an impending recession, investment in digital transformation is expected to remain robust," said Craig Simpson, senior research manager at IDC . The benefits of investing in DX technology -- including aut

Artificial Intelligence for National Border Security

National border protection agencies are under pressure to provide the highest level of security in the face of growing threats, such as increasing illegal migration and international terrorism. Now, government agencies are embracing advanced border security technologies to aid in effectively and reliably securing national borders. These solutions look to detect and identify potential threats and prevent them from escalating to a point that may jeopardize security. Security Surveillance Market Development Traditional border security patrols and Closed-circuit Television (CCTV) surveillance systems aren't adequate protection, and agencies must increasingly deploy new solutions to stay ahead of criminals and other potential threats to ensure the safety of a country’s borders. According to the latest market study by Juniper Research, the value of the border security technology market will exceed $70 billion globally in 2027 -- that's rising from $48 billion in 2022. Growing by 47 p

Precision Medicine Spend to Reach $132.3 Billion

Precision Medicine uses molecular info to extract the optimum medical method from diagnostic protocols, by merging the impact of environmental and genetic factors. Data access is essential, with genetic metabolic and clinical data used to build a fuller picture of a patient's biology. Moreover, the primary aim of precision medicine is to design and optimize a pathway for diagnosis, therapeutic intervention, and prognosis, using large biological datasets. Personalized, evidence-based medicine uses stored health data, which includes patient diagnosis, laboratory work, insurance claims, and demographic information. The results enable healthcare providers to predict and prevent some illnesses. Precision Medicine Market Development According to the latest worldwide market study by Juniper Research, the total investment in precision medicine will reach $132.3 billion globally by 2027 -- that's increasing from only $35.7 billion in 2022. The significant market growth of 270 percent is