Tablet market to drop 8% in 2015

IDCThe year’s looking bad for tablets as worldwide demand is expected to slide 8.1-percent to just 211.3 million units, according to IDC.

The new forecast follows three consecutive quarters of declining worldwide tablet shipments in 2015. Despite the challenges facing the overall market, IDC expects detachable tablets will continue to represent a growing portion of total shipments.

“We’re witnessing a real market transition as end users shift their demand towards detachables and more broadly towards a productivity-based value proposition. The proliferation of detachable offerings from hardware vendors continues to help drive this switch. We’re starting to see the impact of competition within this space as the major platform vendors – Apple, Google and Microsoft – now have physical product offerings. With attractive price points, including the introduction of sub-US$100 detachables, and platform innovation being driven by competition, IDC is confident that the detachables segment will nearly double in size in the next year, recording more than 75 percent growth compared to 2015,” said Jean Philippe Bouchard , Research Director, Tablets, IDC.

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Tablet sale slides 12.6% in Q3

IDCTablet sale continued its decline for the fourth straight quarter, according to IDC. Q3 shipment of 48.7 million units represented a 12.6 drop year on year, further highlighting the challenges the tablet market is facing.

At the close of 2014, IDC estimated the installed base of tablets to be 581.9 million globally, which was up 36 percent from 2013 but slowing quickly. With mature markets such as North America, Western Europe, and Asia/Pacific well past 100 million active tablets per region, the opportunities for growth are getting fewer.

“We continue to get feedback that tablet users are holding onto devices upwards of four years. We believe the traditional slate tablet has a place in the personal computing world. However, as the smartphone installed base continues to grow and the devices get bigger and more capable, the need for smaller form factor slate tablets becomes less clear. With shipment volumes slowing over four consecutive quarters, the market appears to be in transition,” said Ryan Reith, Program Director of IDC.

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Xiaomi nudges Apple off China smartphone perch

xiaomi logoXiaomi continued its phenomenal growth to regained its crown as the largest smart phone vendor in China with 15.9 percent market share in Q2, according to Canalys.

One in three smartphones shipped were from Xiaomi or Huawei, which grew 48 percent quarter on quarter to snag 15.7 percent of the market. Apple fell to third place, followed by Samsung and Vivo.

“The China smart phone market continues to mature, remaining stagnant quarter on quarter. Competition among major brands has never been so intense. Huawei recorded the highest smart phone shipments in its history without compromising its product margin or profitability. Apple and Samsung have both increased their sales activities in the China market, expanding rapidly in channel coverage through flagship stores and small to medium size phone retailers respectively. Xiaomi is under immense pressure to maintain its top position in the quarters to come,” said Jingwen Wang, Analyst of Canalys.

Australia tablet and 2-in-1 market takes massive hit

IDCThe numbers for the tablet and 2-in-1 market for Q1 in Australia look grim — total shipment was 770,772 units, representing a massive 40 percent quarter-on-quarter decline.

According to IDC, while the seasonal slump is customary, the magnitude of this decline is steeper than expected. Shipment decline of 25 percent year-on-year further reinforced the reality of a slow-down in demand for this product category.

However, drilling down into the segments reveals some positive signs. Whilst consumer shipments declined by 27 percent year-on-year, commercial shipments increased by a modest 1.2 percent.

Continue reading “Australia tablet and 2-in-1 market takes massive hit”

Global PC shipment down 7% in Q1

CanalysApple held on to its top spot despite a 16 percent drop in PC shipment in Q1. It shipped 17.2 million units, taking a 15 percent market share while Lenovo and HP came in second and third place respectively. Samsung was next with 9.5 million units shipped with Dell just behind with 9.4 million units.

Overall, the global PC market, including tablets, declined seven percent, according to Canalys.

“The growth drivers that previously helped the market through 2014 will have little effect this year. Vendors are struggling with exchange rate fluctuations which is making financial planning more difficult and forcing price increases. These challenges, combined with a softening of demand as Windows 10 draws nearer along with Microsoft’s free upgrade plans, means PC market declines will be greater in the second quarter than they were in the first,” said Tim Coulling, Senior Analyst of Canalys.

