Apple iPad 1 and 2Over the last couple of decades Apple has done a good job of picking and choosing which products it will release. Being overly selective has probably helped Apple save countless billions that would have been squandered chasing every product trend.
Given Apple’s success one would presume that they should continue to do what they’ve done, but that could be bad advice for the ever-changing tablet market. Apple is the current market leader, but that could change as the market expands further.
The small family of iPad
Even though the iPad has been a roaring success there is still many consumers that aren’t going to buy the tablet at its current base price of $500. And with Apple having no real second option other than a $500 iPad, tablet buyers on tight budget have to take their business elsewhere.
Of late we’ve seen just what Apple’s current tablet strategy will do to the tablet market over time. The low-cost tablet market will grow at a rapid rate as the quality for lower priced tablets increases. So far Amazon and Barnes & Noble have been the more successful companies to take advantage of Apple’s absence from the low-cost tablet market.
During the 2011 holiday shopping season we saw just how hungry consumers were for affordable tablets as Amazon quickly sold more than 1 million $199 Kindle Fire tablets and Barnes & Noble recorded record sales with their $249 Nook Tablet –and both tablets were available only in the U.S. for the 2011 holiday shopping rush.
It’s okay to expand now, Apple
Back in 2010 when Apple first launched the iPad nobody, outside of Apple and its avid fans, expected the iPad to be much of a success. With so much doubt in the air nobody really faulted Apple for being conservative with the variety of iPad’s they launched –Apple launched the first generation iPad in 16GB, 32GB and 64GB capacities with the option for Wi-Fi only and Wi-Fi+3G models in each of those capacities; the starting price was $499 like it is today for an iPad.
In 2012 there is no doubt whatsoever about Apple’s ability to sell iOS powered tablets. There are now very few reasons for Apple to stay away from the low-cost tablet market. And all of the reasons against it have to do with Apple keeping the most amount of profit possible per unit sale.
Apple shouldn’t allow the iPad to be the new Mac
When Apple was getting started they only focused on computers, personal computers for average folks to be more exact. Apple had many firsts and they had some of best designs back then, but today the Mac is really a small portion of the PC (personal computer) market where Microsoft’s Windows is king.
How did Apple lose to Microsoft? Well one reason was the Mac was so expensive and it came in only a few variety’s from either Apple or from a very brief period a few third-party OEMs. And in the end of the PC war the consumer decided to go with affordability and compatibility (software) over everything else.
You can only keep the attention of the best software developers when you have the largest installer base. Right now Apple is leading in market share for tablets, but as time moves forward that could be a hard spot to hold going against the likes of Google’s Android and Microsoft’s upcoming Windows 8.