Skip to main content

Business Tablets Create Upside Market Opportunity

The success of media tablets is raising questions about the e-reader market sustainability. E-readers still offer the best reading experience and appeal most to avid book readers, but a broader group of people prefer additional multimedia functionality -- such as web browsing, video and gaming.

Media tablets are optimized to deliver a multifunction experience, and therefore, represent a stronger opportunity for consumer electronics (CE) manufacturers. As a result, In-Stat is forecasting that tablet shipments will outpace e-reader shipments by the end of 2011.

"Of the two, the tablet market is the stronger and more sustainable opportunity," says Stephanie Ethier, Senior Analyst at In-Stat. In fact, e-reader manufacturers will likely begin adding tablet-like features to some devices in their product line.

Barnes & Noble already offers the Color Nook, which is often compared to a tablet, and Amazon, the leader in the e-reader space with its Kindle, will likely launch a tablet device later this year in an effort to compete head-to-head with the Apple iPad.

The other latest development is the emergence of business-oriented media tablets that are targeted at supporting new unified communication and collaboration apps -- this is the next upside market opportunity.

In-Stat's latest market study findings include:

- Of the 1,000 U.S. respondents to an end-user survey, 38 percenet own a tablet as compared to the 26 percent who own an e-reader.

- Fueled by low prices and continued expansion of e-book content, global e-reader shipments will reach 40 million by 2015, but tablet shipments will eventually outpace e-reader shipments.

- The total semiconductor opportunity for tablet suppliers will reach $13.8 billion in 2015.

- The total semiconductor opportunity for e-reader suppliers will reach $1.6 billion in 2015.

- Over 60 percent of future tablet purchasers plan to buy a tablet equipped with both Wi-Fi and 3G connectivity.

- By 2015, 15% of all tablet shipments will go into business markets.

Popular posts from this blog

How AI Reshapes a $360 Billion Foundry Market

Few technology sectors sit as close to the center of gravity in today's artificial intelligence (AI) economy as semiconductor manufacturing. Every AI chip that trains a frontier model, every GPU that powers a data center inference workload, and every power management IC that keeps hyperscaler facilities running traces its origins back to the global Foundry ecosystem. IDC's latest market study throws that reality into sharp relief, projecting that the broadly defined Foundry 2.0 market will surpass $360 billion in 2026, a 17 percent year-over-year gain that would have seemed optimistic even two years ago. For anyone advising boards or investment committees on technology and AI infrastructure strategy, this growth trajectory demands careful consideration. Foundry 2.0 Market Development The umbrella term covers four distinct verticals: pure-play foundry, non-memory integrated device manufacturer (IDM) production, outsourced semiconductor assembly and test (OSAT), and photomask fab...