Tablet Market Opportunities
      IEEE Consumer Electronics Society
                          Mar 27’ 2012


                         Winston Choe
                      winston.choe@intel.com
Worldwide Tablet
        Total Available Market Size
            Average of Analyst Forecasts
                                                                                    162 Mu
74%
CAG
 R                                                                         130 Mu

                                        91 Mu

             54 Mu

  18 Mu


 2010       2011                    2012                               2013         2014
                 Source: ABI, Gartner, isuppli, InStat, IDC (April 2011)
Tablets: The Fastest
                                  Ramping Mobile Device




Source: Morgan Stanley
Research, Gartner, IDC, company
Worldwide Tablet Shipments
                                        by Region
                   140.00


                   120.00


                   100.00


                    80.00
             (M)




                    60.00


                    40.00


                    20.00


                     0.00
                               2010        2011    2012       2013   2014       2015          2016

                            Asia-Pacific          North America      Latin America
                            Western Europe        Eastern Europe     Middle East and Africa


Source: ABI Research:
Tablets, Netbooks, and MobileCE Market
Worldwide Tablet Share
                                                 by OS
                                    2011                                            2016

                                                                                 Other OS,
                            PC Linux/Chrome OS,                                    2.8%
                    Other OS ,     1.3%
                      1.3%                                                                   PC Linux /
                                                  Windows 7,
                                                    3.6%                                      Chrome
                                                                                             OS, 11.1%

                                                                      Apple                       Windows
                                                                    iOS, 31.5%                    8, 10.0%



     Apple iOS,
        55%
                                                   Mobile Linux
                                                  (e.g. Android),                              Mobile Linux
                                                      38.6%                                        (e.g.
                                                                                               Android, Tize
                                                                                                n), 44.6%




Source: ABI Research:
Tablets, Netbooks, and MobileCE Market
Worldwide Tablet Share
                                               by Vendor

                                          ViewSonic, 2.3% Others, 5.1%



                           Samsung, 12.5%
                         Motorola, 3.9%

                        Lenovo, 0.2%
                               HP, 0.2%
                              DELL, 1.2%

                    Archos, 1.4%                                     Apple, 73.3%




Source: ABI Research:
Tablets, Netbooks, and MobileCE Market
Tablet Product Trends

Retina Display (3.1m pixels)   E-Reader + More




      The New iPad             Amazon Kindle Fire
Tablet Product Trends

      Waterproof           Hybrid (Tablet + Laptop)




Panasonic Toughpad A1       Lenovo IdeaPad Yoga
Tablet Product Trends

Hybrid (Tablet + Keyboard)      Tablet + Keyboard         Tablet + Stylus




  Eee Pad Slider SL101       Transformer Prime TF700T   Eee Pad Memo 370T
Tablet Product Trends

10.1” and & 7” Displays   5.5” (Tablet + Phone)




Samsung Galaxy Tab 2      Samsung Galaxy Note
Tablet Product Trends
                         Lowest-Price ($170)
 Thinnest (0.3”)




Toshiba Excite X10
                        Viewsonic Viewpad E70
Tablet Product Trends
Business (Security + Mgmt + AppShop)   Business (Video Collaboration)




      Lenovo Thinkpad Tablet
                                                Cisco Cius
Consumer




           CONSUMER
           TABLET SEGMENT
Consumer Tablet Usage




Source: Business Insider
US Connected Devices:
                                 Time Distribution of Usage




Source: Nielsen, Q1 2011
Mobile Connected Device Report
Tablet Internet Video
                             Viewing is Mainly at Home




Source: In-Stat, June 2011
People View Videos on Tablets for both
                      Short and Long Durations




Source: In-Stat, June 2011
Gaming is the Top Application Category for
                            iPad




Source: Strategy Analytics
Free-to-play Games Generate Majority Revenue




Source: iTunes App Store, Flurry Analytics, Flurry Analysis
Tablet Games are Cheaper Than Console
                and Handheld Console Games




Source: NPD, Morgan Stanley Research
Business




           BUSINESS
           TABLET SEGMENT
Currently 21% of Companies Purchase
                       Tablets for Employees




