DigiTimes recently reported that many PC makers, like Hewlett-Packard, Dell and Acer, are planning on phasing out their tablet departments by the end of 2012. The reason being, they can’t compete with Apple’s overwhelming market share, nor are they able to afford to contend with the low-priced Amazon Kindle Fire or Barnes & Nobel Nook. There is just no room for them at this party.
Ever since it first hit the market, the iPad has been top-dog in the tablet industry. PC makers and tech companies have all tried to produce the “iPad killer” to no avail. Currently, the iPad commands about 67 percent of the market share. While PC tablets have slowly been chipping away at that number, it is still a hard race to run for companies that can easily make profit by focusing on what they do best, personal computers.
Amazon and Barnes & Noble recently released a low-cost alternative to the full-fledged tablet. The Kindle Fire and Nook Tablet are priced at half the cost of the iPad and offer plenty of features to reel in consumers. Both companies can stand to offer their device at such a low price because they can make up for it with purchasable content. DigiTime’s unnamed sources predict that the Kindle Fire and Nook Tablet will someday be offered for free. PC tablets can’t compete with that type of undercutting.
To be honest, it is disappointing to see so many companies throw in the towel. Apple needs competition if they want to continue to make waves in the tablet market. They are like the kid on the block with the fastest pitch that no one wants to play ball with because he is too good. No one will be impressed with Apple’s fastball if no one is watching them play.