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End of notebook dominance

abi researchCan’t say that we did not see this coming. Tablets are set to overtake notebooks as the largest mobile computing category (includes tablets, MS Windows laptops, Chromebooks, and Ultraportable PCs), according to ABI Research.

Tablets, agreed by many to be in competition with Notebook PCs, will gain 52 percent majority of the mobile computing market by the end of 2015.

ABI Research forecasts the flat growth of notebooks, due to longer replacement cycles and device market competition, causing notebook devices to drop from 51 percent market share in 2013 to 48 percent in 2015, and further to 47 percent by 2016.

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Tablet shipment down 12% globally in Q4

CanalysThe stats are in – tablet shipment dropped 12 percent to 67 million units in Q4, according to Canalys. The desktop market fell back into a decline in Q4 as Windows XP upgrades waned. The notebook market held firm with another quarter of just one percent growth.

Total PC shipments (desktops, notebooks and tablets) fell six percent in Q4 to reach 148 million units, resulting in full-year 2014 shipments of 528 million units, up three percent on 2013.

Apple regained the top spot in the PC market on the strength of holiday sales, with just under 27 million units shipped. Lenovo’s shipments grew six percent year on year to almost 20 million units as it increased its market share to 13.3 percent. Samsung dropped out of the top three to make way for HP, with growth of 17 percent driving shipments over 17 million units, its best quarter since Q3 2011.

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Global smartphone shipment soars past 300m mark in Q3

Q3 is a stunninCanalysg quarter for smartphones as global shipment broke the 300 million unit barrier for the first time. This represented year-on-year growth of 23 percent, according to Canalys.

While Samsung and Apple remain the market leaders, the tussle for the third spot is heating up with was Xiaomi (six percent) followed closely by Lenovo and Huawei at five percent each.

“The global market is becoming more competitive, with vendors beyond Samsung and Apple enjoying growing success. A year ago, in Q3 2013, Samsung and Apple together accounted for 48 percent of worldwide smart phone shipments. While still impressive, in Q3 2014 this had slipped to 38 percent. This trend is likely to continue. It is down to the strong value proposition and increasing quality of products offered across all price points by competing vendors, most notably Chinese companies. In fact, six of the top 10 global vendors in Q3 are based in China,” said Chris Jones, Vice President and Principal Analyst of Canalys.

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New iPhones are bigger with Watch to come in 2015

iPhone 6It’s confirmed. The new iPhone 6 and 6 plus are bigger than their predecessors. Of course, this is not exactly news with the numerous leaks over the past weeks.

Sporting a 4.7-inch Retina HD display, the iPhone 6 is the smaller of the two and is marginally thinner than the previous incarnation. The larger iPhone 6 plus ventures into the phablet space with a 5.5-inch display. Both smartphones come with the A8 processor, a 8MP rear and 2.1MP front camera.

Singapore, Hong Kong, Japan, and Australia are among the 15 countries where the Apple products will be first sold on September 19.

Continue reading “New iPhones are bigger with Watch to come in 2015”

Tablet growth stagnates, notebook decline eases

CanalysWorldwide PC shipment hit 123.9 million units in Q2, representing year-on-year growth of 14 percent, according to Canalys. With no sequential growth, the positive effect that tablets have had on overall PC shipments is beginning to wear off.

Tablet shipment in Asia Pacific (including China) came in 8 percent below Q1 numbers, mainly due to a fall in shipment by Apple and Samsung.

Apple continued to lead the market with a 14 percent market share, though a 10 percent increase in Mac shipments could not make up for a decline in iPad sales, resulting in the company’s overall shipments declining by 5 percent.

Continue reading “Tablet growth stagnates, notebook decline eases”

Chinese smartphone vendors outpace market

IDCApple and Samsung, beware! Chinese smartphone vendors are hot on your heels. According to IDC, a wide range of Chinese OEMs more than outpaced the market in Q2, with Huawei nearly doubling its shipment from a year ago, followed by Lenovo.

Huawei’s growth is spurred by 4G LTE pick up, particularly in China, as all three national carriers subsidised 4G handsets to encourage consumers to upgrade from 3G. Outside of China, large volumes of its lower-cost Y series fueled growth across most regions. The company continues to focus on broadening its global reach and the Q2 results show that the momentum is undoubtedly there.