                                 Biz/Cons/”Prosumer”




Source: AlphaWiseSM CIO survey
Most Tablets Used in Businesses
                         Were Purchased by Employees




Source: Dimensional Research
Tablets Planned Mostly for Executives and
                 Sales and Marketing Employees




Source: Goldman Sachs IT
Spending Survey, January 2011
Business Tablet Usage




Source: Good Technology
Worldwide Tablet Apps Market


                            2010   2011     2012     2013      2014      2015
        Total               233     979     2623     5019      7926     11460
        Downloads (M)
        Total Revenues      $503   $1,893   $4,476   $7,503   $10,902   $15,323
        (U$M)
                Paid        $387   $1,407   $3,166   $4,994   $6,725    $8,939
                Ads +       $116   $486     $1,311   $2,559   $4,176    $6,384
                Freemium




Source: InStat (05/11)
Tablet Technology Opportunities


Augmented   Perceptual    Security &
  Reality   Computing    Manageability


HD+ & 3D    Personal
                           Hybrids
 Displays   Assistants


             Compute
            Continuum
Tablet Market Opportunities


   Financial
                  Retail
   Services



  Healthcare     Education



   Media &       Emerging
 Entertainment    Markets
Tablet Market Opportunities
      IEEE Consumer Electronics Society
                          Mar 27’ 2012


                         Winston Choe
                      winston.choe@intel.com

Tablet Market Opportunities

  • 1.
    Tablet Market Opportunities IEEE Consumer Electronics Society Mar 27’ 2012 Winston Choe winston.choe@intel.com
  • 2.
    Worldwide Tablet Total Available Market Size Average of Analyst Forecasts 162 Mu 74% CAG R 130 Mu 91 Mu 54 Mu 18 Mu 2010 2011 2012 2013 2014 Source: ABI, Gartner, isuppli, InStat, IDC (April 2011)
  • 3.
    Tablets: The Fastest Ramping Mobile Device Source: Morgan Stanley Research, Gartner, IDC, company
  • 4.
    Worldwide Tablet Shipments by Region 140.00 120.00 100.00 80.00 (M) 60.00 40.00 20.00 0.00 2010 2011 2012 2013 2014 2015 2016 Asia-Pacific North America Latin America Western Europe Eastern Europe Middle East and Africa Source: ABI Research: Tablets, Netbooks, and MobileCE Market
  • 5.
    Worldwide Tablet Share by OS 2011 2016 Other OS, PC Linux/Chrome OS, 2.8% Other OS , 1.3% 1.3% PC Linux / Windows 7, 3.6% Chrome OS, 11.1% Apple Windows iOS, 31.5% 8, 10.0% Apple iOS, 55% Mobile Linux (e.g. Android), Mobile Linux 38.6% (e.g. Android, Tize n), 44.6% Source: ABI Research: Tablets, Netbooks, and MobileCE Market
  • 6.
