Taipei, Tuesday, March 3, 2015 00:39 (GMT+8)
mostly cloudy
Taipei
17°C
Digitimes Insight: HP shows that tablet success can be had, at a price
DIGITIMES Research [Friday 2 September 2011]

Hewlett Packard's (HP) plan to launch "one last run" of TouchPad tablets comes only about a week after the vendor stated it would no longer be producing webOS devices. While the quick reversal can be explained by HP's need to clear out inventory in its manufacturing supply chain, the strong sales of the TouchPad once HP lowered the price to US$99 shows that HP is probably not too worried it will get stuck with product once it receives shipments from its suppliers.

According to Digitimes, HP originally released orders for 900,000-1.1 million 9.7-inch TouchPads to Inventec and has taken delivery of 800,000-900,000 units. The shipped TouchPads were nearly all sold out after the vendor slashed the tablet's price to US$99. In an effort to mend its relationship with component suppliers and channel operators, HP decided to help them clear out inventories, including touch panels, batteries and chassis, equivalent to 100,000-200,000 units of 9.7-inch TouchPads.

HP sold about 400,000 TouchPads in the two days after it slashed the price from US$499 to US$99, up from only 25,000 units in total at Bestbuy before August 17. Digitimes Research analyst James Wang pointed out that the lesson for the tablet market is that vendors can compete with Apple as long as product quality is good enough and the price is incredibly cheap.

While the future of webOS remains up in the air, Wang believes that among potential buyers of WebOS, a list which includes vendors as varied as Apple, Facebook, Google, HTC, Microsoft, RIM, Samsung, and Sony Ericsson, only Facebook has any incentive to use webOS to build a platform that has potential to expand its market share. The idea would be to basically give away webOS at no charge, like Google does with Android.

Other potential buyers would have more interest in the webOS patent portfolio rather than building a platform.

Wang is the author of the Digitimes Research Special Report, "Expectations for the 2H 2011 tablet market."

Topics: Page 2

Companies: Inventec

Realtime news
  • Haier entering tablet OEM business

    IT + CE | 1h 42min ago

  • Samsung, LG and Sony to purchase 42% of global TV panel supply in 2015, says IHS

    Displays | 3h 11min ago

  • TV vendors shifting strategy to prevent panel pricing from increasing

    Displays | 3h 13min ago

  • Lextar Electronics to expand LED epitaxial wafer capacity

    LED | 3h 35min ago

  • SMIC starts mass production for CMOS image sensors

    Bits + chips | 3h 39min ago

  • MWC 2015: HTC, Samsung to showcase new mobile innovations

    Before Going to Press | 3h 2min ago

  • Digitimes Research: South Korea sees worldwide memory market share of 57.1% in 4Q14

    Before Going to Press | 3h 22min ago

  • MIIT sets 2015 targets for China broadband Internet-access development

    Before Going to Press | 3h 24min ago

  • WPG to acquire Genuine shares

    Before Going to Press | 3h 25min ago

  • Digitimes Research: Taiwan IC design industry output value to grow 13% in 2015

    Before Going to Press | 3h 25min ago

  • Ichia Technologies sees decreased February revenues

    Before Going to Press | 3h 30min ago

  • China imports about 93 million tonnes of polysilicon in January

    Before Going to Press | 3h 32min ago

  • Solartech sees decreased February revenues

    Before Going to Press | 3h 33min ago

  • China market: Outdoor LED lighting valued at CNY14.7 billion in 2014

    Before Going to Press | 3h 33min ago

  • China LED chip production value in 2014 estimated at CNY12.0 billion, says GLII

    Before Going to Press | 3h 37min ago

  • Danen Technology February revenues down on month, up on year

    Before Going to Press | 3h 38min ago

Pause
 | 
View more

2015 China IC design market forecast

RESEARCH EXTRAS | Jan 23, 10:50

Global economic growth is forecast to reach 3.8% in 2015, up from 3.3% in 2014. From the perspective of the electronics industry though, PC shipments will continue to decline, smartphone shipment growth will drop, and tablet shipments may decline. Despite the...

2015 global AP market forecast and vendor analysis

RESEARCH EXTRAS | Jan 23, 10:46

Digitimes Research estimates that total 2014 AP shipments will reach 1.52 billion units worldwide, up 19.6% from 2013, and in 2015 the global market will see shipments of 1.65 billion units, growing 8.5% on year. The slowdown is mainly due to a shrinking tablet...

Taiwan large-size LCD panels – 4Q 2014

TAIWAN FPD | Feb 17, 11:23

Taiwan-based makers saw their large-size TFT LCD panel shipments increase on year in fourth-quarter 2014, driven largely by demand for TV applications. But they are facing growing competition from China-based and Korea-based makers who are ramping up new production...

Taiwan LCD TVs – 4Q 2014

TAIWAN FPD | Feb 17, 11:07

Taiwan's LCD TV makers saw significant increases in shipments in the fourth quarter of 2014 thanks to strong seasonal demand, as well as Foxconn's shipments to Mexico to fulfill government procurement orders.

Taiwan small- to mid-size LCD panels – 4Q 2014

TAIWAN FPD | Feb 16, 15:11

Major Taiwan-based suppliers of small- to medium-size LCD panels changed their production strategies in fourth-quarter 2014 as the industry entered the slow season amid sluggish demand for smartphone applications and rising competition from China-based rivals...

2015 global notebook demand forecast
Trends and forecasts for the China FPD industry, 2014-2017
Greater China touch panel shipment forecast through 2015
  • Wireless broadband developments in Southeast Asia markets

    As of 2013, the 10 ASEAN nations had a total of over 700 million mobile subscriptions, with the CAGR from 2003-2013 reaching 24%. This Digitimes Research Special Report analyzes the various mobile broadband markets in ASEAN and looks at the respective trends in 4G LTE development for those markets.

  • Greater China touch panel shipment forecast through 2015

    This Special Report provides forecasts through 2015 for Greater China touch panel shipments with breakdowns based on technology (glass, film, resistive), application (smartphone, NB and tablet) and by firm.

  • 2014 global tablet demand forecast

    This report analyzes the main players, their strategies and shipments forecasts for 2014, as well as other factors contributing to either growth or decline in various segments within the tablet market, with a particular focus on Apple, Google, Samsung, and Microsoft, along with whitebox vendors.