Lenovo had a record quarter in China despite tremendous pressure from local brands. During the quarter, Lenovo saw increased success from the A788T and the 3G A388T. While its Motorola acquisition is undergoing approval, Lenovo continued to gain traction in international markets. Though less than five percent of Lenovo’s shipments were registered outside of China in Q2 2013, this share nearly tripled this Q2, with emerging markets, particularly BRIC countries, picking up the largest volumes.

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Samsung keeps lead in tablet space

abi researchSamsung has retained its pole position in ABI Research’s tablet vendor Competitive Assessment. In the analysis of 23 leading tablet vendors, ABI Research ranked companies on several criteria for product implementation and vendor innovation. The Korean giant prevailed in the innovation category and finished second in the implementation strategy.

Close behind Samsung in second place is Apple. Clearly dominating in shipment volume, Apple has been a strong contender in the tablet ecosystem. Apple places number one in implementation strategy but comes in close second for innovation. The two leading tablet makers have managed to stay ahead of other tablet OEM vendors.

In third place is Lenovo, which has done a great job of expanding its tablet portfolio by marketing to a large audience range and providing unique user interfaces.

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PC shipment up 5% but tablet growth slows in Q1

Worldwide client PC shipment rose five percent year on year to hit 123.7 million units in Q1 , according to Canalys. Growth in tablet shipments slowed to 21 percent, yet at 50.8 million units they continue to outship notebooks. Tablets accounted for 41 percent of the market while notebooks had 38 percent.

Notebooks and desktops in China declined 13 percent and six percent respectively compared with the previous year.

In the tablet market, there was strong growth in the Middle East (100 percent) and Greater China (74 percent). The US market was adversely affected by a drop in Apple iPad shipment, which fell 40 percent. This was offset somewhat by 20 percent growth in China, Apple’s second largest market. Worldwide, iPad shipments in Q1 fell 16 percent year on year to 16.4 million and accounted for 80 percent of Apple’s total PC shipments. Despite this, Apple continued to lead the global PC market. Its share fell both sequentially and year on year from 20 to 17 percent, due chiefly to the increasingly competitive tablet market.

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Global tablet shipment misses target

IDCWorldwide tablet plus 2-in-1 shipments slipped to 50.4 million units in Q1, according to preliminary data from IDC. The total represents a sequential decline of 35.7 percent from the high-volume holiday quarter and just 3.9 percent growth over the same period a year ago. The slowdown was felt across operating systems and screen sizes and likely points to an even more challenging year ahead for the category.

“The rise of large-screen phones and consumers who are holding on to their existing tablets for ever longer periods of time were both contributing factors to a weaker-than-anticipated quarter for tablets and 2-in-1s,” said Tom Mainelli, IDC Program Vice President, Devices and Displays. “In addition, commercial growth has not been robust enough to offset the slowing of consumer shipments.”

Apple maintained its lead in the worldwide tablet plus 2-in-1 market, shipping 16.4 million units. That’s down from 26.0 million units in the previous quarter and well below its total of 19.5 million units in Q1 of 2013. Despite the contraction, the company saw its share of the market slip only modestly to 32.5 percent, down from the previous quarter’s share of 33.2 percent.

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Attached rate of factory installed car navigation units to rise to 38% in 2019

abi researchOnce a luxury item, embedded in-car navigation systems are now increasingly becoming less expensive and are offered in mass-market cars. At the same time, more and more car navigation units are becoming connected and multi-functional as they converge with other technologies in the car.

The attachment of embedded in-dash factory installed navigation units is expected to increase from 22 percent at the end of 2013 to 38 percent by 2019, according to ABI Reseach. This represents a compounded annual growth rate of 13.6 percent.

“However, this growth will be eclipsed by the number of smartphone-based navigation devices used in the car, particularly off-board devices, where navigation is performed in the cloud as opposed to on the device,” said Gareth Owen, Principal Analyst of ABI Research, which forecasts that shipment of handset-based navigation services will reach 1.68 billion globally by 2019.

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Tablets account for half of PC shipment in Q4

CanalysTablet shipment grew 65.2 percent year-on-year to reach 76.3 million units in Q4, according to Canalys. This represents nearly half (48.3 percent) of the global PC market, which increased 17.9 percent during that period. Excluding tablets, shipment declined 6.9 percent year-on-year with falls in all regions. 

Apple remained the PC market leader in Q4, shipping 30.9 million units to take a 19.5 percent share of the market. It shipped 26.0 million iPads, which accounted for 84.3 percent of its total shipment in Q4. Apple’s share of the overall tablet market increased sequentially from 27.3 percent to 34.1 percent, with the launch of the iPad Air and iPad mini with Retina display providing a much needed boost. The original iPad mini also fell in price, down to US$299 in the US, making it cheaper than ever to buy an iPad. But competition is mounting and Android tablets are falling in price, which will put pressure on Apple’s market share in 2014.

Lenovo secured an 11.8 percent share in Q4, narrowly holding onto second place. Lenovo’s PC shipments increased 25.5 percent year-on-year, driven by growth outside of its core Chinese market, where its shipment declined. Lenovo’s 11.7 percent decline in notebook shipments in China was offset by impressive growth in other regions, notably EMEA, where shipments grew 30.4 percent. Shipments in Latin America also grew strongly, following the acquisition of CCE in the first quarter of 2012.Lenovo was early to embrace Android as a tablet OS, while the likes of HP and Dell waited for Windows 8 and prioritized margin over volume. Lenovo’s strategy has paid off, not only in its home market but worldwide.

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Ultra-portables grow 100% in 2013

abi researchUltra-portables are becoming increasingly popular, growing 100 percent from 2012 to 2013, according to ABI Research. This translates to 12.3 percent (22.5 million) of notebook PC shipment in 2013 (182.7 million).

“Across 24 countries tracked in November 2013, we found average ultra-portable PC selling prices ranging from US$940 to US$1,540 with the majority of models offered above US$1,200 in each country,” said Jeff Orr, Senior Practice Director of ABI Research. “The ASPs suggest ultra-portables including the convertible and detachable 2-in-1 configurations remained at the high-end of the notebook PC category exiting 2013.”

Beyond Apple’s MacBook Air running MacOS, the bulk of ultra-portable PCs are powered by the Windows 8 operating system, which suffered fits and starts during 2013 due to usability issues and poor first impressions by early adopter audiences. A revision, Windows 8.1, was released in the second half of the year to address these concerns, though popular opinion suggests many considering a refresh to their existing systems are willing to wait for the hiccups to be worked out before making a financial commitment.

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Samsung is top global semiconductor buyer

GartnerSamsung Electronics is the world’s top semiconductor buyer, and together with second placed Apple, increased their combined semiconductor demand by 17 percent in 2013, according to Gartner.

The two companies consumed US$53.7 billion of semiconductors in 2013, an increase of $7.7 billion from 2012.

“Samsung Electronics and Apple have topped the semiconductor consumption table for three years running, with their share of the design total available market (TAM) rising from 12 per cent in 2011, to 17 per cent in 2013,” said Masatsune Yamaji, Principal Research Analyst of Gartner. “This increase clearly shows how fast the presence of these two companies has expanded over the last three years and why their decisions have technology and pricing implications for the whole semiconductor industry.”

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Tablets to account for half of PC market in 2014

 Source: Canalys

Tablets will almost out ship all other PC form factors combined, forming almost 50 percent of the total client PC market (desktops, notebooks, and tablets) in  2014, according to Canalys.

The worldwide client PC market grew 18 percent in Q3, despite desktop and notebook shipments continuing to decline. Tablet PC shipments accounted for 40 percent of PC shipments in Q3, less than half a million units behind global notebook shipments.

Tablet domination is set to continue, with Canalys forecasting 285 million units to ship in 2014, growing to 396 million units in 2017. Apple and Samsung are expected keep ahead of their competitors in the medium term, but there could be challenges for both vendors as competition in the tablet market continues to heat up.

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Large screen smartphones gaining popularity

CanalysThe numbers are clear. Big is getting more popular. Large screen smart phones (five-inch and above) accounted for 22 percent of the quarter billion smartphones shipped in Q3. This is the highest number ever and translates to a staggering 56 million units.

Samsung is the dominant player in the large screen segment. Breaking this down further, 66 percent of the 56 million smart phones had a five-inch display, 31 percent had screens between five and six inches while just three percent had six-inch or larger screens.

