Taipei, Tuesday, August 30, 2016 04:04 (GMT+8)
mostly cloudy
Taipei
31°C
Digitimes Research: Intel to achieve 80% of 2014 tablet AP shipment goal
Jim Hsiao, DIGITIMES Research, Taipei [Friday 16 May 2014]

Intel is set to ship 40 million application processors (APs) for tablets in 2014, up 400% from the volume in 2013, though most market watchers believe the goal is rather difficult to achieve. Digitimes Research has found that Intel is currently placing its focus on penetrating into the Android tablet market and is persuading brand vendors and China white-box players to join its camp by offering subsidies and support from its China-based supply chain, which Intel has been nurturing.

With Microsoft also seeing success for its detachable tablets with high price-performance ratios and set to become more aggressive in the entry-level Windows tablet segment in the second half, Digitimes Research expects the Windows on Intel platform to become another important contributor to Intel's tablet AP shipments for 2014.

Digitimes Research expects Intel to ship 32 million tablet APs in 2014, achieving 80% of its goal.

In terms of platform proportions, 60% of Intel's shipments will be adopted in Android-based models because the Android-on-Intel tablet is the main focus of Intel for 2014. Intel started offering technology support, marketing subsidies and CPU price cuts for Android-on-Intel tablets in the second half of 2013 and has been nurturing China's supply chain to provide low-price components.

Currently, Android-on-Intel tablets' costs are already lower than those of the same level Android-on-ARM models. Asustek Computer has already turned to adopt Intel's platforms for all of its Android-based product lines, while many brand vendors and China white-box players have also been considering following suit.

Since the Android tablet market's scale is far larger than that of Windows tablets, penetrating into the Android tablet market is much easier than expanding the Windows tablet market, Digitimes Research believes.

Although only 40% of Intel's tablet APs will be used in Windows-based tablets, the volume will still grow significantly to 12.8 million units in 2014. The growth will be contributed mainly by two factors: Microsoft and Asustek's jointly developed T100, which successfully entered a market segment that other notebook and tablet vendors have never touched; and Microsoft's decision to offer free Windows for 9-inch and below mobile devices, which provides Microsoft with chances to cooperate with white-box supply chain to develop entry-level Windows tablets.

Digitimes Research expects 65% of Intel's tablet AP shipments to go to brand vendors because their shipments are more stable and the two sides have been cooperating over notebook products for a long time.

The remaining 35% will be shipped to China's white-box players. In addition to providing the same subsidies to white-box players, Intel is also investing in China's supply chain to gain white-box players' trust.

Content from this article was part of a complete Digitimes Research Chinese-language report that has not yet been translated into English. If you are interested in an English version of the report or wish to receive more information about the report, click here to contact us and we will get back to you as soon as possible. Digitimes Research also provides quarterly tracking services for market sectors such as Global Tablet, China Smartphone, China Smartphone AP, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

Realtime news
  • Digitimes Research: China mobile AP shipments to growth over 18% in 2H16

    Bits + chips | 6h 35min ago

  • TSMC orders equipment for NT$21.3 billion

    Bits + chips - Stockwatch | 6h 49min ago

  • TOK steps up investment in Taiwan

    Bits + chips | 7h 2min ago

  • Acer, Asustek to release over 18-inch display gaming notebooks

    Before Going to Press | 6h 50min ago

  • GCL-Poly Energy to acquire SunEdision's technology, factory assets

    Before Going to Press | 6h 51min ago

  • Sunrex Technology finishes capital downsizing

    Before Going to Press | 7h 8min ago

  • Vendors to shift away orders from BYD

    Before Going to Press | 7h 8min ago

  • Weak tablet demand prompting vendors to leave business

    Before Going to Press | 7h 9min ago

  • Kingston becomes largest shareholder of OSE

    Before Going to Press | 7h 10min ago

  • BYD 1H16 net profit hikes over 384%

    Before Going to Press | 7h 10min ago

  • Sharp Taiwan president hopes for cooperation with Japan Display in R&D of OLED

    Before Going to Press | 7h 10min ago

  • HTC aims at over 10,000 HTC Vive-supporting applications in 2017

    Before Going to Press | 7h 38min ago

  • Digitimes Research: China mobile AP shipments to growth over 18% in 2H16

    Before Going to Press | 7h 38min ago

  • Sharp likely to not acquire OLED equipment as scheduled, says Nikkei

    Before Going to Press | 7h 39min ago

  • IBM Taiwan expects growth potential in Taiwan, says executive

    Before Going to Press | 7h 46min ago

  • Former HTC CEO to attend Tokyo Game Show

    Before Going to Press | 7h 46min ago

  • Taiwan makers cautious about possible fluctuation in orders from China smartphone vendors

    Before Going to Press | 7h 47min ago

Pause
 | 
View more
IFSEC
Intel strategies in the mobile device market
Analysis of China revised domestic semiconductor industry goals
  • 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.