What's next?

This entry is going to be predominantly based around recent news articles, and what’s in store for apple in the future.

The first three months of 2012 saw global shipments of tablet devices and e-readers slump 38.4% to 17.4 million, although this is somewhat an unreasonable statement as this is compared with a fourth quarter pumped up naturally by the holiday gift giving season. Despite this “slumping”, tablet sales over the past few years were up a huge 120% - again showing that the world is becoming more and more reliant on mobile devices (Apples Core Competency) and shifting away from desktop and laptop computers.

Apple’s move to position the iPad as an all purpose tablet rather than just a “content consumption device” as paid dividends amongst consumers, both educational and commercial buyers. What I find interesting is the decision by Apple to still sell their iPad 2 on the market. Usually with Apple iPads and iPhones, they will sell what remaining stock they have of the older device and discontinue making it. But their decision to keep a lower priced iPad 2 on the shelves seems to be paying off as well. As a result, Apple’s performance in the “post holiday hangover” saw it outmuscle their Android-powered tablet rivals.

Apple shipped 11.8 million iPads during the first quarter of 2012 (down from 15.4 million units in the fourth quarter of 2011), and their worldwide market share rose 14% to 68% . So overall, Apple is kicking goals when it comes to the tablet market, although new competition is on the rise with Samsung and Lenovo both beginning to gain traction with new products.

In other news, according to zdnet.com we are going to have to wait until 2014 for Apple TV. Apparently the television market is on somewhat shaky ground and Apple want to stay away from this until it’s settled down again. Japan’s three biggest television set makers — Sony, Sharp, and Panasonic — reported a combined loss of $21 billion in 2011 alone. Samsung is faring marginally better as its TV business’ profit grew to $467 million from $70 million in 2011.

In the blog it is also noted that Apple needs “a radical change of the user interface, integration of the TV programming and data content, and use of gesture or voice control”, according to J.P. Morgan analyst, Mark Moskowitz.

As any Apple fan knows, they are not ones to rush into a competitive market, and rather take their time with product launches. The iPad was a work in progress long before the iPhone even came out, this is probably why they are so good at what they do, everything is so thought out and developed it is hard to go wrong.

So what is in store for the future of Apple in the mean time?

There has been talk about iPay, a “more optimistic” mobile payment system. Recent patents show the company could be heading in the direction of allowing its iPhone and iPad users to wirelessly pay for goods and services using NFC (Near Fiel Communication) technology, basically we would just scan our phone to pay for an item and it will appear on our bill/credit card history later – this technology is already in Japan, so it is basically inevitable it will be everywhere else in a matter of time, it’s just a matter of who gets in first.

Secondly, there have been talks of iCarrier. Apple could also be following the likes of AT&T and Verizon in the mobile carrier space, offering its iPhone and iPad products on an in-house service.

“Apple will soon provide wireless service directly to the millions of iPhones and iPads already in the marketplace”. It has the distribution channels in place and customer numbers to make the jump from smartphone maker to network carrier a fairly simple one. Plus, as Apple has around 250 million credit cards on file, it would make for a seamless billing experience, and a secure source of revenue. No doubt the other networks would claim the move is anti-competitive and kick up a fuss — as one would expect — but it would be a unique move for the company should the regulators approve the plans.

At least there’s plenty to keep the consumer market busy until a point where Apple could bring out a television set.