Editor’s Note: Welcome to our weekly feature, Analyst Angle. We’ve collected a group of the industry’s leading analysts to give their outlook on the hot topics in the wireless industry.
Over the past few weeks, we’ve seen the introduction of the second generation of tablets, the Motorola Mobility Holdings Inc.’s Xoom and Apple Inc.’s iPad 2. It’s been just over a year since Apple launched its “magical iPad.”
These new, second generation of tablets are clearly beginning to mature into robust, high performing computing and communications devices that are going to be carried around and used by hundreds of millions of people. Globally, the tablet might become known as the only “truly personal computer” in which people can access the Internet.
Here are the characteristics that define this second generation of tablet computing:
–Better displays (Xoom: 1200 x 800);
–Front and rear facing cameras;
–Much faster graphics;
–Better user interfaces (Honeycomb for Android is amazing);
–Better ports in which to manage interaction;
–Ability to play HD video on large screen TVs (via HDMI);
–Better (faster) wireless communications (HSDPA+ for AT&T Mobility);
–Slightly lower pricing for Wi-Fi only tablets.
In a recent end user study on tablets conducted by Dr. Phil Hendrix of the Institute for Mobile Markets Research (Tablet Study, March 2011), he found that the ideal price for a tablet is $351, ceiling price to be $521. Above that, then the user will negatively affect their purchasing behavior. He also found that below $202, there’s perception of “too cheap and too low quality” to be considered.
The tablet market is still young. Sales this year are estimated by most sources to be around of 30 million whereas in a few short years they will be over 100 million per year.
The keys to wider adoption of tablets are:
–Software that enables content to be easily stopped and re-started across the user’s mobile devices. Amazon.com makes it possible for you to read a book on an iPad, stop, pickup your iPhone and continue reading at the same point.
–Synchronizing important personal data such as photos, movies, calendar, contacts and e-mail across your notebook, smart phone, tablet and the Web. Companies like Apple (MoibleMe), Funambol, CompanionLink, RealNetworks (Unify), Sugarsync and Synchronica are making good progress.
–Getting full-featured tablets price points under $500 a point at which Dr. Hendrix’ research shows will pull more buyers into the market.
–Integration of mobile hotspots using cross platform solutions from firms like Connectify to facilitate wireless Internet access for all your mobile devices.
–Developing more tablet-specific applications that leverage the user of the larger display. Efforts by publishers for newspapers and magazines are making great strides here. Think of reading Sports Illustrated and seeing all the action photos turn into video segments or reading the Wall Street Journal and instantly getting financial data on hundreds of companies.
–Being able to share your important visual information with friends and family both physically using the tablet and virtually over the Web. Pieces of this work well today, but there’s still a lot of work to be done to make it effortless.
–Adding common ports like USB and HDMI to all tablets to make it easy to get visual information in and out of the tablet.
–Better and easier-to-use digital cameras and camcorders to facilitate video conferencing. The iPad 2 finally has front facing camera and FaceTime to enable video links with other FaceTime customers.
This is a young, dynamic time in the evolution of the tablet market. Many of you reading this column either have a tablet (and will see that you begin to use it more than before) or you’re likely to buy one this year for yourself or one or your family members.
The age of tablets is upon us. Tablet development and sales are contributing to the economic recovery. Go ahead and buy a new tablet. You’ll enjoy it and help the economy recover.
J. Gerry Purdy, Ph.D. is Principal Analyst, Mobile & Wireless, MobileTrax L.L.C. As a nationally recognized industry authority, he focuses on monitoring and analyzing emerging trends, technologies and market behavior in the mobile computing and wireless data communications industry in North America. Dr. Purdy is an “edge of network” analyst looking at devices, applications and services as well as wireless connectivity to those devices.
