Apple’s Share of Global Tablet Market Falls Below 30%

Apple Inc is loosing tablet market share.

The obtained data is one of those things that is stunning and at the same time not surprising. Photo: Jorge Quinteros/Flickr

The Cupertino based tech giant is rapidly losing share in the tablet market, reports claim. This is bad news for the company, it’s really not that big of a whoop.

The iPhone maker has had just 29.6% of the global tablet market, a new low point, in the third quarter of this year, down from 33.1% in the previous quarter and just more than 40% in the same quarter a year earlier.

The loses may be explained by the fact that the company did not release its new version of the extra-popular tablet, the iPad, either the second or third quarter, leaving space for other manufacturers and tablets running on the Android platform.

“The total number of tablet shipments worldwide increased to 47.6 million in the third quarter, up from about 45 million the previous quarter. Meanwhile, the number of iPad shipments decreased from 14.6 million in the second quarter to 14.1 million in the September quarter,” Mashable reports.

Analyst Benedict Evans has recently suggest that the overwhelming majority of tablets that run Android operation system are like “the featurephones of tablets.” People don’t use them as PC devices.

“It seems that they’re being used for a little bit of web, and a bit of free gaming. Perhaps some book reading. And a LOT of video consumption. In fact, one might argue that for many buyers, these compete with TVs, not iPads, Nexuses and Tabs,” the analyst explained.

The news comes a few days after the Apple’s numbers in the fourth quater were revealed. They appeared to be surprisingly disappointing despite the company has sold 33.8 million iPhones in September, and greater China revenue climbed just 6 percent even though two highly expected next-generation smartphones hit stores a month ago.

The unremarkable quarterly results made investors concern whether they should cash in recent gains in the stock, which slid 5 percent at one stage after-hours on Monday.

Wall Street had hoped for a stronger beat on quarterly sales after the company predicted in September that its revenue and margins would come in at the high end of its own forecasts,” Reuters reports

The company has ceded ground steadily to Samsung and homegrown competition like Huawei and Lenovo, but needs to stake out a bigger spot in the world’s top cellular market to rekindle growth.

Revenue from Asia increased only on 6 percent to $5.7 billion in the fourth quarter, despite the 5C and 5S going on sale last month.

The extra popular smartphone, iPhone 5, hit stores only in December, which made analysts compare and estimated that the company should benefited from a more typical year-ago quarter.

However, the iPhone maker reports that its sales grew by about 24 percent from the previous quarter, or by about $1.1 billion. But that lagged the roughly $1.4 billion that Apple managed to tack on in the December quarter of 2012.

“It does raise the question, how well is Apple doing really, in China?” said JMP Securities analyst Alex Gauna.

“Apple is a very healthy company,” he added. But “if you look at the last few quarters, and even with the guide, it’s not much of a growth company.”

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