iPad 2 will have stiff competition this year, analyst thinks

By on Mar 1, 2011 at 12:25 PM
Tablets March 1, 2011

In a note to investors on Tuesday, Ticonderoga Securities analyst Brian White became one of only a few analysts to take a minority stance on the iPad 2… sort of. White thinks Apple’s next-generation iPad will see stiff competition from the wave of tablets set to crash down on our shores this year, whereas most believe Apple’s tablet will be a clear winner over competitive offerings. “We estimate there are well over one hundred tablets coming to market around the world this year.” White writes. “Assuming a new iPad is unveiled at this event, we believe Apple must make a convincing case for why the iPad 2 is better than the plethora of competitors coming to market, while at the same time persuading iPad 1 buyers to upgrade to iPad 2.” That was enough to garner some attention, apparently, as White then pumped the brakes. “We still believe the combination of the Apple brand, economies of scale and the company’s powerful ecosystem are reasons enough for Apple to outpace its competitors,” he notes. White currently has a Buy rating on Apple stock with a $550 price target.

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  • Stan Winstone

    The competitors at best can match features, but they are tripping all over themselves to match price. Simple as that. There has yet to be a single true iPad 1 competitor shipped and that will be even more apparent when iPad 2 does…

    • Anonymous

      The Droid Xoom is already outperforming and outselling the iPad 2. It’s over apple.

      • Anonymous

        Your comments are ridiculous.

        I love my XOOM, and of course it is out-selling a product that is not out yet. The XOOM is likely to continue its spec and customizable OS dominance over the iPad2, since I don’t expect Apple to make drastic changes in either category.

        I will say that this article was obviously written prior to the information from Amazon UK, pricing the XOOM at only $10 more than the 16GB iPad. That will definitely steal some marketshare, but the Apple fans will continue to talk about apps (as if they’re not coming for Honeycomb tablets) and “mindshare”.

      • Anonymous

        You’re assuming that Apple will make no other changes in the future, and continue to run iOS 4.x only. Both will continue to enhance, and develop their product lines…it’s called “Staying in Business”…

      • Anonymous

        Are you assuming Google won’t do the same? It is unlikely that Apple will
        break away from its current philosophy of total control over hardware, OS,
        and apps. Obviously that’s not working out too well in the smartphone
        market. Otherwise, their marketshare wouldn’t be stagnant.

        —–Original message—–

      • Anonymous

        Guess you didn’t read my post well. I said “BOTH”…

        Ya…Apple’s iPhone sales are stagnant…Verizon iPhone sales just topped a million.

      • Anonymous

        Verizon iPhone sales didn’t even top 10K. Don’t make up stuff.

      • Anonymous

        I did miss the “both” part. Apparently you missed the part where I said “marketshare”, not sales. Of course the Verizon iPhone sold, but it’s unlikely to put a huge dent in Android marketshare.

      • http://twitter.com/chrismanning Chris Manning

        Based on what? There haven’t been any sales figures released for the XOOM. It’s pure conjecture right now. Besides, it’s outperforming based on hardware specs and the fact that it has dual-cameras. It has very few apps built for it, whereas the iPad had 1,700 specifically for the iPad at launch and now has many times over that number. iOS integration still beats Android integration with hardware, so iPad will still be a smoother, simpler experience which consumers love. It definitely isn’t over for Apple. They’re still going to reign supreme in the tablet market.

      • Anonymous

        He’s an idiot. Pay no attention to him. He refers to everything as DROID. He and Goofan are a couple of sausage puffers….

      • Mkthum56

        You have no idea what you are talking about

  • Anonymous

    Once iPad 3 comes out in September, everyone else will be back to the drawing board.

    • DNand

      Ipad 3 wont come out sept lol

      • Anonymous

        Well, most likely announced in mid-sept. Will ship in early October. I stand corrected.

      • http://twitter.com/chrismanning Chris Manning

        That’s what John Gruber says. He may be fairly accurate, but I wouldn’t write him a check just yet.

      • Anonymous

        and you’d be wrong.

  • Anonymous

    Once the iPad 2 comes out tomorrow, everyone else will be back to the KIRF factories to reset their tooling machines.

    • Anonymous

      Your avatar, it scares me.

      • Anonymous

        I’m harmless, so please don’t fret.

      • Anonymous

        Your avatar is just as scary, ’cause we all know those that put up avatars like yours, look like LouisLouis4′s avatar in real life. lol

  • Anonymous

    The iPad might see some competition once the Xoom get’s discounted a few hundred bucks.

