A new report from Strategy Analytics published on Wednesday suggests so-called "Brand X" tablets collectively outperformed Apple's iPad and offerings from Samsung in 2014, marking the first time generic device makers beat out the two established brands on a year-end basis.
According to research firm Strategy Analytics, generic tablet suppliers rebadging their products under another brand name shipped around 70 million devices last year to take 29 percent of the worldwide market, reports Re/code.
Apple retained its spot as the top global tablet vendor with 26 percent of the market, while rival Samsung ended the year with a 17 percent share, the report said. Inexpensive Brand X tablets are beginning to encroach on the market leaders' lofty positions, however, as the tablet format reaches developing markets where price often takes priority over polish. In addition to serving emerging markets, generic tablet makers supply hardware for rebranding and distribution as part of U.S. wireless carrier promotions given away on contract.
"It's pretty easy to find the deals: Get a data plan and a tablet for free," said Strategy Analytics senior analyst Eric Smith.
For the most recent quarter ending in December, Apple reported iPad sales of 21.4 million units, down 18 percent year-over-year. The sales decline spurred a 22 percent dip in revenue from the same time last year, earning Apple about $9 billion compared to 2014's $11.5 billion performance.
Apple CEO Tim Cook addressed slumping tablet sales during the company's quarterly earnings conference call in January, reiterating that iPad has a bright future and numbers should stabilize "over the long run." Commenting on platform longevity, he cited a recent report from Chitika Research that found iPad users account for more than 70 percent of tablet-based Web traffic in North America. The statistic suggests less expensive tablets are not being used as often as Apple's device.
Cook tempered investor expectations, however, saying iPad may not see a "miraculous" improvement year-over-year performance in the near term.
In the coming months, Apple is rumored to release a larger format "iPad Pro" that could present an opportunity for the company to debut a tablet stylus. Aside from an alleged 12-inch screen size, little is known about the supposed jumbo-sized tablet.
60 Comments
I was confused by the words "outperformed" and "beat" until I read further and realized it was just comparing units shipped. I feel these are misleading clickbaity word choices.
Ah, so the no name tablets that no one uses and people get for free to run free apps and never buy anything for or on and do nothing useful with... is "beating" Apple. Yeah. Who cares.
I'll tell you what the real story should be... is what happens when people realize that they don't want this crap taking up room in their house and trash it? There are tons of electronic equipment and crap that people buy for nothing that consumes natural resources and has no real value on earth. We need to stop it and make and purchase products with real value and real longevity.
And also, HOW MANY generics are there?! It's like saying the "Big Three" automakers "outperformed" and "beat" Tesla! But who wants a Focus if you can have a Tesla? I know there are people who can't afford a Tesla (like me!) so the other options exist. Same as with tablets. But the best is still the best and total numbers shipped of all the others combined means nothing. They are a conglomeration, whereas the iPad is champ with just a few models which are definitely STILL the choice of the general public.
I think Apple's marketing leaves a lot to be desired these days. 'Bigger than big'? That's the sort of drivel I expect from Samsung, not Apple. They seem to have tried inhouse ad teams, but I don't think it's working out well. There's not enough focus. But, to put it into perspective, the iPad is still amazingly successful. It's sad that Jobs died so young, as his was the driving vision that created it, and he died only the year after it was introduced. If only he had been able to cheerlead his baby for a little longer.
These are the tablets pre-loaded with malware, right? Eeyup.