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Tablets to outsell netbooks by 2012, report says

By | June 17, 2010, 7:34am PDT

Summary: Tablets will begin to outsell netbooks in 2012, and by 2014, more consumers will use tablets than use netbooks, according to a new report.

Tablets will begin to outsell netbooks in 2012, and by 2014, more consumers will use tablets than use netbooks, according to a new report.

According to a Forrester Research report released on Thursday, tablets are predicted to constitute 23 percent of PC unit sales in 2015.

“Tablet growth will come at the expense of netbooks, which have a similar grab-and-go media consumption and Web browsing use case as tablets but don’t synchronize data across services like the iPad does,” analyst Sarah Rotman Epps said in a statement.

More interesting takeaways from the report:

  • Consumers “didn’t ask” for tablets. Apple is successfully teaching consumers to want the iPad.
  • Nearly half a billion PCs will be sold to consumers in the U.S. between now and 2015.
  • Over the next five years, PC unit sales across all form factors — desktops, notebooks and laptops, tablets, and netbooks — will increase by 52 percent.
  • Tablet sales in the U.S. will go from 3.5 million units in 2010 to 20.4 million units in 2015.

Desktop sales are predicted to slide over the next five years, from 18.7 million units sold in 2010 to 15.7 units in 2015, according to the report.

By 2015, Forrester forecasts a U.S. PC market that looks like this:

  • Notebooks, 42 percent
  • Tablets, 23 percent
  • Desktops, 18 percent
  • Netbooks, 17 percent

The big shocker, in my opinion: netbooks and desktops will still constitute, in total, more than a third of the total market.

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Andrew J. Nusca is editor of ZDNet and SmartPlanet.

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Andrew Nusca

Andrew J. Nusca does not hold any investments in the technology companies he covers.

Biography

Andrew Nusca

Editor

Andrew J. Nusca is an editor for ZDNet and SmartPlanet. As a journalist based in New York City, he has written for Popular Mechanics and Men's Vogue and his byline has appeared in New York magazine, The Huffington Post, New York Daily News, Editor & Publisher, New York Press and many others. He also writes The Editorialiste, a media criticism blog.

He is a New York University graduate and former news editor and columnist of the Washington Square News. He is a graduate of the Columbia University Graduate School of Journalism. He has been named "Howard Kurtz, Jr." by film critic John Lichman despite having no relation to him. He lives in his native Philadelphia with his wife, cat and Boston Terrier.

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Talkback Most Recent of 55 Talkback(s)

  • There they go again
    When I was in grad school, my classmates didn't think too highly of Forrester Research because some of their projections were downright unrealistic. Looks like tey're at it again.

    There are 2 types of tablets:

    - convertibles (notebooks those with more-or-less permanently attached hardware keyboards) and
    - slates (without hardware keyboards).

    Convertibles have to significantly improve their handwriting recognition to near 100% (a very tall order), get much lighter, get faster (so they won't seem so sluggish), have much longer battery life (which flies in the face of lieggter weight), support active digitizers (for handwriting recognition) and palm rejection, and above all, get much cheaper, to $500.

    Slates need to get a little lighter, figure out how to have a part time docked hardware keyboard which you can use on the move, have longer battery life, have built-in office grade applications and not just applets, have always-on connectivity (requiring an all-you-can-eat data plan, which is not what AT&T would have you). They also need to get as cheap as netbooks, or $250-$350.

    While I do believe that tablets will eventually outsell other forms of laptops, I don't think the technical challenges will be surmounted soon eough to enable tablets to outsell others as soon as Forrester thinks.
    ZDNet Gravatar
    rosanlo
    17th Jun 2010
  • Good Comments...
    ...but I think handwriting recognition with a digitizer is solid, certainly there isn't the need for "significant improvement". Cost is also an issue, but that's true for anything.
    ZDNet Gravatar
    runbabyrun
    17th Jun 2010
  • RE: Tablets to outsell netbooks by 2010, report says
    @runbabyrun Try being lefthanded and using these features. I have a Fujitsu tablet and gave up on using the handwriting feature. It don't work well and the hardware is layed out for righthand people.
    ZDNet Gravatar
    dtesseyman
    17th Jun 2010
  • RE: Tablets to outsell netbooks by 2010, report says
    @rosanlo Convertible tablets are a dead form factor. Expect that by end of 2011, no manufacturer will be releasing/announcing convertible tablets. Handwriting recognition is also dead. The stylus is dead for that matter. The future of tablets is all touch. No one is working on better stylus input at this point. So handwriting recog is not going to see any great improvement.
    Forrester is off in this projection, for sure but it's not because they are unrealistic but because they are too conservative. Tablets will outsell Netbooks by middle of next year and will outsell Notebooks by 2015. In very small and admittedly anecdotal sampling, everyone who I know using an iPad says that it replaces 80%+ of their need for a notebook/laptop. Those people will not buy another laptop. The future of computing will be a series of docks (at work, at home, in the car?) and you will drop your slate in for different input interfaces (keyboard) when straight touch doesn't meet your needs.
    ZDNet Gravatar
    hawks5999
    17th Jun 2010
  • RE: Tablets to outsell netbooks by 2010, report says
    @rosanlo Excellent comment. Particularly your note on battery life. These things are meant to be used while on the go, without having to search for electrical outlets - the need for which negates the whole purpose of the tablet PC. Whatever the flavour.

    Executives who want them are entranced by the form factor, yet find a less optimum experience when actually trying to write on the things. When you're used to writing in such a manner that your wrist is flat on the surface of a desk, it's difficult to get used to writing on a raised platform. Sort of like trying to do any sort of fast typing on on-screen video keyboard.

