This is going to happen. Competitors are going to start building more competitive tablets and budget tablets are saturating the market. All that matters to me is that Apple continues to make great products. I don't care how many other people use them as long as they work well and have the developer support that Apple has.
Yes, but Apple still has 37% of that market. The market is growing by leaps and bounds. Along the way some very low end units are getting market share, but nothing close to Apple, on a per company basis.
Apple shows 14 million units sold. Not exactly a poor showing.
It will only get worse as the number of well build Android tablets in the $129-$199 range increases. There are a couple now, and there will be more. Apple doesn't need to compete with the < $99 market, because it's garbage.
But having quality Android tablets at 1/3 - 1/2 the price range compared to Apple's latest is going to really dent this figure even more.
there are actually two quite different markets: the post-PC vision, where Apple is dominant, and a ultra-low margin product thats also called a tablet but which is really a totally different product.