    • Anonymous

      False. The DROID Xoom is already selling more than the iPad 2. In fact it’s killing it.

      • Anonymous

        Is that the kind of math they teach you in Android fanboy school? In that case, two weeks ago, iPad 1 was selling infinity times more units than Xoom. Yay.

      • Tim242

        LoL are you new around here? Norm is so over your head.

      • Anonymous

        Please don’t feed the troll.

      • http://twitter.com/chrismanning Chris Manning

        According to whom? Your posts scream Android fanboy.

      • Tim242

        LoL are you new around here? Norm is so over your head.

      • Anonymous

        Norm’s a retard wearing a helmet. Disregard his rants…I think his Mother/Father were actually Sister/Brother. The helmet covers up the scar on his forehead where they cut off a 3rd thumb…

      • Davva360

        You could also say Xoom is outselling iPad 4 or Xoom 2 or Ford Mustang hover car.

        Can you come back to reality for once.?

    • Anonymous

      You mean like in the UK where the WiFi-only XOOM price is only $10 more than the 16gb iPad?

      • Anonymous

        No I mean each Xoom need to be heavily discounted for it to truly compete with the iPad. It’s no offense to the product. The Xoom is a great device and there are many true Android fans that will buy it at the current price… However to compete with the iPad, the Xoom models will need to be much cheaper than their Apple counterparts. That’s why the Android phones are doing so well, they majority of them are cheaper than the iPhone. Also more evidence is that the Android marketplace does not sell more paid apps than Apple. The majority of Android users are cheap plain and simple. Once again it isn’t a dis against the products or the true Android fans… it’s a dis against the masses that flocked to Android because it’s cheaper but I guess that’s what you get when you what crazy impressive market share growth.

      • Anonymous

        Wait, wait, wait; you honestly think the pricing model of the hardware and software has something to do with Android owners being cheap? That is hilarious considering most Android devices at launch are the same price as the iPhone. Obviously those prices decline over the life of the device, just like the iPhone 4 will reduce at launch of the iPhone 5. As for apps, that’s even funnier. Meanwhile Apple is busy gouging both consumers and developers.

  • http://www.buildingiphoneapps.com JF Martin

    100 hundred would-be tablets can come this year on the market. This number alone is not a certainty for their success to compete the iPad.

    • Kurt

      I think it will cost android. People won’t be able to distinguish between all the tablets. The HP and IPad will stand out

      • Anonymous

        Right, it’s hurt Android so much in the smartphone market.

  • Anonymous

    Just like every manufacturer tried to make an iPhone killer…where is the iPhone killer? Show me a phone that has outsold any version of the iPhone. 6 months from now show me a tablet that outsells the iPad line.

    People want a quality built product that works as advertised.

    • Anonymous

      Can’t really say there is an “iphone Killer” but what will apple make that will be an “android killer”? Apple is lagging in 3rd now.

    • Scorp

      There isn’t 1 phone that outsells and there isn’t 1 than can. If the manufacturers spent more time in making the build quality much better and focus on quality and not quantity while Google needs to polish the OS instead of worrying about “our OS doing everything” (but few things very good) they would have a solid competitor.

    • Anonymous

      The manufacturers didn’t need to make an iPhone-killer. Android OS was the iOS killer. Then again, only “mindshare” matters, not marketshare.

    • Tim242

      There are several Android phones that pwn the iphone. No one of them will outsell the iphone, because they all compete with eachother. That does not mean the iphone is king. This is a simple concept.

      • Scorp

        That’s exactly what makes it King. All the other devices are devouring the sales of each other while trying to say “I’m just as good as the iPhone”. I’ve had everything from the Captivate, Droid X, Incredible and EVO and they are ll very good phones but nothing special. Nothing at all.

      • Easa

        And what pray tell makes your iPhone so much better that you dont feel the need o articulate your point?

      • Tim242

        The iphone is certainly nothing special. It is just an app launcher. The Android phones you listed above are computers.

      • Anonymous

        Tell that to companies like HTC, who saw a 160% increase in profits in 2010 compared to 2009.

      • Anonymous

        What Android phone owns the iPhone? The Evo? The Nexus S?

        What’s the battery life on those phones? How often must you restart those phones to refresh ram? How is that their 8mp cameras still can’t deafeat the iPhones 5mp cam for still shots or video? Task killer or no task killer? Always asking yourself will my particular android phone get a update?

        I’ve been there done that.  Why is it that almost all tech blogs journalists seem to have an iPhone? Is it because they are fanboys and don’t know any better? I’ll tell you why, It’s because they’ve seen and demo’d all the android phones and go back to the original the iPhone. 

        Android has sone nice phones with sone cool features, but the apps is really what makes a smartphone. The android app store has improved but has a long way to go. The android fragmentation doesn’t end with firmware versions, fragmentation applies to the apps and the screen resolution, apples apps are designed for the iPhones screen size & resolution, android has so many phone screen sizes and resolution that with the larger 4.0″ screens some of the apps appear to be stretched because they are. 

  • Anonymous

    The analyst is a moron if he thinks Apple is counting on upgrades as central to their strategy. With 15 million units sold last year, they’re likely planning on trying to sell 3-4X as many this year to new customers, and not simply hoping that people will buy an iPad every year.

    • http://twitter.com/chrismanning Chris Manning

      You’re exactly right. Apple is a platform company. They don’t want to churn through the same people year after year. Yes, they want you to upgrade. That would make them happy, but what would really make their day is when a friend sits down with your iPad, and it clicks in his brain, so he goes out and buys one for himself, becoming a new Apple customer. Then, he wants that same ease of use/integration with his phone, so he gets an iPhone. Then, while waiting his turn at the Apple store, he plays around with the Macs, and ends up buying a MacBook Air. He has just become a lifelong customer across Apple’s offerings. He is exactly what Apple is trying to accomplish.

    • Booboolala2000

      And this is why this will again be a mild upgrade. Cameras and processors. That’s it. I’ll keep my XOOM thank you very much. It works very well and will get much better very soon. Its not just an app launcher. I thought widgets were great on a phone, even better on a tablet. Even if it is beta. But then again, I’m not afraid of a few challenges.

    • Booboolala2000

      Also, the 15 Million people that already bought one are generally the only people that want or could afford one. Tablets are a luxury item, not a necessity. So they need an internal churn.

      • Anonymous

        And that churn is usually very high with Apple.

      • Booboolala2000

        Of course it is.

  • Scorp

    All the Android tabs will do nothing but each the sales of the next Android device. They are all iPad wannabes. Besides a couple actual high end tabs the rest are cheap junk tabs that consumers won’t buy because you have to go on amazon to even find them.

  • Anonymous

    You can build a tablet that shoots rockets but you can’t beat apples AppStore

    • Tim242

      Most people only use a handful of apps. The most used apps are stock apps, and Google apps….like browser, gmail, flash, messaging. Stop being an app whore.

      • Anonymous

        Spoken like a true Google Zealot. That’s why ur rationalizing the lack of apps vs. look at my awesome dual core, gigabit, doo-dad. It’s lightening fast at doing nothing…

      • Tim242

        Spoken like a true apple zealot…230,000 + apps is hardly a lack of apps. Don’t come at me with a lot of it is crap. A lot of all app stores is crap. Example: iFart is the 7th most downloaded app on ios. #1 is Angry Birds. Fruit ninjas is in there somewhere. Both app stores have great apps that the other doesn’t. That lack of apps argument is sheer ignorance at this point. But, enjoy your new ipad with revolutionary cameras…you know, those things that were left off of the last one. You iTurds crack me up.

  • Anonymous

    Your comments are ridiculous.

    I love my XOOM, and of course it is out-selling a product that is not out yet. The XOOM is likely to continue its spec and customizable OS dominance over the iPad2, since I don’t expect Apple to make drastic changes in either category.

    I will say that this article was obviously written prior to the information from Amazon UK, pricing the XOOM at only $10 more than the 16GB iPad. That will definitely steal some marketshare, but the Apple fans will continue to talk about apps (as if they’re not coming for Honeycomb tablets) and “mindshare”.

  • ~J

    XOOM is king right now and will stay that way, its only gonna get better. Untill Apple gets FLASH it will always be a second rate tablet. I really like Apple, it has opened the door to a world most couldn’t even dream of, but so did Microsoft, its only a matter of time till Apple is toppled and a new tech power takes over, and whatever it is it’s gonna be powered by Android! DRIOD

    • Anonymous

      PPfftt…it’s about apps. Stop being a spec whore…

      • Tim242

        Most people only use a handful of apps. The most used apps are stock apps, and Google apps….like browser, gmail, flash, messaging. Stop being an app whore.

