Despite the fact that Apple can't make iPAD2 fast enough (i.e, the shortfall in iPad 2 shipments in Q1), IHS iSuppli expects total iPad shipments to rise 163 percent in 2011 compared to 2010 when about 15.1 million units shipped.
Apparently Apple's biggest enemy at moment is...well, Apple itself. IHS iSuppli had to lower its iPad shipment forecast by 9.1% (from the 42.7m to 39.7m) for 2011.
While component issues from Japanese earthquake could have created shortages, IHS says Apple's quick response found new component sources (particularly for touchscreens). Other tablet manufactures may have trouble obtaining screens and components, but that didn't slow Apple down.
Instead, common everyday manufacturing problems (quality issues with the LCD touchscreens, production shortages of its speaker, lamination problems etc) forced Apple to miss shipments for products already ordered.
the iPad is only one part of the Apple arsenal...
Quake-related supply constraints could still limit Apple’s ramp-up production for Q3-Q4 of 2011, especially as they need to address first the Q1 shortfall.
Why is Apple wining? Let us count the ways with help from IHS:
1 CONTENT
Content represents Apple’s most significant competitive advantage in the tablet market. And the kind of seamless access to movies, music and other content that Apple provides is still not in place for the competition.
2 MARKETING
To date, says IHS, application developers promote as “available on the iPad” rather than as “available on your tablet.” This will change but it gives Apple an advantage right now.
3 SUPPLY CHAIN
Apple’s supply chain management places the company at the front of the line for procurement of components, "frustrating competitors’ efforts to build and meet product demand."
4 PRICING
Pricing is the last category you expect Apple s to have an advantage. But Apple’s discount on first-gen iPad (when the iPad 2 was introduced) "frustrated competitors’ efforts to build sales volume while retaining a profit margin."
5 FIRST-MOVER ADVANTAGE
Apple's introduction of iPad 2 coincided with many other vendors’ initial product releases and stole much of their marketing momentum.
Despite the difficulties with many early Android releases, the sheer volume of models now starts to make an impact on the tablet market, particularly in Asia (where lower price points work to offset performance or content concerns).
IHS predicts Apple's competitors will start outproducing the iPad only in 2013.
Tesco buys video streaming service Blinkbox-- marking the entry of a new player in the Video on Demand (VOD) and OTT video markets.
Razer announces the Hydra, its take on console-style motion controllers for the PC.
AMD's net income for Q1 2011 total $510m (up from the previous quarter's $375m and Q1 2010's $257m), with revenue totalling $1.16B (a 2% sequential decrease and 2% Y-o-Y increase).
