Taipei, Friday, November 28, 2014 10:06 (GMT+8)
mostly cloudy
Taipei
26°C
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
  • Taiwan market: Smartphone shipments in 3Q14 hit record, says IDC

    Mobile + telecom | 2min ago

  • Sinbon Electronics capitalizes on IoT

    IT + CE | Nov 27, 21:56

  • Panel makers to see increased orders for qHD, WVGA and FWVGA panels in 2015

    Displays | Nov 27, 21:42

  • Delta Electronics to add stake investment in Neo Solar Power

    Before Going to Press | Nov 27, 21:31

  • Foxconn to cooperate with Alibaba, 21 Vianet to set up Wi-Fi network in southwestern China

    Before Going to Press | Nov 27, 21:30

  • Taiwan PCB production value to rise 7% in 2014, says IEK

    Before Going to Press | Nov 27, 21:29

  • Demand for PCIe SSDs to boom, say controller suppliers

    Before Going to Press | Nov 27, 21:28

  • Global COF tape supply likely to fall short

    Before Going to Press | Nov 27, 21:28

  • Taiwan market: Smartphones sized 5-inch and above make up 67% of overall smartphone market

    Before Going to Press | Nov 27, 21:27

  • LG Display aims to expand its vehicle display business to US$2 billion by 2018

    Before Going to Press | Nov 27, 21:26

  • Taiwan market: TV vendors slash prices 15% to spur orders

    Before Going to Press | Nov 27, 21:25

  • Medical material industry output value in Taiwan up 5.4% on year in 2014, says IEK

    Before Going to Press | Nov 27, 19:53

  • Low-price notebooks inferior to ordinary models in component quality and durability, say Taiwan makers

    Before Going to Press | Nov 27, 19:19

  • Wage rates in eastern China rise in November

    Before Going to Press | Nov 27, 19:18

  • Global LED lighting production value in 2015 to grow 30%, say Taiwan makers

    Before Going to Press | Nov 27, 19:15

Pause
 | 
View more

Wireless broadband developments in Southeast Asia markets

RESEARCH EXTRAS | Nov 12, 10:53

As of 2013, the 10 ASEAN nations had a total of over 700 million mobile subscriptions, with the CAGR from 2003-2013 reaching 24%, and the share of the global user base rising from 4.9% to a high of 10.6%. This Digitimes Research Special Report analyzes the various...

Trends and forecasts for the China FPD industry, 2014-2017

CHINA FPD | Oct 6, 12:29

With China being the world's IT production center and a country with some of the strongest consumer demand, along with benefits on custom tax, funding, loans, and subsidies provided by the government, China's FPD industry continues to show strong growth. Local...

Taiwan handsets – 3Q 2014

TAIWAN ICT | Nov 20, 10:53

Taiwan's top handset ODM Foxconn Electronics lost a significant amount of feature phone orders from Microsoft Mobile in the third quarter, while the biggest brand vendor HTC also saw a sharp decline in its shipments. But for others in Taiwan's handset sector,...

China smartphone market and industry – 3Q 2014

CHINA SMARTPHONE | Nov 14, 19:21

Looking at smartphone sales in the local China market, under the influence of stagnating sales of international brands, a lack of differentiating features in high-end and high-cost/performance ratio products marketed by China-based makers, and ultra-low-cost...

Taiwan LCD TVs – 3Q 2014

TAIWAN FPD | Nov 14, 15:51

Taiwan's LCD TV manufacturing sector saw mixed performances among its players in the third quarter of 2014, resulting in only slight growth in overall shipments. For the whole of 2014, the Taiwan makers are expected to see a 1.8% growth in shipments, falling...

China FPD, 2014-2017
Analysis of China revised domestic semiconductor industry goals
Trends and developments in the OTT market
  • 2014 global high brightness LED market, trends and shipment forecast

    For the global LED lighting market, the market size will reach US$25.82 billion in 2014 or a market penetration rate of 23.4%. This is attributable to exponential shipment growth for light bulbs, tubes, and directional lamps.

  • Greater China touch panel shipment forecast through 2015

    This Special Report provides forecasts through 2015 for Greater China touch panel shipments with breakdowns based on technology (glass, film, resistive), application (smartphone, NB and tablet) and by firm.

  • 2014 global tablet demand forecast

    This report analyzes the main players, their strategies and shipments forecasts for 2014, as well as other factors contributing to either growth or decline in various segments within the tablet market, with a particular focus on Apple, Google, Samsung, and Microsoft, along with whitebox vendors.