According to Canalys, the smartphone market grew 44 percent year-on-year in Q3. The top two vendors, Samsung and Apple, maintained their positions, with market shares of 34 percent and 15 percent respectively. Huawei, Lenovo and LG completed the top five.

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Apple to dominate smartphone-integrated vehicle infotainment market

abi researchApple’s “iOS in the Car” will lead the market for in-vehicle infotainment (IVI) systems equipped with smartphone integration technologies, according to ABI Research.

It predicts that the market will grow substantially during the next five years to reach 35.1 million units globally by 2018. Of these, 49.8 percent will be equipped with Apple’s “iOS in the Car”, 43.6 percent with MirrorLink and 28.2 percent with other technologies.

Developments in the smartphone world are revolutionising consumers’ in-car expectations. Besides Internet connectivity itself, the ability to select apps whenever they choose is probably one of the IVI features that consumers value the most.

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Mobile device platforms move towards more integration

abi researchSeveral trends are affecting the market for mobile device semiconductors. Two have been the shift towards multi-core application processors and the addition of x86 and MIPS to what used to be purely an ARM play. Two newer trends are the addition of heterogeneous processing functionality and 64-bit processors for mobile devices, according to ABI Research.

The trend towards more integrated platforms is the most crucial because the revenue of standalone components is folding into integrated platforms and the revenue for mobile device semiconductors lie with the higher cost components – mostly the application processor.

While the shift from standalone components to integrated platforms is drastic over the next five years in terms of shipments, this shift is even more radical in terms of revenue. From 2013 to 2018, the share of integrated platforms compared to all application processors in terms of shipments will jump from 46 percent to 79 percent while the revenue shares of the same will be higher. Smartphone application processor (integrated and standalone) revenue as a percentage of total mobile device semiconductor revenue for the major components will increase from 71 percent in 2013 to 89 percent in 2018.

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New Apple hardware? OK, but free OS and apps sound really good!

OSXApple’s fall event early this morning (Singapore time) was about thinner, lighter and more powerful products. Yes, these are improvements but not something that would get me excited to lay my hands on one.

After all, having gone through two iterations of the iPad and other Apple products, the new announcements seem to be marginal improvements. OK, the new iPad Air is lighter and thinner but hey, I’m already used to having the New iPad (or at least, that’s what it was called at launch). However, what kept me awake (remember, it was in the wee hours) was the announcement that users can have the latest Mac operating system, OS X Mavericks, for free. Now, this has the potential to be a game changer especially in its battle with Windows. How often have we heard of free Microsoft products? If at all…

According to Jan Dawson, Chief Telecoms Analyst of Ovum, the changes to Apple’s software licensing for Mac OS X, iLife and iWork is also important, not least for Microsoft. Continue reading “New Apple hardware? OK, but free OS and apps sound really good!”

Innovation and brand equity key for China smartphone makers in global market

frost and sullivanChina smartphone makers looking to take their domestic success globally need to carefully consider their expansion strategies, according to Frost & Sullivan.

While the China market has been driven by demand for cheap devices that offer a unique range of services such a virtual goods, messaging apps, and photo sharing, the more mature Western markets are very different, with carrier relationships, strong brand equity, and innovative features crucial to success.

Along with Huawei and ZTE, three interesting China companies have ambitions to take their smartphone businesses international: Lenovo, Yulong Coolpad and Xiaomi. The first and most successful China smartphone company is Lenovo, which has the largest smartphone market share of China companies, second only to Korean giant Samsung in China. Lenovo is also one of the most diversified China electronics companies, with a broad portfolio. The company has already achieved success on the global stage with its PC business, now the world’s largest after overtaking HP in 2012.

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Android-based tablets taking over the lead

abi researchA shift in leadership is now upon the tablet mobile computing market, observed ABI Research.

At the year’s mid-point, the market intelligence firm has identified a trio of events signalling Apple’s iPad family of products has passed the baton to the Android ecosystem. During Q2, the number of Android-powered tablets surpassed iOS-based slates for the first time, tablet-related hardware revenues reached parity, and perhaps most important, the average selling price (ASP) of iPad is rapidly approaching the market average.

