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Yahoo! Finance & News

The tablet market's problem is Apple, not the other way around

May 05, 2014

"We're seeing a bit of the natural adoption cycle going on with tablets," says John Barrett, an analyst with Park Associates. "Early buyers want lots of features, which is Apple's forte. The value shoppers come later and they're more willing to make trade-offs for price."

The second Apple issue is related to the first. At the low end of the market, tablets costing a few hundred dollars or less, Apple has left a so-called price umbrella for competitors. Apple lowered its entry price from $499 to $329 at the end 2012 with the iPad Mini. But since then, it has only cut the price of the Mini by $30 while competitors including Samsung, Google and Amazon have gone much lower. Samsung’s new Galaxy Tab 4 sells for $200 and Amazon is selling tablets for as little as $129.

From the article, "The tablet market's problem is Apple, not the other way around" by Aaron Pressman.

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