    P.S. I have no experience with Forrester and their predictions, but as far as ratios of notebooks to workstations go, right now they're mirroring Gartner's projections which IIRC, has the ratio at 80/20 in favour of laptops by 2012. Anyway, that number came up at a tech conference but I was unable to get a source for it, so take it with a grain of salt for now. (You have to *pay* for Gartner's research and I'm just not that flush - or interested - right now) happy
    ZDNet Gravatar
    wolfshades
    17th Jun 2010
  • RE: Tablets to outsell netbooks by 2010, report says
    Why couldn't they implement the Swype keyboard (www.swype.com) for tablets and/or netbooks and avoid QWERTY keyboards, stylus', and pecking keyboards all together. I have it on my Verizon Samsung Omnia II, it works phenominal, and has revolutionized the way I compose texts and emails on my phone. Why couldn't this be implemented on a tablet? I'm actually quite shocked that Apple didn't suck up such a great technology such as this.
    ZDNet Gravatar
    Delosky
    18th Jun 2010
  • Doesn't matter
    That shift would only be valid for the US market. Netbooks will still dominate tablets globally by a large margin. Quite frankly, the US market gets its value from being the largest purchaser of the most expensive electronics. Netbooks are low priced devices that benefit manufacturers who manage to sell them in huge volumes. That means that the US was never going to be the ideal market for the netbook category. Instead, it's the emerging markets (66% of the global population) that will be the gold mine for netbooks, where they will vastly outsell any tablet not priced below $200.
    ZDNet Gravatar
    eMJayy
    17th Jun 2010
  • Could you explain your logic, please?
    @eMJayy What, exactly, are the sales rates of netbooks overseas right now? What, exactly, are the sales of tablets in these same venues? Why do you think overseas venues will lag so far behind the US?

    Yes, I agree we're the first purchasers of new technology--usually because we're the ones who created that technology in the first place. Japan frequently out-purchases any new technology that originated there and very rapidly adopts technologies that take sometimes 2 to 3 years to reach the states. Even in Japan, however, iPhones and iPads seem to be the single most popular smart devices/tablets on the market. This would seem to refute your argument.
    ZDNet Gravatar
    vulpine@...
    17th Jun 2010
  • You missed my point
    @vulpine@...

    My point's not about who adopts new technology first. Instead, I'm simply pointing out the fact that netbooks have reached the point where adoption in western nations like the US and Japan are no longer vital for survival of that form factor. This device is ideally priced for widespread adoption in emerging markets...and once emerging markets continue to buy them in increasing volume (see link below), they'll always outsell tablets globally. Tablets are too expensive to compete in those markets, so they'll never sell as many as netbooks globally. Don't underestimate how big the emerging markets are in the grand scheme of things....Intel surely hasn't.

    http://www.pcworld.com/article/196054/intel_ceo_otellini_says_netbook_market_on_the_rise.html
    ZDNet Gravatar
    eMJayy
    17th Jun 2010
  • RE: Tablets to outsell netbooks by 2010, report says
    @vulpine@emjay: An interesting viewpoint and possibly accurate as long as you only consider 'third world' buyers, for which the netbook concept was originally designed; however, this data doesn't seem to be supported by current market measurements. In fact, according to at least two different analysts, rather than showing growth in sales, netbooks have shown a marginal loss in sales since the iPad was released, an effective elimination of almost-unbelievable growth numbers just this time last year at 50%. This isn't to say that netbooks are going to die, but rather that they're going to see significantly lower sales and most of those in markets where the people can't afford newer, more powerful devices. Even so, it's very possible that a tablet could prove a more usable device by allowing handwriting recognition rather than forcing the new user to learn how to type on a keyboard that might not even match their own alphabet. Honestly, you can't assume that everybody knows English well enough to write/type in it or computers well enough to know how to use a mouse/trackpad and keyboard. A tablet becomes much more natural because people are used to touching things when they write or move objects, they're not used to imagining a motion on a trackpad equivalent to touching the item itself on the screen.

    What really happens, neither of us has the answer; only time does. But personally, I think the tablet format can do far more than most IT specialists--and that includes Intel's CEO--want to believe.
    ZDNet Gravatar
    vulpine@...
    17th Jun 2010
  • Oh, I get it
    Somebody at Forrester Research just bought an iPad. Let's see what prediction is coming from them couple months later.
    ZDNet Gravatar
    paul2011
    17th Jun 2010
  • Consumers didnt ask for tablets
    ...A lot of times, people dont know what they want until you show it to them. --- Steve Jobs


    .
    ZDNet Gravatar
    dave95.
    17th Jun 2010
  • RE: Tablets to outsell netbooks by 2010, report says
    @dave95. You know what? Jobs is sort of king of the effective marketing arena. He happens to be right. Kind of scary, really.
    ZDNet Gravatar
    wolfshades
    17th Jun 2010
  • RE: Tablets to outsell netbooks by 2010, report says
    @dave95. But we've been expecting the tablet since 1968 when a character in 2001: A Space Odyssey drops a 'clipboard' on a bench and starts watching the news on it.

    Personally, I want my personal jetpack (James Bond: Thunderball, 1964-ish)
    ZDNet Gravatar
    Dee Carter
    17th Jun 2010
  • RE: Tablets to outsell netbooks by 2010, report says
    Did we long for automobiles when we were perfectly happy with old Dobbin? Predictions are dicy at best. The fact that it would seem one man is designing the future at the moment is remarkable. Ok, it's a small slice of the future, but isn't there a quote about making a 'dent in the universe'? Who can say they've made several dents.
    ZDNet Gravatar
    dheady@...
    17th Jun 2010

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