iPad Sales May Decline to Lowest Quarterly Level Since 2011

[MacRumors]

Apple will ship 9.8 million iPads in the first quarter of 2016, potentially its lowest quarterly tablet sales since the iPad 2 in mid 2011, according to Taiwan-based DigiTimes Research. The research note claims Apple will account for 21% of global tablet shipments, trailed by Samsung Electronics with 14% market share.

If the sales prediction proves to be accurate, 9.8 million iPad sales would represent a 39.1 percent quarter-over-quarter decline and around 20 percent decline compared to the year-ago quarter, based on iPad sales of 16.12 million in the most recent quarter and 12.62 million in the first calendar quarter of 2015.

Apple has sold less than 10 million tablets in a single quarter six times, but only once since June 2011. That sole time was the recent September 2015 quarter, when iPad sales totaled an uncharacteristically low 9.88 million. The overall tablet market has faced the same decline, with total shipments dropping 10.1% in 2015 over 2014.

iPad sales have declined for eight consecutive quarters year-over-year, partially because consumers upgrade their tablets less frequently than smartphones. Apple also skipped over releasing the iPad Air 3 last October, when it typically refreshes the 9.7-inch tablet, instead focusing its efforts on the introduction of the larger iPad Pro.

Apple is instead expected to debut the iPad Air 3 at its rumored March 15 media event, which could help combat the decline alongside the iPad Pro and iPad mini 4. Most of those sales will fall in the second quarter of 2016, however, so Apple's new tablets are unlikely to have a significant impact on the current quarter.

Article Link: iPad Sales May Decline to Lowest Quarterly Level Since 2011

 

[fenderbass146]

Apple will ship 9.8 million iPads in the first quarter of 2016, potentially its lowest quarterly tablet sales since mid 2011, according to Taiwan-based DigiTimes Research. The research note claims Apple will account for 21% of global tablet shipments, trailed by Samsung Electronics with 14% market share.

If the sales prediction proves to be accurate, 9.8 million iPad sales would represent a 39.1 percent quarter-over-quarter decline and around 20 percent decline compared to the year-ago quarter, based on iPad sales of 16.12 million in the most recent quarter and 12.62 million in the first calendar quarter of 2015.

Apple has sold less than 10 million tablets in a single quarter only six times, but only once since June 2011. That sole time was the recent September 2015 quarter, when iPad sales totaled a historically low 9.88 million. The overall tablet market has faced the same decline, with total shipments dropping 10.1% in 2015 over 2014.

iPad sales have declined for eight consecutive quarters year-over-year, partially because consumers upgrade their tablets less frequently than smartphones. Apple also skipped over releasing the iPad Air 3 last October, when it typically refreshes the 9.7-inch tablet, instead focusing its efforts on the introduction of the larger iPad Pro.

Apple is instead expected to debut the iPad Air 3 at its rumored March 15 media event, which could help combat the decline alongside the iPad Pro and iPad mini 4. Most of those sales will fall in the second quarter of 2016, however, so Apple's new tablets are unlikely to have a significant impact on the current quarter.

Article Link: iPad Sales May Decline to Lowest Quarterly Level Since 2011

What do you expect when no mainstream model comes out this year.

 

[Supermacguy]

Everyone has an iPad now, so there's less need to upgrade. I "might" consider getting a new one if they all had touch ID AND could use the pencil AND had force touch. Otherwise the one I have still does what I need it to.

 

[ka-spot]

new model each 6 months and there you go..

but , first give me MBPr 13" Skylake and MBP 14" Skylake (so I can have a Choice), then do whatever you want

 

[GenesisST]

Market saturation? I personally don't update my gadget every year.

 

[NovemberWhiskey]

I'm on my first and only tablet: my ipad air.

It is slowing down, but I just don't feel any compelling reason to upgrade yet, costs considered. It still services me just fine, as I don't really use it too much. When I need mobile browsing, I find myself using my 6S+ more often now. When I need serious browsing, I go to my macbook.

 

[trifid]

Apple killed this device with such shortsighted and outdated price point and storage, no innovation in input method (Apple pen too little too late) and no expandability (a single lightning connector limits potential drastically), $500/16GB for 5 straight years, really?

 

[JackieInCo]

I'm still occasionally using my iPad Mini 2. I have no plans to upgrade it in the near future, if I ever do. I have a Few MBPs and several phones. I really don't have a need for an iPad. I owned an iPad Air for about six months and sold it.

An iPad is something you just don't need to upgrade every year.

 

[Preclaro_tipo]

I can't justify a purchase of a new iPad and I'm insulted that these $500-$900+ devices don't have 2 speakers and a flash. Its just insulting, after all these years they can't spend $0.50 for an LED flash and $1.00 for speaker? I will never buy another iPad without both of these. They keep promoting how thin they are getting, how many years of people stating that they no longer care about thinness in the face of losing features until they start adding functionality and just maintain a thickness.

(more detail) I have the 32GB Cellular iPad 2. It is certainly showing its age in most categories, certain games, some web browsing, the speed and reliability of app installations (these could be related to iOS 9 issues) but for playing movies (mounted to the back of the drivers seat) for a 4 year old, and FaceTime, and email/photos it is very capable. I have configured it for my kid's use now, with her own iCloud account/email.

 

[firedept]

Not surprised. With the saturation of iPads on the market, it is no wonder. It would be nice to see it force Apple's hand into lowering the price or offering more of a device for the price. All though I do not see this happening.

