apple product lines by revenue : 2016 to 2018

  The iPhone will continue to be apple's chief cash cow in the years to come, till 2018. The three apple products will constitute 65% of   base of revenue of apple powered by  Apple's  best selling products the iPhone, iPad, and Mac. These  products have modeled to increase at a 3.8% CAGR into 2020. While iPhone will continue to be Apple’s main source of revenue, accountable for more then 60% of total revenue. The new products and services such as the Apple Watch and Apple Music will drive the incremental revenue growth for the entire company going forward.

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Real Cost of Manufacturing an iPhone : $293

An iPhone generates approximately $650 in revenue for Apple. This figure has remained fairly steady over time. Using deduction from overall margins, it’s possible to estimate the gross margin on the product to be around 55%. That means that the cost of goods sold (COGS) for the iPhone is about $293

Horace Dideu from Asymco  breaks up the cost structure of an iPhone when it reaches consumers

 Typically there are four main categories of costs for a phone:

.         Bill of materials (BOM). This represents the cost of the components that go into the device. These are paid to suppliers.

2.      Transportation/warehousing. This is the cost to transport and store the product before sale. This is paid to shipping companies and warehousing.

3.      Manufacturing cost (including labor). This is paid to contract manufacturers.

4.      Warranty expense. This is paid back to customers for returned product that can no longer be sold.

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Apple iPad Sales To Cross 48 Million in 2012

The iPad is the only tablet that matters right now, according to this chart provided by comScore. It says the iPad has over 95.5% of all tablet traffic on the web. (And for what it's worth, IOS is 38.5% of all mobile traffic.)

The above chart  via businessinsider shows unit sales of each products in the first six quarters after launch. The iPhone launched in June 2007, but didn't really take off until the iPhone 3G launched in July 2008, five quarters later.

According to the latest projection by All Things Digital that they are not only predicting 48 million iPad shipments for 2012, but that that number "could turn out conservative."

Apple sold roughly 38.06 million iPads last calendar year (25.06 million between Q1 and Q3, 13 million estimated for Q4). If it can sell 48 million iPads in 2012, it makes for a nice 26% increase.

2012 will also  perhaps see the launch of a somewhat very different  and new feature rich iPad 3, there had been a lot of unconfirmed new offerings reported  in the iPad 3 -- a much faster quad-core processor, Siri capabilities, a higher quality display with twice the pixel density, and super-fast 4G LTE connectivity.

If Apple can deliver on enough of these improvements, it'll be enough t for users who are “ unsure on  and fence-sitters into choosing between an iPad or any other tablet.

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Amazon Kindle Fire Compared With All Other Tablets

Kindle Fire Vs Ipad

Kindle Fire Vs HP Touch Pad vs  iPad 2

Kindle Fire Vs Ipad 2 vs Nook Color

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Tablets Comparison: Kindle Fire Vs Galaxy Tab 10.1

On Wednesday, Amazon made their first entry into the tablet race with the launch of the Kindle Fire. Amazon already cornered the market on digital reading with their Kindle e-readers, and the content-focused Fire could prove a major threat to the king of tablets, the Apple iPad.

Apart from the  Gadget, Kindlle Fire users will have access to Amazon's bevy of media products including books, music, movies, apps, games, and a virtual newsstand. The Fire will even remember where the user left off in a book or movie and automatically go to that spot the next time the user wants to read or watch.

The Amazon Kindle Fire packs a 1GHz dual-core processor and runs on a modified version of Google's Android operating system. A custom web browser, Amazon Silk, should makes the Fire a nimble browsing device.

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Amazon Enters The Tablet Market by Launching $199 Kindle Fire

Amazon just put the rest of the tablet world on notice by pricing the Kindle Fire at $199, less than half of the $500 mark that the industry has gravitated toward as a standard price. By doing so, Amazon is redefining for consumers just how much they need to pay for a quality tablet.


The new device, priced at $199, may have the biggest impact on other makers of tablets and e-readers, such as Samsung and Barnes & Noble Inc, which makes Nooks

"It's a Nook killer," said Scot Wingo, chief executive of ChannelAdvisor, which helps merchants sell more on websites including Amazon.com. "And it's a very compelling offering if you're not in the Apple ecosystem already."

The Kindle Fire tablet has a 7-inch screen, free data storage over the Internet and a new browser called Amazon Silk. Amazon expects shipments to start on Nov. 15.

Amazon also introduced the Kindle Touch, an e-reader with no buttons and a touch screen starting at $99. And it cut the price of its basic Kindle e-reader to $79 from $99.

"These are premium products at non-premium prices," Chief Executive Jeff Bezos said. "We are going to sell millions of these."To demonstrate the Kindle Fire, Bezos pulls up a chair. He proudly shows off a lightning-fast Web browser that runs on Amazon’s EC2 cloud computing engine and Amazon’s version of the Android app store, with over 10,000 games, e-mail programs, shopping guides, and the like.

However The Kindle Fire and Kindle Touch are being launched in the U.S. only with no detail on when it plans to offer the new devices abroad.


