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ARM, a leading developer of microprocessor technologies for portable and consumer electronics, said at a press conference on Wednesday that this year around 50 tablet PC devices akin to Apple iPad released worldwide. While analysts agree that there may be a lot of slate-type PCs launched, far not all will become successful.

“The first tablet devices will launch in the second quarter by [mobile network] carriers. You will see a lot more in the third quarter,” said Roy Chen, ARM's worldwide mobile computing ODM manager, during a press meeting in Taipei, reports IDG News Services.

There are so many tablet PCs incoming that ARM even had to book the additional space at Computex Taipei trade-show to demonstrate all the products, many of which will be launched by small companies that can hardly efficiently advertise their devices and do not have an established brand among consumers.

Market research firm, In-Stat identifies the potential unit total available market (TAM) for tablets could be as high as 50 million in 2014 and the potential semiconductor opportunity in tablet PCs is over US$4.1 billion in 2014. However, far not all of those devices will be successful. According to In-Stat, the success of those products is highly dependent upon two key success factors:

  • The first requirement is to follow other successful devices in the market by offering a complete solution that includes the device, the wireless service, and the content. The best and most recent successes in the mobile market highlighting the value of a complete solution is the Amazon Kindle e-reader. The iPhone comes close but still requires a separate wireless service contract.
  • The second requirement is to find the right combination of new technology, content, applications, and services that provide a unique usage experience and then combine it with the appropriate business model. Finding the right business model for monetizing device, connectivity and content has become a critical element in successfully launching new platforms. The report provides different growth scenarios for both commercial and consumer applications depending on the business models adopted.

According to the market research firm, positioned between smartphones and PCs, tablets are attracting the interest of consumer electronics (CE) and computing OEMs. None of the tablets announced thus far offer all the benefits of e-readers or computing platforms, but new technologies and applications could help create a unique value proposition. Thus far, only Apple and ICD have indicated carrier strategies, and only Apple offers a solution that includes content and applications.

Tags: iPad


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