I can see iPod Touch being less appealing than an iPad for sure if one had to select one or the other. Apple have to have planned for that but it certainly doesn't eat into iPhone sales. The question is will they phase out Touches or drop the price significantly. If they do the latter I can see both Touch and iPad selling well.

I have a feeling it doesn't cannibalize the MacBook market much, if at all. I would put money down that whoever would buy an iPad over a notebook would be buying it over a comparatively priced notebook. If you feel like you need a MacBook, you need a MacBook.

Any college student I've talked to that owns a netbook constantly complains about it, and talks about how it wasn't worth the cost regardless of the price. They wouldn't take an iPad in place of it, but many of them have said to me: "man, I wish I bought a Mac". For those who want a small netbook just to have something lightweight to browse the internet with in their bag, I do think the iPad is the ideal solution. I still don't plan to buy one, but kids who don't even own/like Apple notebooks are really interested in the iPad around campus.

Since buying my iPad, use of my iPhone and iMac has dropped off dramatically and I now use iPad 90% of the time. The iPhone is just a phone to me now and I haven't used an app or the data network since getting the iPad. My iMac gets turned on to sync my iDevices and occasionally surf the web but that's it. If it was possible to use iPad as my main/only computer, I'd do it in a heartbeat.

I thought we were all in agreement that Huberty was among the worst of the worst in terms of Apple analysts... Who cares what opinion she floats out there? A bolus is a bolus.

The potential market for the iPad and related "larger" mobile computing devices (Tablets or Slate) is yet to be fully tapped. This is the case also for smaller mobile computing devices, like the iPhone and the iPod Touch

Cannibalization occurs mainly or is apparent only when their respective markets near saturation. Thus, the market for smaller and larger mobile computing devices therefore may continue in their respective growth phase, side by side. And the time when they each reach their respective decceleration in growth, may not at all be a case of cannibalization but a saturation of their respective markets.

Sure there would be cannibalization but the iPad and related mobile computing devices will co-exist with the desktops, laptops, netbooks and smaller mobile computing devices for a very long time, because each have defind functions, and some have defined demographic targets.

The iPod Touch and the iPad differ in their cost and portability, and more important their actual "function", even if the features seem almost the same. More than likely, the iPod Touch will appeal more to younger people both for its portability and the cost. How can you ever hide playing with the iPad when you get bored with the class or those neverending school activities?

I doubt that the data provided can predict the extent of cannibalization. This is especially true with the netbook data -- the period provided is just too short. The July-September is a back to school period while the next quarter is the holiday period. That sales would dramatically fall during the next two quarters (as seemed to be inferred from the netbook sales) is a normal pattern for many consumer products -- even the historical record of Apple sales would show that, after you exclude the expansion in market.

As to the consumer survey, that is just that, a consumer survey. I doubt very much that it even scratched the potential market of iPad and related mobile computing devices.

The market is still in growth phase for both the iPad Touch, and more so with the iPad and related larger mobile computing devices. As far a netbooks are concerned, it is too soon to predict whether they reach their plateau. Their exponential phase came at a time while the world economy was quite bad.

CGC

Katy "the worst Apple analyst" Huberty just doesn't get it again. You have to have a computer to use an iPad.

My guess: it may cannibalize a small fraction of iPod Touch sales, where Touch customers find they can do more with an iPad, but it will rebalance the desktop/notebook market towards the desktop. The iPad buyer gets great portability and may be equally happy with a desktop (which is more price efficient per feature) as their other machine.

The LAST thing Apple will allow is the touch to die on the vine. A pocket-sized music player that also runs Apps is one thing only - the touch. Look for it to gain features that differentiate it from the iPad.