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Jan 20

Posted by Jeremy Toeman and Greg Franzese

Posted in Gadgets, Products

Windows and Android Tablets are Coming- But For Who?

Apple recently released their sales numbers for the iPad, and the device seems to be catching on.

Apple shipped 14.8 million iPads last year, generating $9.6 billion in revenue. Last quarter alone, it shipped 7.3 million iPads for $4.6 billion in sales.

And, as Tech Crunch noted, no one saw this coming. Both industry analysts and tech bloggers failed to predict the success of Apple’s tablet. Jeremy Toeman even thought the iPad could be a technological bread machine; a device that starts out with a “hey this is kind of cool factor” and then loses its appeal and usability over time.

Before the iPad, no one was buying tablets. Now, everyone is buying them.

So other computer makers have jumped on the Tablet bandwagon. CES was full of Windows tablets and also a few Android Tablets. (This is not the place to argue whether or not Android will make a great tablet. They won’t. Apple COO Tim Cook has even dismissed Android tablets as “bizarre” and vaporous.) This article points to a serious question for the consumer electronics industry: Who are the target users for these non-Apple tablets?

If hardware manufacturers are shipping $500 tablets, who do they expect to purchase them?

No consumer will want to spend more than $500 for a Windows or Android tablet. At that price point, they will simply purchase the iPad. It is desirable, it is stable, it is fun and has a cultural allure attached to it thanks to Apple’s brilliant design and marketing. If you went to the store and wanted to buy your Aunt Mable a tablet, would you get her an Acer tablet or an iPad? Exactly.

Even pricing below $500 is problematic for Apple competitors. A $300 tablet is just close enough to the iPad’s price that people will probably wind up mowing a few extra lawns or clocking some overtime to get their hands on the genuine article from Cupertino.

At $250 people may simply opt for an iPod touch.

I hate to give the entire touch market to Apple, but it is hard to imagine a scenario where non-Apple tablets show similar growth in such a short time. So where do Windows Tablets thrive? Here are a few sectors that present real opportunities for non-Apple tablets.

Apple Haters

There is a small, dedicated group of Apple haters who will support non-iPad tablets. They do so for mainly ideological reasons and although they have a vocal presence in some corners of cyber-space, they make up a negligible portion of the total tablet market.

Medicine

We are quickly approaching a world where medical records and information will be displayed on tablets. Windows and Android devices could thrive in this vertical.

The Military

Someone is going to sell the Pentagon a lot of secure, battle ready tablets. Smart manufacturers should keep an eye on this space.

Kids

A “cheap,” sturdy tablet for kids is a no-brainer. Part coloring book, part media player, part game center- think Leap Pad on steroids.

To conclude, there are a number of specific verticals where Windows tablets and Android devices can grow rapidly in the coming months. But for average consumers, the iPad remains a desirable, functional device that people seem to enjoy.

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