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Motorola Xoom needs a price cut  (Source: Motorola)
Android tablet shipment forecast cut as iPad shipment expectations grow

The tablet market is growing by leaps and bounds and Apple with its iPad is the source of much of that growth. There are a number of Android tablets on the market today, but they aren't selling well and some users are complaining about the Honeycomb operating system and the availability of tablet-specific apps.

Analysts have agreed that the tablets are taking market share from the notebook and netbook, but the outlook for tablets overall has taken a downturn recently. The reason that the estimates for overall shipments by analysts are changing has to do with the sinking popularity of Android tablets. While Android offerings are seeing estimates for shipments cut, the iPad is actually being increased.
Jefferies analyst Peter Misek noted about six months ago that the forecast for 2011 tablet sales was 100 million. After a recent poll of consumers, Misek has changed his predictions by a whopping 30% reports eWeek. He believes that 70 million tablets shipped is a more realistic expectation.

Misek wrote in a research note, "We now believe 70 million to be more realistic due to: 1) Android 3.0 Honeycomb needing polishing, and 2) Android tablets that are priced too high."

Misek also thinks that if tablet makers like Motorola and Samsung want to compete with the iPad, they are going to need to take a hit and cut the price. Bill Shope from Goldman Sachs also lowered the overall estimates for tablet shipments in 2011 and 2012. The decline was due to reduced estimates for Android tablets, the estimates for iPad shipments actually increased.

Shope wrote, "Our iPad forecast remains unchanged, though we have lowered our non-Apple tablet unit assumptions by 2.3 million units in 2011 and 2012." He continued, "Meanwhile, we have raised our forecast for Apple's tablet market share to 66.4 percent in 2011 (64 percent prior) and 66.6 percent in 2012 (65 percent prior). Overall, we are expecting 57.7 million total tablets for 2011 and 78.0 million tablets for 2012, versus 60.1 million and 80.3 million previously."

NVIDIA CEO Jen-Hsun Huang has also said that for Android tablets to be competitive, they need to be cheaper. NVIDIA has a vested interest in the Android tablet market since his company makes the Tegra processors that many of the newest Android tablets use.



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RE: Working OS
By Da W on 5/18/2011 1:25:54 PM , Rating: 2
Disagree, they are just plain useless.
Just because something is technically feasible doesn't mean it's economically desirable. What NEED does it fullfil? Browse the web? Send e-mails? Then people might just try the coming Windows tablets instead. So far it's still Apple 1, Google 0, Microsoft 0.

Apple got it perfect so far, and it's the only reason its selling: its a perfect toy, but its still a toy. I don't see the NEED for an iPad. Sales projections are still way too high and the PC market aint dying one bit.


RE: Working OS
By omnicronx on 5/18/2011 1:51:52 PM , Rating: 2
Your disagreeance has all to do with personal preference, which is clearly based on your disatisfaction with tablets in general, and has little to nothing to do with Android 3 itself.

I always find it hilarious when people like you come and state what is or what is not 'economically desirable' as though the vast majority of the population is taking this into consideration with their massive credit card debt, multiple mortgages and all.. (let alone users like the Apple faithful whom upgrade their devices each year, whether it is within their means or not)

People buy a computer for the exact reasons you describe, they want to consume content and have little need to create it. If I am using netbook to search the net, go on facebook, watch videos and play music, do I really need a full fledged PC for every day use?

Clearly tablets currently complement your PC and do not replace them, but to say they are useless across the board just makes you sound foolish.

YOU don't like tablets, and YOU don't find them economically feasible. Unfortunately YOU are not the voice for everyone as the ~70 million prospective tablet buyers this year would indicate.


RE: Working OS
By Da W on 5/18/11, Rating: 0
RE: Working OS
By Shadowmaster625 on 5/24/2011 8:25:16 AM , Rating: 2
Are you saying 70 million pwople cant be wrong?


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