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Companies set to gobble up Apple iPads; is it the right move?
by Ryan Roff on December 16, 2010
Before the Apple iPad debuted, concerns of an illegitimate operating system surfaced, leaving many to question its relevance as a handheld device. Those with technological expertise failed to see how a glorified iPhone could make an impact in the netbook, or hybrid device, market. Quickly, upon arrival, however, as Apple products always seem to do, the Apple iPad generated not only intrigue and envy, but it also may have made believers out of the technologically savvy IT crowd.
Apple has cashed in big time on the iPad. It is expected that sales could reach 13.3 million iPads in 2010, and by 2012, sales could reach as many as 56.1 million iPads. Of all forecasted tablet sales, the Apple iPad is likely to control 70% of the market.
The corporate and business crowd, however, is relatively untapped thus far.
According to a survey done by ChangeWave, out of 1,641 corporate IT buyers, 7% said their company now utilizes a tablet device, and of those that use a tablet, the Apple iPad seems to be the device of choice (controlling 82% of those purchases).
Perhaps most intriguing about the survey is that 14% of respondents believe their companies will purchase a tablet in the first quarter of 2011. Of those 14% that plan to purchase a tablet, 78% said their company plans to purchase the iPad.
It seems the doubts of the iPad being an illegitimate device are being dismissed by the technologically advanced minds in companies moving forward with the purchases of the iPad in the first quarter of next year.
Additionally, tablet sales look to be cannibalizing, or replacing/reducing notebook sales. Bill Shope of Goldman Sachs expects “19.1 million notebook units to be lost to tablets in 2011, and 26.1 million to be lost in 2012.” Often, cannibalization is thought of in terms of like items, but in this case, tablets truly seem to be cannibalizing notebook sales.
As more companies and corporations seem to be acknowledging the legitimacy of the iPad, it may be important to ask, is it just a fun, time-killing device or does it offer the tools necessary to complete the day-to-day functions of the typical employee?
It certainly has e-mail, web browsing and presentation capabilities, but with an App-based device, it is hard to believe the Apple intrigue and dominance won’t play a part in the purchasing decision, not so much its functionality as a universal device able to handle most software.
Hey, at least employees can have fun in the airport with an App like Angry Birds.