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iPad sales predicted to slump in 2020 amid wider PC and tablet market dip

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New data from market research firm Canalys points to a severe drop in PC and tablet sales over the course of 2020 due to an economic recession fueled by the ongoing coronavirus.

According to Canalys, PC and tablet shipments are expected to tally a collective 367.8 million units in 2020, down 7% from 395.6 million units in 2019. The market will remain flat in 2021 and return to growth in 2022 at a rate of 2% year-on-year, the firm said.

With the COVID-19 curve flattening in major markets around the world, and the Chinese supply chain largely revived, Canalys predicts pent-up demand in remote learning, education and other segments to drive year-over-year growth in the second and third quarters of 2020. A dip in the fourth quarter is expected to give way to a return to growth in the first quarter of 2021.

Tablets remain an area of weakness, however, as products like iPad and competing devices are deemed as "non-essential" items, the firm said. In the U.S., Canalys believes that if the economy does not recover, consumers will "move away from discretionary spending" on products like iPad at the end of the year.

The prediction comes as an increasing number of businesses and individuals invest in laptops and desktops for remote work duties.

"COVID-19 has given the PC industry a boost. Despite the progress that smartphones and tablets have made in recent years, the need for a high-performance mobile computing device has never been more pronounced," said Rushabh Doshi, Canalys Research Director.

Remote learning programs are expected to drive sales of Chromebooks in the coming months, an area in which Apple competes with its iPad in Education initiative. Apple's solution is more expensive on the whole when compared to setups using Chromebook hardware, an important factor for schools to consider during an economic crisis.

When Apple reported earnings for its second fiscal quarter of 2020, the company noted a slight decrease in year-over-year Mac revenue, from $5.5 billion to $5.4 billion. The tech giant's tablet sector suffered a more substantial blow, dropping from $4.9 billion in 2019 to $4.4 billion during the three-month period ending in March.

It should be noted that firms like Canalys do not have insight into Apple's supply or retail chains and provide estimates based on independent research. The methodology, and more importantly results, of market research firms have been brought into question in the past, with Apple executives dismissing predictions as largely incorrect.



10 Comments

hentaiboy 14 Years · 1252 comments

I have it on good authority that a Japanese manufacturer will release a product next year that makes iPad look like an Apple Newton.

You heard it here first.

Rayz2016 8 Years · 6957 comments

New data from market research firm Canalys points to a severe drop in PC and tablet sales over the course of 2020 due to an economic recession fueled by the ongoing coronavirus.

Can’t be that many jobs where you’re paid good money for stating the obvious.

GeorgeBMac 8 Years · 11421 comments

Rayz2016 said:

New data from market research firm Canalys points to a severe drop in PC and tablet sales over the course of 2020 due to an economic recession fueled by the ongoing coronavirus.

Can’t be that many jobs where you’re paid good money for stating the obvious.

That "obvious" may be based on the fatal error of only looking at one side of the coin:  Telemedicine, remote learning and remote work will increase the demand for tech devices.   Will that be offset by a recession?   My suspicion is that some industries (like entertainment, travel and leisure) will be hard hit while others chug along.   In other words, we will be seeing a significant realignment rather than an across the board recession.

GeorgeBMac 8 Years · 11421 comments

If ever Apple is to strike and enter the education system now is the time.
Predictions all point to an expansion of remote learning in the summer and fall -- an expansion that will become a permanent part of education.

To date, Google and Microsoft have completely dominated the education scene.   Apple dipped a toe into the market when they introduced the iPad Gen 6 but since then has not appeared to do much.   This is an important market as young people are being taught and conditioned to use Google and Microsoft products to the point where they may feel comfortable using those products and not something like MacOS where they lack familiarity.  While public education may not be profitable for Apple it could be beneficial over the long term.

And, now that the iPad can use a cursor, the iPad can double as both a tablet and a laptop.   That makes it a much better buy for cash strapped school districts.

neilm 16 Years · 1001 comments

And yet we’ve also read stories about robust iPad sales during the pandemic as people discover that such devices are indeed essential.