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First iPad sales estimates: four million this year, double that in 2011

Even though the device won't be released for another two months, Gene Munster of Piper Jaffray has been quick to revise his sales estimates for the iPad. His former estimate of 1.9 million units sold in the first 12 months was based on an estimated average price tag of $600; now that we know the iPad is priced much lower than that, Munster has revised his estimate accordingly. With the official pricing revealed, Munster now projects iPad sales of 3-4 million units in the first twelve months and double that amount in 2011, which would generate $4.6 billion in revenue for Apple next year.

Munster doesn't think the iPad will cannibalize Mac sales, however. "The gadget is a premium mobile device, not a computer," Munster believes, and goes on to say that "consumers looking for an affordable portable computer will likely stick with the MacBook lineup." Munster thinks it far more likely that the iPad will cannibalize sales of the iPod touch, and has revised his sales estimate of that device downward by 1.8 million units for 2010.
I can tell you at least one person who won't be part of that 3-4 million sales for the iPad: me. When we at TUAW posted about our dreams for the then-unnamed tablet last August, I said, "In order for me to get really excited about an iTablet, it would have to be more than a gap-filler between the iPhone and the MacBook. It would have to be revolutionary, a device that does something neither existing product is able to do." Based on what I've seen about the iPad so far, though, the device seems to be something targeted toward people who don't already have that particular setup and are missing either an iPhone/iPod touch or a MacBook. That might be exactly what 3-4 million people are looking for this year, and maybe 8 million more next year, but it's not something that suits my own computing needs in any way.

What do you think? Are you planning on getting an iPad and joining Munster's legions? Let us know in the comments.

Even though the device won't be released for another two months, Gene Munster of Piper Jaffray has been quick to revise his sales estimates...
 

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caricaturesbydave

I will be buying one. I own an iMac, Macbook Pro 13 inch and an iPhone. Wifi only for me is perfect. A large-screen and powerful iPhone with NO $100 a month commitment? HALLELUJAH!

Thank you Steve Jobs for thinking of all the vast number of folks worldwide who will NEVER be power users and just want their media delivered conveniently and simply. And what about the power users? Hey, there's plenty to choose in 140,000 apps and always more to come, not to mention those folks already have a capable computer anyway. It's not for everyone and it can't do everything which is why the OS is limited and super-simple, perfect for the non tech-savvy folks. It won't replace my Macbook Pro with Photoshop and Dreamweaver and about 200 apps I've accumulated over the last decade - why would it? But will it be more comfortable on my couch in front of my TV? Of course. Will it be perfect for my mom who will really only surfs and emails and never got the hang of downloading and installing files and apps? Definitely!

Remember the last gigantic change in media delivery? The iPod. At first, it was useable only with a Macintosh and sold very well to that audience. It was an immediate "hit" in that community but the PC world ignored it until their platform was supported and then it took off like gangbusters. In those days, the Macintosh was 2-3 percent of the USA - now, Macintosh is more like 10%, so the 'halo' effect will be much more pronounced from the iPad. Also, PC folks have no problem using the iPhone, they'll have no problem using the iPad which is very similar (same OS but more capable hardware = a bunch of new OS abilities).

Ipods are ubiquitous but mostly invisible, however the iPad will be ubiquitous and VISIBLE and it's as thin and wall-mountable as can be AND can hook up with huge monitors... I predict an infinite stream of iPads on walls of infinite homes and businesses - now the internet streams through a window full of video, photos, movies, tv shows and music. Surprise! The future is NOW and only one device delivers it all, seamlessly: the iPad.

I saw the future when I bought the first iPod. It was obvious to me and so many others. Pundits and analysts? They didn't get it at all and as a group, they dismissed the iPod, the iPhone and now the iPad - talk about slow learners! LOL

January 28 2010 at 9:19 PM Report abuse rate up rate down Reply
bioadam

Why all the negativity? Chris Rawson's dig at the iPad is especially reprehensible. Why turn an analysts estimates into a story about you and what you would buy? If you need some attention, find a friend.

January 28 2010 at 10:15 AM Report abuse rate up rate down Reply
Adam Newman

For me, it's not as much that it will cannibalize Touch sales as it will nab Kindle sales.
I've been waiting to buy a Kindle to see what Apple would offer. When I started following the live blogs yesterday, I was underwhelmed as I figured pricing was going to be close to $1000.

Now, for $499 (less than $100 more than the big Kindle) I get a full color device with tons more capability than the Kindle.

Totally changed my mind. I've got a MacBook and an iPhone, so the $499 version fits in well with my desire for a Kindle-killer...

Just my $0.02

Adam

January 28 2010 at 10:08 AM Report abuse rate up rate down Reply
jfreibourn

Most people want a computing device to do email and browse the web, which is the biggest argument for a netbook. This is not made to be a better netbook, it's made to be a better NOTEBOOK. As you see this in use, I think you'll find that there is nothing out there like this--something that can replace a lot of paper.

