Taipei, Wednesday, October 7, 2015 06:41 (GMT+8)
mostly cloudy
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
  • Passive component maker Mag.Layers reports flat sales for September

    Bits + chips - Stockwatch | 9h 8min ago

  • Giantplus reports 3Q15 performance

    Displays | 9h 9min ago

  • Phison to post record 3Q15 revenues, says report

    Bits + chips - Stockwatch | 10h 10min ago

  • Tablet demand stays weak, say Taiwan IC designers

    Mobile + telecom | 10h 14min ago

  • Compeq September revenues hit record for 3rd straight month

    Bits + chips - Stockwatch | 10h 15min ago

  • Silitech revenues up on month in September

    Mobile + telecom - Stockwatch | 10h 17min ago

  • Taiwan market: Chunghwa Telecom plans to offer 1Gbps/600Mbps FTTH services

    Before Going to Press | 9h 52min ago

  • KYEC posts record 3Q15 revenues

    Before Going to Press | 9h 53min ago

  • TPK reports September 2015 revenues

    Before Going to Press | 10h 33min ago

  • Toshiba, SanDsik reportedly among takeover targets of Tsinghua

    Before Going to Press | 10h 33min ago

  • Digitimes Research: LTE operators compete with Wi-Fi Alliance to use 5GHz band

    Before Going to Press | 10h 54min ago

  • SPIL 3Q15 revenues decrease 5.7%

    Before Going to Press | 11h 9min ago

  • TAITRONIC 2015 opens

    Before Going to Press | 11h 40min ago

  • Simplo Technology sees increased September revenues

    Before Going to Press | 11h 41min ago

  • Taiwan LCD driver IC firms look to post more than 10% revenue decreases in 4Q15

    Before Going to Press | 11h 41min ago

  • Unity Opto Technology September revenues up on month, down on year

    Before Going to Press | 11h 42min ago

  • Diode maker Eris August revenues rise 17%

    Before Going to Press | 11h 43min ago

  • Nanya names new president

    Before Going to Press | 11h 43min ago

  • Asustek, Acer see large sequential growth in September notebook shipments

    Before Going to Press | 11h 43min ago

View more

The Big Fund - China's next step to becoming a global semiconductor leader

RESEARCH EXTRAS | Sep 16, 17:49

China has been solidifying its semiconductor industry policy objectives through the release of the "National IC Industry Development Guidelines" in June 2014 and "Made in China 2025" in June 2015, with one key financial support program being the National IC Industry...

Display panels for wearable devices: Market overview and forecast through 2017

RESEARCH EXTRAS | Jul 23, 12:15

The wearables market is a growing focal point for many vendors and players in the display panel supply chain. This Digitimes Research Special Report looks at developments in panel applications in the wearable industry, with a specific focus on panel makers in...

Taiwan LCD TVs – 2Q 2015


Taiwan-based LCD TV makers are seeing improving shipments. Among them, Foxconn Electronics (Hon Hai Precision Industry) will have the strongest shipment growth in the second half due to procurement orders from Mexico.

Global tablet market – 2Q 2015

GLOBAL TABLET | Aug 21, 12:11

Digitimes Research saw global tablet shipments fall to 45.76 million units in second-quarter 2015, showing a 10% decrease on quarter and representing more than a 15% decrease on year.

China smartphone market and industry – 2Q 2015

CHINA SMARTPHONE | Aug 18, 15:33

Smartphone sales in China no longer show any significant momentum for growth as the fast maturing market now increasingly relies on replacement demand from existing users.

Developments in the UV LED industry
Wireless broadband developments in Southeast Asia markets
2015 global notebook demand forecast
  • 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.

  • 2015 global tablet demand forecast

    This Digitimes Research Special Report provides a 2015 forecast for the global tablet market and analyzes the strategies of key market players such as Google, Apple, Intel, and Microsoft.

  • 2015 China smartphone panel trend forecast

    This Digitimes Research Special Report analyzes the strategies of key China-based major panel makers BOE, Tianma and IVO for attacking the different market segments through technology and pricing, and their relationship to local vendors Huawei, Lenovo, ZTE, Xiaomi and Coolpad.