Feeds

High-end Samsung slabs, cheapie Androids take healthy BITE out of Apple's market share

Q3 sales growth stalls but Redmond's Surface still waiting in wings

The Essential Guide to IT Transformation

The rise of entry-level slabs coupled with an "ageing" portfolio caused Apple iPad sales growth to flatline in calendar Q3 and market share to crash, analyst figures have confirmed.

Global sales-in numbers – shipments to retailers and distributors – show that 51.5 million slabs were rolled out in the three months, up 113 per cent on the same quarter in 2012.

And while the post-Jobsian empire is still top of the tab tree, sales were 14.1 million, up 0.3 per cent year-on-year. As a result market share more than halved from 58.2 per cent to 27.4 per cent.

Tim Coulling, senior analyst at Canalys, said Apple's "ageing portfolio", new devices were launched after the quarter ended and these additions were "overdue".

"The tablet market develops so fast that a year ago is a long time," he told us. "Android has got better on entry level tablets, we have seen that market explode but Apple stood still with unit shipments and lost share."

He said that a year ago the "tide had started to turn" as vendors realised they needed to slash costs to be competitive and upsell customers to higher-end devices – their latter efforts have been a boon for Samsung.

In the low-end Android space, product margins are in the low-single digits - the stuff of nightmare for Apple CEO Tim Cook.

Korean chaebol Samsung saw Q3 sales shoot 2.6 times to 9.5 million units, handing it a market share of 18.5 per cent versus the 10.9 per cent it held a year ago. It picked up share in the 10-inch-and-above tablet bracket, where Apple's kit was greying.

Sneaking into third for the first time is PC-maker Lenovo, on the back of 2.3 million shipments, 27 per cent of which were in Greater China. It also did well in Latin America, where it acquired CCE. It sold just 439,000 tabs in the same period a year ago. Market share hit 4.5 per cent.

The Chocolate Factory, AKA Google, slumped to 3.6 per cent market versus the 6.2 per cent it held a year ago as sales grew 24 per cent to 1.85 million tabs, much slower than the market average.

Coulling said Google is not gunning for market and much like Microsoft is using the Nexus 7 as a design reference point for its operating system.

Asus, which makes the Nexus 7 and therefore could actually stake a claim to being the third largest maker of slabs, grew 96.1 per cent to 1.7 million tabs, giving it a market share of 3.3 per cent.

Hidden among the rest was Microsoft Surface, which found a home with 850,000 users (60 per cent Pro and 40 per cent RT) versus 300,000 last quarter. Market share grew to 1.65 per cent compared to 0.89 per cent.

This was driven by a lot of deals where the price of RT was slashed, and expansion of the Pro was due to it being rolled out in more countries and through channel partners.

Looking ahead, tab sales are overtaking those of notebooks, whereas they were "level pegging" in Q3, said Canalys. PC buyers in the festive season are clearly opting for a fondler. ®

Build a business case: developing custom apps

More from The Register

next story
4K video on terrestrial TV? Not if the WRC shares frequencies to mobiles
Have your say with Ofcom now, before Freeview becomes Feeview
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
You didn't get the MeMO? Asus Pad 7 Android tab is ... not bad
Really, er, stands out among cheapie 7-inchers
Apple winks at parents: C'mon, get your kid a tweaked Macbook Pro
Cheapest models given new processors, more RAM
YES, iPhones ARE getting slower with each new release of iOS
Old hardware doesn't get any faster with new software
Leaked Windows Phone 8.1 Update specs tease details of Nokia's next mobes
New screen sizes, dual SIMs, voice over LTE, and more
Microsoft stands on shore as tablet-laden boat sails away
Brit buyers still not falling for Windows' charms
Nintend-OH NO! Sorry, Mario – your profits are in another castle
Red-hatted mascot, red-colored logo, red-stained finance books
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.