Aaron Lee, Taipei; Joseph Tsai, DIGITIMES [Thursday 17 November 2011]
Due to pure PC hardware players such
as Hewlett-Packard (HP), Acer, Asustek and Dell not having any
advantages to compete in the tablet PC market, sources from upstream
supply chain believe these players will gradually phase out from the
market with players that have strong content support such as Apple,
Amazon and Barnes & Noble, to continue to compete through lowering
their hardware prices.
With Amazon offering its Kindle
Fire at US$199 and Barnes & Noble to provide its upcoming Nook
Simple Touch at a price of US$99, the pure hardware players are unlikely
to profit from the market through price competition.
Since
Amazon and Barnes & Noble are mainly profiting from their content
platforms, not the hardware, the sources believe these hardware devices
will eventually be offered for free.
The sources
pointed out that although iPad 2 is also seeing strong demand from
consumers, sales were lower than those of iPad, indicating that
consumers' strong enthusiasm for tablet PCs has already disappeared.
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