Worldwide tablet shipments recorded a year-over-year decline for the second
consecutive quarter in the first quarter of 2015 (1Q15). Overall shipments for
tablets and 2-in-1 devices fell to 47.1 million in 1Q15, a -5.9% decline from
the same quarter a year ago, according to preliminary data from the
International Data Corporation (IDC) Worldwide Quarterly Tablet Tracker.
"The market slowdown that we witnessed last quarter is continuing to impact
the tablet segment, but we see some growth areas that are starting to
materialize," said Jean Philippe Bouchard, Research Director, Tablets.
"Cellular-enabled tablets are outgrowing the rest of the market, providing an
additional revenue stream for OEMs and mobile operators. In addition to
driving higher usage than Wi-Fi-only tablets, cellular-enabled tablets also
help position the segment as true mobile solutions rather than stay-at-home
devices."
Apple still leads the overall market despite five consecutive quarters of
negative annual shipment growth. Apple shipped 12.6 million iPads in the first
quarter, capturing 26.8% of the market in volume and declining -22.9% when
compared to 1Q14. Samsung (19.1% share) maintained its second place in the
market despite a -16.5% decline in shipments compared to the same period last
year. Lenovo (5.3% share), Asus (3.8 %) and LG (3.1%) rounded out the top 5
positions. LG's year-over-year growth was notable as it continues to benefit
from US carriers' strategy to bundle connected tablets with existing
customers.
"Although the tablet market is in decline, 2-in-1's are certainly a bright
spot," said Jitesh Ubrani, Senior Research Analyst, Worldwide Quarterly Tablet
Tracker. "While 2-in-1, or detachables, still account for a small portion of
the overall market, growth in this space has been stunning as vendors like
Asus, Acer, and E-FUN have been able to offer products at a fantastic value;
and vendors like Microsoft have been able to drive growth at the high end with
devices like the Surface Pro 3."
As a result of the recent market contraction, IDC believes tablet OEM's should
continue to focus on potential growth areas like the aforementioned
cellular-enabled tablets and 2-in-1 devices. The commercial segment remains an
area to watch for both tablets and 2-in-1's. However, as of now, commercial
uptake has been relatively slow as IT buyers continue to evaluate their mobile
strategies.
Tablet Vendor Highlights
Apple's iPads continue to suffer from the success of the new iPhone and to a
lesser extent of the Mac product line. IDC expects Apple to record negative
growth until the iPad portfolio is significantly refreshed, either with the
expected increase in screen sizes or by introducing a dedicated version of iOS
for its tablet lineup.
Samsung managed to maintain its position in the market despite a significant
decline in shipment volumes. The market shift to connected tablets will likely
benefit the Korean vendor as they can and should leverage their mobile
expertise and carrier relationships.
Lenovo is one of the few tablet vendors that continues to grow in a declining
market. The company's wide range of products – including plenty of low-cost
offerings – are proving popular in a growing number of regions and it is a
brand that performs well in the adjacent PC and smartphone markets.
Asus' new Transformer lineup launched in mid-February, leading to
less-than-expected growth in the first quarter. However the new "Chi" devices
have been well received in developed markets. In emerging markets, Asus'
Fonepad 7 continues to gain traction as the demand for voice capabilities
grows in emerging regions.
It wasn't too long ago that LG Electronics exited the tablet market due to the
poor performance of its original Optimus Pad. However, since returning to the
tablet business in late 2013, LG has been able to leverage its relationship
with local telcos, garnering an impressive 10% growth over the fourth quarter
in a market that declined -38% quarter over quarter and capturing a spot in
the worldwide Top 5.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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