    Worldwide Tablet Share by Vendor ViewSonic, 2.3% Others, 5.1% Samsung, 12.5% Motorola, 3.9% Lenovo, 0.2% HP, 0.2% DELL, 1.2% Archos, 1.4% Apple, 73.3% Source: ABI Research: Tablets, Netbooks, and MobileCE Market
  • 7.
    Tablet Product Trends RetinaDisplay (3.1m pixels) E-Reader + More The New iPad Amazon Kindle Fire
  • 8.
    Tablet Product Trends Waterproof Hybrid (Tablet + Laptop) Panasonic Toughpad A1 Lenovo IdeaPad Yoga
  • 9.
    Tablet Product Trends Hybrid(Tablet + Keyboard) Tablet + Keyboard Tablet + Stylus Eee Pad Slider SL101 Transformer Prime TF700T Eee Pad Memo 370T
  • 10.
    Tablet Product Trends 10.1”and & 7” Displays 5.5” (Tablet + Phone) Samsung Galaxy Tab 2 Samsung Galaxy Note
  • 11.
    Tablet Product Trends Lowest-Price ($170) Thinnest (0.3”) Toshiba Excite X10 Viewsonic Viewpad E70
  • 12.
    Tablet Product Trends Business(Security + Mgmt + AppShop) Business (Video Collaboration) Lenovo Thinkpad Tablet Cisco Cius
  • 13.
    Consumer CONSUMER TABLET SEGMENT
  • 14.
  • 15.
    US Connected Devices: Time Distribution of Usage Source: Nielsen, Q1 2011 Mobile Connected Device Report
  • 16.
    Tablet Internet Video Viewing is Mainly at Home Source: In-Stat, June 2011
  • 17.
    People View Videoson Tablets for both Short and Long Durations Source: In-Stat, June 2011
  • 18.
    Gaming is theTop Application Category for iPad Source: Strategy Analytics
  • 19.
    Free-to-play Games GenerateMajority Revenue Source: iTunes App Store, Flurry Analytics, Flurry Analysis
  • 20.
    Tablet Games areCheaper Than Console and Handheld Console Games Source: NPD, Morgan Stanley Research
  • 21.
    Business BUSINESS TABLET SEGMENT
  • 22.
    Currently 21% ofCompanies Purchase Tablets for Employees Biz/Cons/”Prosumer” Source: AlphaWiseSM CIO survey
  • 23.
    Most Tablets Usedin Businesses Were Purchased by Employees Source: Dimensional Research
  • 24.
    Tablets Planned Mostlyfor Executives and Sales and Marketing Employees Source: Goldman Sachs IT Spending Survey, January 2011
  • 25.
  • 26.
    Worldwide Tablet AppsMarket 2010 2011 2012 2013 2014 2015 Total 233 979 2623 5019 7926 11460 Downloads (M) Total Revenues $503 $1,893 $4,476 $7,503 $10,902 $15,323 (U$M) Paid $387 $1,407 $3,166 $4,994 $6,725 $8,939 Ads + $116 $486 $1,311 $2,559 $4,176 $6,384 Freemium Source: InStat (05/11)
  • 27.
    Tablet Technology Opportunities Augmented Perceptual Security & Reality Computing Manageability HD+ & 3D Personal Hybrids Displays Assistants Compute Continuum
  • 28.
    Tablet Market Opportunities Financial Retail Services Healthcare Education Media & Emerging Entertainment Markets
  • 29.
    Tablet Market Opportunities IEEE Consumer Electronics Society Mar 27’ 2012 Winston Choe winston.choe@intel.com