A Amazon still lacks a convincing global strategy compared with Apple,” writes Sarah Rotman-Epps at Forrester. “The iPad is available in 64 countries, and we estimate that 50 percent of iPad sales in 2011 are outside the US.”

This is now a pattern with Amazon. It took two years for the earlier Kindle to make it outside the U.S.. Amazon is also yet to launch its App Store and video service outside North America.

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The State of Tablet Device : Winners and Loosers

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Who is Richer : US Government or Apple

Apple is now richer and  more liquid  ( has more money to spend )than the United States government, the Financial Post reports.

As the government struggles to resolve the debt ceiling debate, the operating balance in Washington is at US$73.768 billion and falling.

Meanwhile, Apple has US$75.876 billion – and that number isn’t going anywhere but up as the company continues to break records and make its competitors look bad.

You can check the treasury numbers yourself here and the Apple numbers from the most recent quarterly earnings report here.

Apple’s lead over the government is more pronounced than it would seem if you treat cash as more valuable than credit. Washington’s “operating balance” refers to the amount of money it can spend before it hits the debt ceiling.
Figures for Q2 2011 show that Apple has become the world’s largest smartphone vendor by volume of units sold (20.3 million) and market share (18.5%). Nokia sold 16.7 million units in Q2 and had a 15.2% market share, while Samsung sold 19.2 million units with a 17.5% share.

As the  Post here summarizes The phrase “richer than a small country” is not uncommonly heard, but this is another thing altogether. Congratulations Steve Jobs — you’re now more powerful than one of the largest nations on Earth.

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Does Tablet Size Influence Tablet Buying

The consumer tablet space is heating up with rivals racing to market to grab market share from Apple’s iPad. Major players are lining up to release tablets to the masses, in some cases multiple models in an attempt to catch the buyer’s eye. OEMs are building tablets in different sizes to try and compete, and conversations about them keep coming back to which size is optimal for consumers.However there is actually no Tablet size that is ideal, and it depends on consumption patterns .If you ask five people what size is best for tablets, and you’ll get several different answers.

While the most common size of tablet PC has been based around a 10-inch display, there are actually a wide range of tablet sizes. In general, there are four typical display sizes available or coming to market. Below are the average size and weights for these tablets to give consumers a general idea of what to be looking at. Note that extended travel will typically require that a small charger be carried with the tablet and is not factors into the weights below. All numbers are listed in portrait mode for height, width, thickness and weight:

• 5-inch Tablets: 6" x 3.2" x .4" @ .75 lbs.
• 7-inch Tablets: 7.5" x 5" x .5" @ 1 lbs.
• 9-inch Tablets: 9.3" x 6" x .5" @ 1.2 lbs.
• 10-inch Tablets: 9.8" x 7" x .5" @ 1.4 lbs.

According to Zdnet The personal nature of tablets makes size one of the most important criteria for a purchase decision, and one size doesn’t fit all in spite of what Steve Jobs believes.The iPad started the tablet craze with its unique 9.7-inch display that fell between the small smartphone screen and the bigger notebooks. This size was a good fit for displaying web pages in the browser, a frequent task performed on the tablet. Samsung stepped in with the 7-inch Galaxy Tab, and the smaller screen appealed to many consumers

HP, LG and Samsung are introducing another size in the mix, the 8.9-inch form. This is close to the size of the iPad’s 9.7-inch display, but a bit more portable. This size will appeal to those who prize mobility above other criteria, yet find the 7-inch display to be too small .Dell Streak has   tossed convention to the winds with its  5-inch screen is a tablet, but many would classify that  in  PDA category. 

The aspect ratio of the height and width are also another thing to consider. A tablet that is really wide in landscape mode may be more beneficial for those who want to use a tablet primarily as a portable media viewer. A more balanced height to width ratio is typically better for those that want to use the tablet like an e-reader as it provides a more comfortable way to hold it in portrait mode similar to a book.

So, coming back to the  question that does Tablet Size influence Tablet Buying ? The answer is No, it does not ...   Personally I think Tablet Buying  is influenced by factors like 1) Work Application 2 ) Features and Function 3) Portability 4) Memory Upgrades .

 If you wish to share your views on the subject, please let me know .

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2011 Top 5 Android Tablets Comparison : Infographic

Android is a software stack for mobile devices that includes an operating system, middleware and key applications. Google Inc. purchased the initial developer of the software, Android Inc., in 2005. Android's mobile operating system is based on a modified version of the Linux kernel. Google and other members of the Open Handset Alliance collaborated on Android's development and release. The Android Open Source Project (AOSP) is tasked with the maintenance and further development of Android. The Android operating system is the world's best-selling Smartphone platform.

Android has a large community of developers writing applications ("apps") that extend the functionality of the devices. There are currently over 150,000 apps available for Android. Android Market is the online app store run by Google, though apps can also be downloaded from third-party sites. Developers write primarily in the Java language, controlling the device via Google-developed Java libraries

Source: android tablets on Freebase, licensed under CC-BY

 

 

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The iPad Evolution and Timeline Infographic

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The Ipad and Tablet Effect On PC Market

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