rss twitter

Archive for May, 2010

Apple’s (NASDAQ: AAPL) iPad Out Performing Amazon’s (NASDAQ: AMZN) Kindle

Amazon (NASDAQ: AMZN) had recently admitted that the “Kindle”, an ebook reader, just can’t compete with Apple’s (NASDAQ: AAPL) iPad. Amazon is not overly worried about this fact though, saying the Kindle will find a niche with the serious reader, where as the iPad is meant for a broad range of general uses, which happens to include reading ebooks. Basically, it is like comparing a calculator to a cell phone that has a calculator on it. The Kindle fills a certain niche for a certain purpose, in this case as a dedicated ebook reader for the serious reader. Amazon had also announced it will not revamp the Kindle to try to compete with the iPad.

Amazon has also said that most of it sales comes from its online bookstore. They have also made an application for iPad and the iPhone, so users can download and use Amazon ebooks on their own devices. The iPad actually has the potential to increase Amazon’s long term sales for it’s online bookstore.

The Kindle’s screen and display is set up for easy reading indoors and out. There is a very limited browser that makes it possible to purchase ebooks. The price tag may also sway readers to buy it instead of the iPad for users just looking for an ebook reader, being roughly three hundred dollars cheaper then the iPad.

Although Amazon won’t rise up or make changes to the Kindle to try and challenge the iPad, it might be OK for them not to do so. As the iPad already runs Amazon’s application, and Amazon’s focus is their dedicated online bookstore anyway.

US Apple Retail Stores Remain Sold Out of the iPad 3G (NASDAQ: AAPL)

The Apple iPad is one of the most sought after new electronic devices since the Apple iPhone. The demand for the device however seems to be higher than the supply.

As found in an article by Neil Hughes on appleinsider.com, “Analyst Gene Munster with Piper Jaffray said his team contacted representatives at 50 Apple retail stores and found that 74 percent of them were sold out of all models of the iPad, with the Wi-Fi model available in 26 percent of stores, and the 3G version sold out. It’s been the same story for Apple since the iPad 3G first launched on April 30 in the U.S.”

In order to deal with the limited supply of the Apple iPad 3G, the Apple stores have started offering their customers the opportunity to be placed on a “notify me” waiting list. The store then holds an iPad when it arrives for 24 hours for the customer to then be able to purchase it. According to one Apple store representative that told Munster, customers who sign up for the “notify me” list generally only have to wait four to seven days to receive an iPad 3G. This wait is shorter than the typical wait found right now on the Apple’s online store which is around seven to ten days for an iPad 3G.

The demand of the Apple iPad significantly increases Apple’s sales. As stated in the appleinsider.com article, “Munster said constrained supplies suggest there could be an upside to his projection of 1.3 million units sold in the Apple quarter. But he also cautioned that Apple’s inability to meet demand means that some near-term Wall Street projections are “getting ahead” of what the Cupertino, Calif., company can actually supply.”

The increased sales look promising throughout the year as well. “Given the international iPad launch on 5/28, and continued strong demand in the U.S., we expect supply constraints to last through the June quarter, reaching equilibrium in mid-to-late Sept. quarter,” Munster wrote.

The iPad hit the 1 million milestone the first day it was released, the iPad 3G – just 28 days after the device was introduced! According to Apple officials, they admitted they were caught off guard by such strong sales of the iPad right away. Fans of the iPhone and iPod, and Mac computers, may however beg to differ.

Such high demand for the iPad in the U.S. forced Apple to delay the international launch of the iPad until May 28, 2010. The iPad (both Wi-Fi only and 3G models) will be introduced in nine countries: Australia, Canada, France, Germany, Italy, Japan, Spain, Switzerland and the U.K. It is scheduled to be released later this year in July for Austria, Belgium, Hong Kong, Ireland, Luxembourg, Mexico, The Netherlands, New Zealand, and Singapore.

This Week in iPad Episode 6: Ira Rubenstein

The ThisWeekIn Network posted episode 6 of their “This Week in iPad” show on May 20th, featuring guest Ira Rubenstein, of Marvel Comics. Rubenstein, who is Executive Vice-President of Marvel’s Global Digital Media Group, along with hosts Lon Harris and Jacob Burch discussed Marvel’s popular iPad application as well as a number of characters in the Marvel universe.

Other news topics which were discussed included the news item that the iPad is now outselling the Mac and the international release of the iPad.

The trio also reviewed a number of drawing applications available for the iPad, including ArtStudio, Drawing Pad and Draw It!. ArtStudio received a “strong value” rating from the group.