Editor's Notes

  • #2 Winston ChoeMarket Development in the Intel Personal Computing GroupLook for technologies from Silicon to Services for integration to our platforms, through licensing, investment, acquisition.My talk will cover an update of the Tablet Market and Opportunities in terms of Technologies and Market-Segments.http://bit.ly/tF12zB
  • #3 This Chart shows the Worldwide Tablet Market Size in the First 5 Years since the launch of the iPad in Jan 2010In the First Year, there were18m units soldLast Year, the actual units shipped was 69m, higher than the 54m estimateEven at the current forecasts, this represents a 74% CAGR over the First 5 Yearshttp://emma.intel.com:8089/Documents/12-03-13%20IDC%20Media%20Tablet%20Shipments%20Outpace%20Fourth%20Quarter%20Targets.pdf2011 Actual: 68.7m2012 Forecast: 106.1m
  • #4 And this would make Tablets the fast ramping Mobile Device in historyThis Chart represents the Cumulative Shipments of products across various categories in the First 5 YearsPhones are the closest in terms of Market-Adoption, and they are still below the most conservative forecasts for TabletsFor those of us who have been in the Computing and Mobile Industry for many years like me, this was very surprising given that in 2010,the phone industry had been around for more than 15 years,tablet computers have been around for more than 10 yearse-Readers were already on the market.
  • #5 This chart shows the Worldwide Tablet Shipments by Region in the first 5 YearsThe largest region is North America, with Western Europe and Asia-Pacific roughly equal in sizeI believe the forecasts are underestimating the growth in emerging markets where there is lower penetration of laptops today.Users there will more readily adopt a lower priced tablet device, especially if they are subsidized through an emerging market business-model
  • #6 This chart shows the Worldwide Tablet Market Share by OSLast year, not surprisingly, the largest OS-share was iOS, followed by Mobile Linux (Android)By 2016, Android will take the lead in OS-share, while Windows8 tablets start entering the marketToday, almost all the non-Apple tablets in the market are Android basedSuccess of Amazon Kindle Fire will continue to drive this trend towards Android, although it will continue to fragment that ecosystem because it uses a highly customized version of Android and AppStore
  • #7 This chart shows the Worldwide Tablet Share by VendorApple is the dominant leader, while Amazon and Samsung are the next closest vendorsNote that the Top 3 vendors have different business-models:Apple provides Content to sell high-end TabletsAmazon provides low-end Tablets to sell Content-Samsung primarily sells Tablets4Q11 MSS by Vendorhttp://bit.ly/wnhG88
  • #8 Review some of the Latest Product TrendsThe New iPad uses a Retina Display to continue driving the user-experience and go into new markets. This increases the size of the battery and thickness of the tablet.The Kindle Fire extends the E-Reader to other use-cases, and applies cloud optimization to improve the user-experience while keeping the tablet cost lower with less on-board memory.
  • #9 The PnanasonicToughpad is built to be Waterproof and we can expect other ruggedized tablets as they penetrate more sectorsLenovo IdeaPad is a Hybrid between Tablet and Laptop, running Windows 8 on Intel Corehttp://emma.intel.com:8089/Documents/12-02-08%20IDC%20CES%202012%20Media%20Tablet%20Roundup%20232995.pdf
  • #10 Slider is a Hybrid between Tablet and Keyboard in a Sliding form-factorTransformer Prime is a Tablet with Keyboard accessoryMemo is a Tablet with a Stylus accessoryAll these Product Trends are towards making Content Creation as important as Content Consumption, which is the primary use case for Tablets today
  • #11 10” and 7” are the leading Tablet display sizes todaySamsung Galaxy Note has a 5.5” display which is in between a Phone and a Tablet, to enter the creative market sectors
  • #12 Toshiba Excite X10 has the thinnest tablet at 0.3”ViewsonicViewpad E70 has the lowest-priced tablet at $170 (cheaper than Kindle Fire)
  • #13 Thinkpad Tablet is positioned for Business with additional features for Security, Manageability and App Shop for EnterprisesCisco Cius tablet is positioned for Business Video Collaboration
  • #26 http://emma.intel.com:8089/Documents/12-02-07%20IN-STAT%20The%20Business%20of%20Tablets-%20Tablet%20Usage%20in%20US%20Business.pdfhttp://emma.intel.com:8089/Documents/11-12-14%20IDC%20Tablets%20in%20the%20Enterprise-%20Opportunities%20and%20Challenges%20for%20Businesses%20and%20Mobile%20Operators%20231153.pdf
  • #27 http://moss.amr.ith.intel.com/sites/Strategy_Planning_Architecture/NTG-ESP/Document%20Library/2-Tech%20Analyst%20Reports/Strat%20Anal_Future%20of%20Apps%20Ecosystem_Jul%2711.pptx
  • #28 Augmented Reality:Overlay Augmented patient information on the Tablet through facial-recognition,New InterfacesSoft-keyboards with tactile feedbackGestureSecurity/ManageabilityHW/OS-level encryption, anti-theft, anti-virusSuper HD DisplaysFor viewing of broader range of patient informationPersonal AssistantsTap IBM Watson like intelligence/analytics, with Siri like personal experienceOSContinuing advancements in iOS, Android, Windows in terms of Power, UX
  • #29 Augmented Reality:Overlay Augmented patient information on the Tablet through facial-recognition,New InterfacesSoft-keyboards with tactile feedbackGestureSecurity/ManageabilityHW/OS-level encryption, anti-theft, anti-virusSuper HD DisplaysFor viewing of broader range of patient informationPersonal AssistantsTap IBM Watson like intelligence/analytics, with Siri like personal experienceOSContinuing advancements in iOS, Android, Windows in terms of Power, UX
  • #30 http://bit.ly/tF12zB