January 28 2010 at 9:46 AM Report abuse rate up rate down Reply
andythefiredog

Ah...Guys....

At $499, $599 and $699 for the Non-3G models, the Average Selling Price is $600....minus $1.



January 28 2010 at 9:24 AM Report abuse rate up rate down Reply
Zach

This is the most pointless device ever. I have absolutely no use for it. I have something much more portable and user friendly...THE iPHONE!! Why would I possibly want a humungo iPhone...I mean really...you let me down Apple. I'm disappointed.

January 28 2010 at 9:05 AM Report abuse rate up rate down Reply
DanielPeiser

Of course I'll buy one! Here are my 10 reasons to buy the iPad:

1. I just want to check email, browse the internet and watch movies from bed
2. Actually I am glad the iPad doesn’t have a camera because it gives you a good excuse to buy another one in a year or so
3. I need a color screen to read books because I just look at the pictures
4. I agree with Jobs that those ugly USB ports and memory card slots are useless and would ruin a beautiful design
5. I need a third device to carry with me along with my iPhone and my MacBook Air
6. Adobe Flash... is it that lightning fast guy wearing a red costume... right?
7. I own a small iPhone and the iPad looks just like augmented reality to me
8. I own an iPhone and I want to see my Apps bigger
9. I just want a device to surf the web while watching tv on the couch
10. It’s just the best toilet web browsing gadget ever.


;) Top 10 reasons NOT to buy the iPad are here:
http://www.bealoud.com/technology/apple-ipad/

January 28 2010 at 8:47 AM Report abuse rate up rate down Reply
John Kirk

The number of people here who are posting that this device will "fail" have no perspective. Look, what if I said that Apple was selling a big screen touch for $500? Could Apple sell 4 million of those? You bet they could (will). My children (13, 12 & 9) would love to have one of these to surf the web, listen to music, watch video, text their friends, etc. If people stop thinking about exactly what their expectations were and start remember that there are a lot of people out there who aren't like them, they'll realize that this product is a slam dunk - and will become a no-brainer success once the new iPad specific applications are released. Finally, remember the original iPhone way back in, you know, 2007? No apps, no GPS, no cut & paste, etc? It's come a long way in three years. And the iPad will too. This is only the beginning.

January 28 2010 at 7:57 AM Report abuse rate up rate down Reply
Eric

I think based on all the speculation, the iPad is a disappointment for the Apple user community. It doesn't stream HD video to my TV over a wireless HDMI cable and it's missing any kind of reasonable connectivity (where is the USB slot?).

What about the consumer who didn't follow the rumors and discovers the iPad in the Apple store for the first time?

I expect anyone shopping for just the iPod Touch will seriously consider the iPad instead. If you want an ebook reader that isn't Kindle then you will also want this device. It's a better computer for watching video on-the-go than the iPod Touch/iPhone, so anyone looking for a portable DVD video player will consider this as well. Finally, existing XP tablet users who really just need a tablet will start shopping for this once the applications become available (doctors, repair techs, architects, engineers, etc.).

Clearly Apple isn't targeting the computer geek with the iPad, it is too restrictive a platform to serve as a general computing device.

January 28 2010 at 7:53 AM Report abuse rate up rate down Reply
Mel

As much as I love and adore Apple, I find they truly missed the mark on this one. Maybe because I'm a young kid, but the iPhone screen size is what makes the iPhone perfect. Easy to carry everywhere. And I barely use it consume media, so watching videos on it is a rare occasion.

I don't see the benefit in carrying around a 10" iPod Touch. I already have an iPhone that has 3G coverage. If I'm going somewhere far I'll need to take my laptop for any serious work. Hence I have a 13" Screen. If I'm going somewhere close, then I will most likely have my iPhone. If I'm at home, I have my laptop and my iPhone. I just don't see where this fits in. Steve tried to say it does everything better. But to me, it seems it does everything the same as the iPhone with no improvement other than a larger screen. I mean, even look at the icons. They couldn't fit more than 4 in the dock. Also, the home button is in the center, but when is your thumb ever going to be in the center like it is with the iPhone? It just seems really not innovative. Like someone said, let's take an iPod Touch and make it 10" and do nothing else. Let's take away the camera. Let's only have 1 speaker (I believe). Let's not make the screen widescreen so when watching videos you have a big black space. Part of the reason the Kindle, and E-Readers work is because it has an E-Ink screen. I do not think the iPad will have an easily readable screen as the E-Inks. It just seems like it doesn't really fit. You can't really carry it around without a case or anything. So if I'm going to carry something somewhere I might as well take my laptop.

Anyway, that's my two cents. And this is coming from a guy who bought an iPhone 2G, 2 iPhone 3G's, and 2 iPhone 3GS's. (Wife came onboard with the iPhone 3G ;-) ).

January 28 2010 at 7:13 AM Report abuse rate up rate down Reply
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