 

[FSMBP]

iPad sales will pick-up once Apple updates iOS to add more productivity features utilized by newer models (like Apple did with iOS 9 and split-view).

 

[FightTheFuture]

iPad sales have slowed down for two key reasons:

1. Durability - a four year old iPad (4th generation for instance) still runs well enough for most people.
2. Market saturation - hard to sell a $270/500 device when 7-inch tablets start under $200 and Amazon Kindle fires start at $35.

I personally think Apple should begin upgrading their flagship Air and Mini every two years rather than each year, like they did with the iPad Air 2. It isn't like they're losing marketshare - all tablet sales are down. Folks just don't want to buy them every year and a tablet purchase shouldn't be treated like a smartphone. Additionally, most tablet upgrades have very few new features to upgrade to.

 

[Popeye206]

I'm on my first and only tablet: my ipad air.

It is slowing down, but I just don't feel any compelling reason to upgrade yet, costs considered. It still services me just fine, as I don't really use it too much. When I need mobile browsing, I find myself using my 6S+ more often now. When I need serious browsing, I go to my macbook.

Sort of in the same boat with an iPad2. However, I might be in the market for new one this year if there's a compelling update. The iPad2 is running just fine, but a newer one with more speed and maybe some other goodies would be nice.

 

[Stella]

I find apps for iPad overall too limited - I use my Macbook for most tasks because iPad cannot offer the functionality. Plus with the larger iPhone 6 screen I find I use my iPad less.

Also, I see no reason to update my 2 year old iPad Mini, it works just fine.

 

[airb330]

I'm still occasionally using my iPad Mini 2. I have no plans to upgrade it in the near future, if I ever do. I have a Few MBPs and several phones. I really don't have a need for an iPad. I owned an iPad Air for about six months and sold it.

An iPad is something you just don't need to upgrade every year.

Same here, my mini 2 is still going strong. I only use it when flying really, or occasionally on the couch. It surfs the web and plays movies just fine. For my needs, an iPad every 3-4 years sounds about right. I have my mini on iOS 7 and haven't regretted it yet so far for my needs; my husbands mini 2 runs fine on iOS 9 though.

 

[1Zach1]

Seems that the market is demanding more out of tablets now, keyboard, USB inputs, docking options, and expect a full OS.

 

[Mackinjosh]

Everyone has an iPad now, so there's less need to upgrade. I "might" consider getting a new one if they all had touch ID AND could use the pencil AND had force touch. Otherwise the one I have still does what I need it to.

It's more like everyone has a big phone now. My need for a tablet died when my phone became my tablet. Especially considering the idiotic pricing of Apple tablets with them still running a lame OS.

 

[mporcheron]

I would buy a new iPad, but Apple must find a way of convincing me. Telling me the new iPad is lighter than the last generation isn't going to make me shell out £500 for a new one.

 

[Fuchal]

I bought an iPad Pro, but it was the first iPad I've had since.... an iPad mini 1st gen? My mom's iPad 2 works for her just fine and she has no intent to upgrade.

 

[0815]

Everyone has an iPad now, so there's less need to upgrade. I "might" consider getting a new one if they all had touch ID AND could use the pencil AND had force touch. Otherwise the one I have still does what I need it to.

100% agree

Some of my family members are still happy on the iPad 2 - and the new once don't offer much reason to upgrade (SplitScreen is nice, but not yet supported wide enough, and updating just for Touch ID not worth it)

To get any of us (4) to upgrade, the iPad would have to have at least the same features as the latest iPhone ... I constantly try to force touch on me air2 :-(

 

[AustinIllini]

iPads are a baked product with a reasonably long lifespan in a saturated market. I would guess the iPad will be closer to a Mac-type market than an iPhone type market.

 

[b0nd18t]

16GB entry, iPad pro is a niche, no Air 3, no compelling reason to upgrade, the list goes on. When the majority of people are just using it for casual browsing it's not important to upgrade.

 

[Razeus]

iPads are not an upgrade every year item. Sorry Apple. Actually I find my iPad Air 2 sits more and more on the night stand. I might eBay it before iPad Air 3 arrives.

 

[Chupa Chupa]

iPad sales have declined for eight consecutive quarters year-over-year, partially because consumers upgrade their tablets less frequently than smartphones.

That is nothing but an easy excuse to explain away cratering sales. The reality is Apple has been derelict in giving consumers a compelling reason to upgrade their iPads. I am a serial iPad upgrader so I can say first hand their really isn't a whole lot of difference between the iPad 3, iPad 4, the Air, and the Air 2. Same goes with the Mini w/ Retina and the succeeding upgrades.

I realize TC keeps blathering on about how he believes the iPad line will be revived. But so far he has not shown a concrete product that will do this. I'm afraid the Air 3 is going to offer more of the same incremental iPhone leftover upgrades. If so, for the first time ever, I won't be getting a new 9.7" iPad.

I love my Air2, use it daily, travel w/ it often instead of my MBP. But I'm afraid TC and co. have abandoned the mini and Air for so long that the brand is just rotting on the vine. For media content device, consumers understand a $200 Android tablet works just as well as any iPad. If Apple wants to position the iPad as a post-PC device then the time is now or never. Otherwise its going to have the same fate as the iPod.

 

[0815]

Seems that the market is demanding more out of tablets now, keyboard, USB inputs, docking options, and expect a full OS.

I think you are trying to say there is also a demand for netbooks .... But I think there is also a demand for more simplistic devices.

Both have their place, none is a market where you upgrade yearly or every other year