Presentation by Avi Greengart, Research Director, Consumer Platforms & Devices, Current Analysis, at TabTimes Tablet Strategy conference in New York City on May 6, 2014. Stats and insights about the tablet market and where it is going.

1. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
1
Washington, DC / London / Paris / Singapore
May 2014
Presented by:
Avi Greengart
Research Director, Consumer Platforms & Devices
Tablets: What’s the Use (Case)

2. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
2
A Short History of Tablets: PC Adjuncts

3. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
3
A Short History of Tablets: PC Adjuncts

4. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
4
A Short History of Tablets: PC Adjuncts

5. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
5
A Short History of Tablets: PC with Stylus

6. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
6
A Short History of Tablets: PC with Stylus
Wrong User Interface
Wrong App Experience
Bad Hardware

7. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
7
A Short History of Tablets: Custom Enterprise Solutions

8. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
8
A Short History of Tablets: Custom Enterprise Solutions
Custom Hardware
Custom Software

9. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
9
A Short History of Tablets: Apple Cracked the Code

10. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
10
A Short History of Tablets: Apple Cracked the Code

11. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
11
What Apple Got Right
$499

12. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
12
Competitive Stampede

13. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
13
Market Growth – Unique Tablet SKU Count (U.S.)
0
100
200
300
400
500
600
700
800
900
Unique Tablet SKUs at Major U.S. Retailers
Retailers:
Amazon*
Radio Shack
Best Buy
Target
Walmart
AT&T
Sprint
Verizon
T-Mobile USA
Source: Current Analysis TabletTracker
*Only tablets sold by Amazon itself are included

14. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
14
Market Growth – Unique Tablet SKU Count (U.S.)
0
100
200
300
400
500
600
700
800
900
Unique Tablet SKUs at Major U.S. Retailers
Retailers:
Amazon
Radio Shack
Best Buy
Target
Walmart
AT&T
Sprint
Verizon
T-Mobile USA
# Tablets
Source: Current Analysis TabletTracker
*Only tablets sold by Amazon itself are included

15. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
15
iPad Competitors: BlackBerry and HP

16. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
16
iPad Competitors: BlackBerry and HP

17. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
17
iPad Competitors: Google & Co.
$499

18. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
18
iPad Competitors: Google & Co.
$499

19. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
19
iPad Competitors: Google & Co.
$499

20. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
20
Android Differentiators

21. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
21
iPad Competitors: Microsoft & Co.
$499

22. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
22
iPad Competitors: Microsoft & Co.
$499

23. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
23
iPad Competitors: Microsoft & Co.
$499

24. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
24
Windows 8.1 Differentiators

25. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
25
Apple’s Enduring Advantage

26. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
26
Apple’s Enduring Advantage
…and yet –

27. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
27
Tablet Trends: iPad Sales Growth Stalled
0
5000
10000
15000
20000
25000
30000
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14
iPad Sales
Source: Apple financial statements

28. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
28
Tablet Trends: Why Have iPad Sales Stalled?

29. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
29
Tablet Trends: Why Have iPad Sales Stalled?

30. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
30
Evaluating Use Cases: A Third Thing

31. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
31
Evaluating Use Cases: Location

32. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
32
Connected Tablets Driving Carrier Subscriber Growth

33. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
33
Connected Tablets Driving Carrier Subscriber Growth
now subsidizing cellular price delta and offering free data

34. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
34
Connected Tablets Driving Carrier Subscriber Growth
ONLY
now subsidizing cellular price delta and offering free data

35. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
35
Western Markets: Premium Tablet Squeeze

36. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
36
Western Markets: Premium Tablet Squeeze

37. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
37
Evaluating Use Cases: Asia

38. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
38
Enterprise Adoption

39. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
39
Enterprise Adoption
simple deliberately complex

40. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
40
Enterprise Adoption
Office software
maturing
On iOS.
With an external keyboard.
For those who prefer
mobility over large displays.

41. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
41
Enterprise Adoption
Security maturing
Mobile device management
maturing, too

42. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
42
Enterprise Adoption
New mobile use cases
require process changes
and software change
and sometimes hardware accessories
…which takes time

43. Proprietary and Confidential© Current Analysis Inc. All rights reserved.
43
Proprietary and Confidential© Current Analysis Inc. All rights reserved.
43
Thank You
Avi Greengart
Research Director, Consumer Platforms & Devices
Email: agreengart@currentanalysis.com
Direct/Mobile: +1 201-677-8284
Twitter: @greengart
Current Analysis provides global IT, telecom and enterprise professionals with the market intelligence and
advice they need to compete, innovate and improve performance to drive growth and market leadership.
www.currentanalysis.com