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Tablet component suppliers concerned over iPad's dominance

Tablet component suppliers in Asia are concerned about the lack of competition in the tablet market. The iPad is the dominant player and is driving the growth in the industry. This is great now that the iPad is growing 166% year over year, but it doesn't bode well for the future when iPad sales reach their saturation point.

Other tablet manufacturers are either dropping out of the race completely or proceeding cautiously. As a result, these companies are ordering small volume orders which won't help component suppliers when the demand for the iPad sales begin to level off.

To combat this possible slowdown, component suppliers are reportedly working hard to meet the demands of these trailing tablet makers. Second tier component suppliers, in particular, are more flexible and willing to accept these smaller orders. These suppliers are likely grabbing orders while they can and hope that one of these competing tablets will catch on before iPad demand begins to plateau.



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Mac iPad

Tablet component suppliers in Asia are concerned about the lack of competition in the tablet market. The iPad is the dominant player...
 

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Howie Isaacks

I think it's a bit too soon to start worrying about the iPad reaching a plateau. It's as if you're suggesting that once we buy an iPad, we won't want another one in the future. I'm on my 4th iPhone, and I've had several iPods, and 6 Macs since 2001. I'm sure that my Apple product buying habits aren't too different from other Apple fans. My interest in these products has never plateaued.

October 25 2011 at 11:38 AM Report abuse rate up rate down Reply
Xander

Given Tim Cook’s assessment that the tablet (read: iPad) market potentially has a higher ceiling than even the PC market… what exactly are these component makers worried about? (Just that… everyone will only be buying iPads?)

October 24 2011 at 11:08 PM Report abuse rate up rate down Reply
PeterScott

I'd much rather a decent Apple TV 3, for $99, than an Apple branded TV for $2999.

What is really so complex about using a TV?

October 24 2011 at 7:29 PM Report abuse rate up rate down Reply
1 reply to PeterScott's comment
Actionable Mango

What is so complex about replying to the right story?

October 25 2011 at 7:52 PM Report abuse rate up rate down Reply
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