      • Scorp

        The apps are the main reasons we buy these things. They are what make these device worth while. Just having a browser, email and basic functions isn’t enough to make people spend money. Do not discount the importance of what apps do for the sales of these devices.

      • Anonymous

        I use far more than that, and ZERO Google crap. No need for it. I have corp email, corp access to systems, files, etc. Of those that I know who use tablets, and it’s quite a few, they all use a number of apps that are not included with the base systems.

        No problem being App whore at all. Love it! I have so many more choices…

    • Scorp

      Do you realize that the majority of general consumer don’t care about flash and doesn’t not realize what it does until someone points it out?

      • Tim242

        You think people don’t know what flash is? LoL

      • Anonymous

        those of us who frequent tech blogs are just a tiny drop in the sea of gadget consumers. We are ridiculously outnumbered so it’s not out of the question it speculate the large majority of users have no idea about flash.
        You put too much faith in consumers. I’d bet close to 3/4 of them are uneducated consumers who either buy an iPad because it’s and Apple and that’s what everyone gets or goes and buys an Android tablet because they think Apple’s stuff is too expensive. The rest of us actually do research and make and educated purchase based on our needs.

      • Anonymous

        Flash is that little bulb in front of the camera, usually in the upper left-hand corner that creates a bright light when you snap a picture. It’s very useful in bad lighting but, sometimes tends to over expose the rendered image.

        Spotlights always work better.

    • Anonymous

      Ya the king of tablets running android os. Far far from king of tablets over all. I’m not sure if you people have noticed but every site has or is converting there sites to work with iOS. So no need for flash.

  • Scorp

    Sure Apple won’t have all the market share, but they will sell more than they did last year because the market will grow as a whole. So let’s says after a year of sales they had 95% of the market selling 14 million of them. By this time next year, their market will most likely decrease to, let’s say for the sake of an argument, 75% but sold 25 million. Either way all the copycats are playing catch up and are desperately trying to differentiate themselves from other tablets, while not being mistaken for iPad knockoffs.

    • Tim242

      Copycats playing catchup? The first ipad had no cameras.
      Need I say more? Ok, I will. No flash = fail.

      • Anonymous

        You are so right TimmyBoy! No flash, no porno! Freaking fail!!!!!

  • Apple Fanboy

    iPad 2 will b on top bcuz apple makes gr8 thingz and xoom iz 2 expensive lol

  • Anonymous

    They say the competition is stiff / But I get a hard dick from this shit, now stick it in.

    • Tim242

      Thanks for that nice mental picture : )

      • Anonymous

        TimmyBoy! Haven’t seen YOU in a while. Or maybe I have been living the Android life in my basement with all my new Android toys, XBOX, PS3 and Alienware box!!!! Hard as a nickel baby!

  • Fashosbest

    There won’t be stiff competition, I highly doubt it. That’s not coming from a fanboy, it’s common sense. Wait til
    iPad 2 is revealed. I mean people now will choose the iPad 1 over Motoralo Xoom and the imitation HP Tab, especially HP’s because that looks exactly like an iPad.

  • Anonymous

    There’s only one thing that’s “stiff” about the competition.

  • Anonymous

    The iPad will always succeed because of its simplicity. Let’s face it. Honeycomb, and Android in general can be quite confusing for those that aren’t as tech-savvy (the majority of consumers). You don’t require much intelligence to be able to navigate an iPad (iOS) with relative ease.

  • Davva360

    The danger for android is too many tablets will just cause confusion and most consumers will defer to the name recognition of the iPad.

    In addition if there are too many they will cannabilise each others sales and will not be carried by major retailers.

    I went into Bestbuy this weeked and it took 3 employees and 10 minutes to find a Xoom. The iPad had an entire illuminated end cap.

  • Kirt

    No iPad 3 this year! Only iPad 2, so it will have to be strong enough to compete until 2012.

  • francois

    yes, the ipad will face stiff competition this year, next year and the next…….

    the others are so unoriginal, copycats…….. so utterly pathetic….let us see where it ends…..

    hail apple

  • Tenzin Jinpa

    It is annoying to read such reports especially when all the so call analysts fail to realize that Apple trump card is its user experience that iOS delivers. All the different makes of the Android tablets will not make a dent in Apple market share unless Google innovates on Android user experience and delivers what iOS will not be able to do. – Tenj

  • http://bit.ly/samirsshah समीर शाह

    Apple just has to bring down the prices by a $50 notch across the board and the all non-fit tablets will be wiped out. (Survival of the fittest).

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