Android Growth Drives Another Strong Quarter for the Worldwide Tablet Market, According to IDC

  Android Growth Drives Another Strong Quarter for the Worldwide Tablet
  Market, According to IDC

Business Wire

SAN MATEO, Calif. -- October 30, 2013

Worldwide tablet shipments grew to 47.6 million units in the third quarter of
2013 (3Q13) according to preliminary data from the International Data
Corporation (IDC) Worldwide Quarterly Tablet Tracker. While slightly below the
firm's forecast, the number still represents 7.0% growth over the previous
quarter and 36.7% growth compared to the third quarter of 2012. Android
products once again drove much of the shipment growth in the market as iOS
growth stalled and Windows tablets continued to struggle to win over
consumers.

With no new iPad product launches in the second or third quarter to drive
volume, Apple experienced a quarter-over-quarter decline in shipments from
14.6 million in 2Q13 to 14.1 million in 3Q13. Year over year, iPad shipments
grew less than one percent. Apple's slowing growth—caused in part by its
decision in late 2012 to move its product launches from earlier in the year to
the fourth quarter—has caused the company's tablet market share to slip to
29.6%, its lowest share to date. However, with the new iPad Air shipping
November 1st and the refreshed iPad mini with Retina scheduled to roll out
later in November, IDC expects Apple to enjoy robust shipment growth during
the fourth quarter.

"With two 7.9-inch models starting at $299 and $399, and two 9.7-inch models
starting at $399 and $499, Apple is taking steps to appeal to multiple
segments," said Jitesh Ubrani, Research Analyst with IDC's Tablet Tracker.
"While some undoubtedly hoped for more aggressive pricing from Apple, the
current prices clearly reflect Apple's ongoing strategy to maintain its
premium status. It's worth noting that Apple wasn't the only one to increase
the price of its small-sized tablet during this product cycle: Both Google and
Amazon increased the price of their newest 7-inch tablets from $199 to $229 to
cover the higher costs associated with high resolution screens and better
processors."

Samsung once again secured the second position with shipments of about 9.7
million units. The company, which owes a measure of its tablet success to its
ability to bundle them with other successful Samsung products, such as
smartphones and televisions, grabbed 20.4% of the worldwide market. ASUS,
which makes the Nexus 7 for Google, shipped about 3.5 million total units
during the quarter for a third place finish and 7.4% market share. PC
powerhouse Lenovo moved into the number four tablet spot with shipments of 2.3
million units and a 4.8% share. Finally, Acer rounded out the top five with
1.2 million units shipped and a 2.5% share. Notably, vendors from outside the
top five were responsible for over one third of the shipments in 3Q13. IDC
tracks dozens of tablet vendors, and this quarter "Others" represents a
combination of major vendors (such as Amazon, Microsoft, HP, and Dell) and
lesser-known, so-called white box vendors that typically sell ultra-low cost
Android devices at often unsustainably low margins.

"White box tablet shipments continue to constitute a fairly large percentage
of the Android devices shipped into the market," said Tom Mainelli, Research
Director, Tablets at IDC. "These low cost Android-based products make tablets
available to a wider market of consumers, which is good. However, many use
cheap parts and non Google-approved versions of Android that can result in an
unsatisfactory customer experience, limited usage, and very little engagement
with the ecosystem. Android's growth in tablets has been stunning to watch,
but shipments alone won't guarantee long-term success. For that you need a
sustainable hardware business model, a healthy ecosystem for developers, and
happy end users."

Top Five Tablet Vendors, Shipments, and Market Share, Third Quarter 2013
(Shipments in millions)

            3Q13 Unit     3Q13        3Q12 Unit     3Q12        Year-over-Year
Vendor    Shipments   Market    Shipments   Market    Growth
                          Share                     Share
Apple     14.1        29.6%     14.0        40.2%     0.6%
Samsung   9.7         20.4%     4.3         12.4%     123.0%
Asus      3.5         7.4%      2.3         6.6%      53.9%
Lenovo    2.3         4.8%      0.4         1.1%      420.7%
Acer      1.2         2.5%      0.3         0.9%      346.3%
Others    16.8        35.3%     13.5        38.8%     25.0%
Total     47.6        100.0%    34.8        100.0%    36.7%

Source: IDC Worldwide Tablet Tracker, October 30, 2013.

Table Note: Year-over-year growth calculations are based on preliminary
shipment data and may vary from estimates based on rounded figures above.

In addition to the table above, an interactive graphic showing worldwide
market share for the top 5 tablet vendors over the previous five quarters is
available here. The chart is intended for public use in online news articles
and social media. Instructions on how to embed this graphic can be found by
viewing this press release on IDC.com.

About IDC Trackers
IDC Tracker products provide accurate and timely market size, vendor share,
and forecasts for hundreds of technology markets from more than 100 countries
around the globe. Using proprietary tools and research processes, IDC's
Trackers are updated on a semiannual, quarterly, and monthly basis. Tracker
results are delivered to clients in user-friendly excel deliverables and
on-line query tools. The IDC Tracker Charts app allows users to view data
charts from the most recent IDC Tracker products on their iPhone and iPad.

About IDC
International Data Corporation (IDC) is the premier global provider of market
intelligence, advisory services, and events for the information technology,
telecommunications, and consumer technology markets. IDC helps IT
professionals, business executives, and the investment community to make
fact-based decisions on technology purchases and business strategy. More than
1,000 IDC analysts provide global, regional, and local expertise on technology
and industry opportunities and trends in over 110 countries. For more than 49
years, IDC has provided strategic insights to help our clients achieve their
key business objectives. IDC is a subsidiary of IDG, the world's leading
technology media, research, and events company. You can learn more about IDC
by visiting www.idc.com.

Contact:

IDC
Tom Mainelli, 650-350-6455
tmainelli@idc.com
or
Jitesh Ubrani, 416-673-2214
jubrani@idc.com
or
Ryan Reith, 650-350-6242
rreith@idc.com
or
Michael Shirer, 508-935-4200
press@idc.com
 
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