With Apple intent on maintaining its lead in the tablet category, a report says the company is getting ready to release an iPad with a seven-inch screen and cameras on both front and back. At the same time, there is push-back on the idea that drops in sales for laptops are due to the iPad.
According to a Monday report by Rodman analyst Ashok Kumar, the smaller iPad may be released as early as the first quarter of next year. Kumar said he based his conclusions on conversations with Apple suppliers. A tablet of that size to complement the existing 9.7-inch iPad could help Apple head off competition from the most visible new tablet rival, Samsung’s Galaxy Tab.
‘Grossly Exaggerated’
Samsung said last week that the Tab, running Google’s open-source Android operating system, will be released in the U.S. through the Big Four wireless carriers — AT&T, Verizon Wireless, Sprint Nextel, and T-Mobile. This distribution immediately gives the product a major leg up against any other emerging tablets.
The iPad’s huge success — 3.3 million iPads were sold in 10 countries through the end of Apple’s last quarter in June — has led to speculation that it is impacting PC sales. Among others, Best Buy CEO Brian Dunn told The Wall Street Journal earlier this month that his company’s internal analysis indicated the iPad had cannibalized sales of laptops, including netbooks, by as much as 50 percent.
But in a statement released Friday, Dunn dialed back that assessment. “The reports of the demise of these devices are grossly exaggerated,” he said. “In fact, we see some shifts in consumption patterns, with tablet sales being an incremental opportunity.” Dunn added that Best Buy expects notebook and netbook sales “will remain a very popular gift this holiday” because of the benefits they offer.
‘Height of Hysteria’
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