iPad Mini Will Be a Holiday Winner as Google Gains Ground
The Apple iPad will be a holiday hit and help to drive tablet sales for Apple, says a new report. But it won't prevent Apple from losing market share, particularly to Google partner Asus.Apple's iPad Mini continues to receive a vote of confidence from analysts, who expect the tablet to be a holiday best seller. While the pricing of Apple's iPads, which traditionally begins at $499, has set them apart from $199 competitors, the smaller Mini, with its $329 price tag, enables Apple to compete for more budget-conscious consumers. Analyst Michael Walkley, with investment firm Canaccord Genuity, continues to generously refer to the iPad Mini, not as $130 more than its competitors but discounted $170 from its peers. "With the impressive refresh of the fourth-generation Retina iPad and launch of the iPad Mini earlier this week, we anticipate very strong holiday quarter iPad sales," Walkley wrote in an Oct. 28 research note. "In fact, with Apple's decision to price the iPad Mini at a $170 discount to similar fourth-generation iPad SKUs and competitively priced versus lower priced competing products from Google and other Android OEMs, we anticipate strong sales of the iPad Mini, especially as gifts during the holiday quarter." Canaccord expects Apple to sell 9.25 million iPad Mini devices during the December quarter, 40 million Minis in fiscal year 2013, and 92.5 million total iPads in fiscal year 2013, up 59 percent from fiscal 2012.
"While we believe these strong sales [of the Mini] will come largely at the expense of Apple's competition, we concede iPad Mini will likely cannibalize iPad and iPod Touch sales," Walkley wrote, adding that the firm now expects Apple to sell 14.6 million iPads (the Mini excluded) during the December quarter.