Overall shipments in the quarter dropped 17 percent sequentially while growing 23 percent year-over-year for the same quarterly period. “Smaller 7-inch class tablets are finally the majority of shipments,” says Jeff Off, Senior Practice Director at ABI Research. “The 7.9-inch iPad mini represented about 60 percent of total iPad shipments and 49 percent of iPad-related device revenues in the quarter.”

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China ships 110 million mobile phones in Q2

IDCChina’s mobile phone shipments reached 110 million in Q2, with smartphones accounting for 86 million units, according to IDC.

“The smartphone market has maintained a two-digit quarter-on-quarter growth rate in Q2 due to two reasons. First, the substantial shipments of low-end smartphones at a unit price of less than RMB800 that support China Mobile’s 3G network. Second, the shipments prepared by mobile phone vendors to meet the market demands of students during the summer vacation,” said Antonio Wang, Associate Director for Client System Research, Imaging, Printing & Document Solution Research, Research Operation Center, IDC China.

“The sharp increase in shipments of low-end China Mobile smartphones has driven the growth of Lenovo and Coolpad. On a separate note, affected by the sluggish sales of iPhone 5, Apple’s market share has declined dramatically, but its performance is expected to remarkably improve with the launch of the new iPhone,” said James Yan, Senior Analyst for China Mobile Phone Market, IDC China.

 

 

Apple and Samsung clamouring for attention with new colours

iPhone 5sApple and Samsung are slugging it out for attention in Singapore and across Asia. Yesterday, Apple fans in Singapore queued to be among the first to lay their hands on the Apple iPhone 5s and 5c, with the novelty of having the phones in gold — a popular colour among Asians. In fact, many were disappointed when their choice of gold iPhones were not available for online orders.

And Apple is not the only maker garnering interest. Samsung’s latest incarnation of the Galaxy Note is also drawing lots of admirers, not just from die-hard Samsung fans. It has been reported that those who pre-ordered the new  Samsung Galaxy Note 3 can collect their devices from September 27. The 32GB version will be available in Singapore at S$1,048 and the accompanying Galaxy Gear smartwatch will be priced at S$488.

Samsung is also breaking out of the traditional black and white models but offering a pink version, which will be available at a later date.

 

Local smartphone makers best Apple in China market

abi researchTo most people around the world, Coolpad, Lenovo and Xiaomi don’t quite ring a bell when it comes to smartphones. But, in China, these three Chinese smartphone OEMs outsold Apple in Q2, according to ABI Research.

Only Samsung managed to hold its own but snaring a 17 percent market share. Lenovo was next with 13 percent, Coolpad with 10 percent and Xiaomi edged out Apple with 6.5 percent.

“Even though these OEMs are only selling into the Chinese market, the size of the market has allowed them to achieve shipment volumes that place these OEMs in the top 12 globally. It is not hard to imagine these OEMs as global competitors within the next two years,” said Michael Morgan, Senior Analyst of ABI Research.

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Tablets to outship PCs in Q4

IDCTablets and smartphone shipment will continue to drive growth in 2013, according to IDC, which expects tablet shipment to surpass total PC shipment (desktop plus portable PCs) in Q4. The worldwide smart connected device market, comprising PCs, tablets, and smartphones, is forecast to grow 27.8 percent year over year in 2013, slightly lower than the 30.3 percent growth in 2012.

PCs shipment is still expected to be greater than tablet shipment 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 percent 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 percent in 2013, but this growth will gradually slow to just 3.1 percent in 2017. The tapering revenue forecast reflects the increasing impact of low-cost smartphones and the white box tablet market.

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Android mobile app revenue to hit US$6.8b this year

AndroidAndroid’s smartphone mobile app revenues are projected to reach almost US$6.8 billion by the end of 2013, nearly doubling its revenues from the previous year, according to ABI Research.

The Android platform has some way to go before catching iOS’s smartphone revenues but the smartphone app market will be Android’s most fruitful hunting ground compared to other devices.

ABI Research estimates that Android smartphone app revenues will increase from 59.1 percent to 65.9 percent when compared to iOS smartphone app revenues over the next 12 months.

Continue reading “Android mobile app revenue to hit US$6.8b this year”