News
 

Bookmark and Share

(3) 

Just some 1.5 years ago many believed that media and business tablets will outsell traditional notebook and desktop personal computers sometimes in 2015 – 2017. As more manufacturers enter the game, sales of various slate-type devices continue to grow rapidly amid slowing sales of PCs. As a result, shipments of tablets will exceed sales of traditional personal computers already in Q4 2013, according to International Data Corp.

The worldwide smart connected device market, comprised of PCs, tablets, and smartphones, is forecast to grow 27.8% year over year in 2013, slightly lower than the 30.3% growth in 2012. The growth will be driven by tablet and smartphone shipments, while the PC outlook has been lowered by 10% in 2013. As a result, IDC expects tablet shipments to surpass total PC shipments (desktop plus portable PCs) in the fourth quarter of 2013. PCs shipments are still expected to be greater than tablet shipments for the full year, but IDC forecasts tablet shipments will surpass total PC shipments on an annual basis by the end of 2015. Smartphones will continue to ship in high volumes, surpassing 1.4 billion units in 2015 and accounting for 69% of all smart connected device shipments worldwide.

In terms of shipment value, the worldwide smart connected device market will again exhibit double-digit year-over-year growth of 10.6% in 2013, but this growth will gradually slow to just 3.1% in 2017. The tapering revenue forecast reflects the increasing impact of low-cost smartphones and the white box tablet market. Worldwide smart connected device value is expected to be $622.4 billion in 2013, of which $423.1 billion will come from the sub-$350 smartphone and sub-$350 tablet segments collectively.

"At a time when the smartphone and tablet markets are showing early signs of saturation, the emergence of lower-priced devices will be a game-changer. Introducing new handsets and tablet devices at cheaper price points along with special initiatives like trade-in programs from Apple and BestBuy will accelerate the upgrade cycle and expand the total addressable market overnight," said Megha Saini, research analyst at IDC.

IDC expects the lower-cost devices to drive interest worldwide and help to spark uptake among first-time buyers in commercial sectors like education. A new round of device cannibalization is also expected to kick in, but this time with large-screen (5+”) smartphones beginning to impact the smaller (7"-8") tablet market.

"The device world has seen several iterations of cannibalization impacting different categories, with the last few years focused on tablets cannibalizing PC sales. Over the next 12-18 months, however, we believe the larger smartphones, commonly called 'phablets', will start to eat into the smaller-size tablet market, contributing to a slower growth rate for tablets," said Bob O'Donnell, program vice president at IDC.

Looking forward, the worldwide smart connected device space will continue to surge, with overall shipments surpassing 2 billion units by the end of 2015 with a market value of $735.1 billion. In terms of device mix, total PC shipments accounted for 28.7% of the smart connected device market in 2012 while tablets accounted for 11.8% and smartphones for 59.5%. By 2017, total PCs are expected to drop to 13%, while tablets and smartphones will contribute 16.5% and 70.5% respectively to the overall market.

The shift in demand from the more expensive PC category to more reasonably priced smartphones and tablets will drive the average selling price (ASP) for the collective market from $462 in 2012 to $323 in 2017.

Tags: Apple, Microsoft, Lenovo, HP, Business, Dell, Hewlett-Packard, iOS, Windows, Android

Discussion

Comments currently: 3
Discussion started: 09/17/13 11:56:07 AM
Latest comment: 09/18/13 11:51:43 PM

[1-1]

1. 
The shipments of Australia and New Zealand media tablet are supposed to grow rapidly this year with double the volume, by comparing with 2010's. - slots bonus
0 0 [Posted by: Arc03  | Date: 09/18/13 11:51:43 PM]
Reply

[1-1]

Add your Comment




Related news

Latest News

Monday, April 14, 2014

8:23 am | Microsoft Vows to Release Xbox 360 Emulator for Xbox One. Microsoft Xbox One May Gain Compatibility with Xbox 360 Games

Tuesday, April 1, 2014

10:39 am | Microsoft Reveals Kinect for Windows v2 Hardware. Launch of New Kinect for Windows Approaches

Tuesday, March 25, 2014

1:57 pm | Facebook to Acquire Virtual Reality Pioneer, Oculus VR. Facebook Considers Virtual Reality as Next-Gen Social Platform

1:35 pm | Intel Acquires Maker of Wearable Computing Devices. Basis Science Becomes Fully-Owned Subsidiary of Intel

Monday, March 24, 2014

10:53 pm | Global UHD TV Shipments Total 1.6 Million Units in 2013 – Analysts. China Ahead of the Whole World with 4K TV Adoption

10:40 pm | Crytek to Adopt AMD Mantle Mantle API for CryEngine. Leading Game Developer Adopts AMD Mantle

9:08 pm | Microsoft Unleashes DirectX 12: One API for PCs, Mobile Gadgets and Xbox One. Microsoft Promises Increased Performance, New Features with DirectX 12

3:33 pm | PowerVR Wizard: Imagination Reveals World’s First Ray-Tracing GPU IP for Mobile Devices. Imagination Technologies Brings Ray-Tracing, Hybrid Rendering Modes to Smartphones and Tablets

2:00 pm | Nokia Now Expects to Close Deal with Microsoft in Q2. Sale of Nokia’s Division to Close Next Month