Tuesday, January 4, 2011

Apple (Nasdaq:AAPL) iPad Replacement Rate May Be Stronger than Expected

According to Forrester analyst Sarah Epps, Apple's (Nasdaq:AAPL) iPad replacement rate may be higher than expected, as she compared it to being more like an MP3 Player than a PC.

Epps said, "Although (tablets) are certainly used for productivity, tablets are proving themselves to be 'lifestyle devices' at home and at work, and as such we think consumers will upgrade to newer models more rapidly than they would a more utilitarian device like a PC. In other words, we think a significant number of first-generation iPad buyers will buy iPad 2 when it comes out this year — many first-gen iPads will end up entertaining the kids in the back of the car while Mom and Dad get the shiny new model."

Forrester projects tablet sales to more than double in 2011, and eventually attract 33 percent of online consumers by 2015.

Apple was trading at $329.41, down $0.16, or 0.05 percent, as of 1:44 PM EST.

No comments: