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Analyst: Apple Tablet Worth $1.2 Billion

TMO Talk (7)

Piper Jaffray analyst Gene Munster thinks Apple's fabled tablet device is coming in early 2010, and could be worth some US$1.2 billion to the company in the first year it is available. He expects Apple will sell about 2 million units in the first year at about $600 each, adding about 3 percent to the company's revenue, according to Fortune.

Mr. Munster expects Apple's tablet will run the current batch of App Store applications and maintain a form factor similar to the iPod touch. It will also be capable of running a new breed of applications geared towards its larger display, and will be focused Email and Web surfing along with playing digital media.

He also expects the tablet will include built-in 3G support and might be subsidized by AT&T or Verizon, helping keep the price point between $500 and $700.

Mr. Munster is predicting the Apple tablet will hit store shelves early next year based on reports from parts suppliers. "Last week we spoke with an Asian component supplier that has received orders from Apple for a touch-screen device to be fulfilled by late [calendar year] 09. This data point underscores our thesis that a tablet will likely launch in early [2010]," he said.

So far, Mr. Munster's report is in line with the current slate of tablet rumors. Simply because his report line up with others, however, doesn't necessarily mean that the rumors are more credible. Until Apple officially unveils a tablet, the device will stay firmly planted in the world of speculation and rumor.

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6 Observer Comments

Considering Apple’s preferred margins, there is no way that Apple will sell this device for anything less than pennies under $1,000. The precedent is there. And I think they’ve learned the folly of their ways with tying up with a single provider. There’s no need if it’s wi-fi capable. 3G? What for? This is much more a device for class rooms and board rooms, possibly hospitals, but marginal at airports, and dubious at best in a vehicle at best. Too much vibration to concentrate well on a screen and do touch screen with any accuracy.

I seriously think it’s a stretch to think this will roll out as soon as predicted. And it’s NOT going to be a cheap product.

   Actions Brad Hutchings (Bosco) said on August 7th, 2009 at 11:30 AM (Edited: 10/12/2011 8:04 PM):

Does anybody track this guy’s predictions?

Until Apple officially unveils a tablet, the device will stay firmly planted in the world of speculation and rumor.

So why keep wasting time on it?

“I have nothing meaningful to say, but I’ll write and post it anyhow…”

Too much vibration to concentrate well on a screen and do touch screen with any accuracy.

Does basic safe driving — i.e., leaving all other electronic devices ALONE while at the wheel — ever come into this question?

   Actions Brad Hutchings (Bosco) said on August 7th, 2009 at 2:19 PM (Edited: 10/12/2011 8:04 PM):

Does basic safe driving — i.e., leaving all other electronic devices ALONE while at the wheel — ever come into this question?

No, because your definition of “safe driving” is silly. And don’t even go to the “just talking on the phone is distracting”. The numbers lie, just like that “1 = 0” proof you probably saw in your algebra class in high school. How is it that as cell phone adoption and use has gone from 0 to everybody in the past 15 years, accidents and deaths have actually gone down relative to vehicle miles travelled?

On net, cell phones in cars probably save lives. For example, the other day, I was behind this old broad who couldn’t stay in her lane because she was either too old to drive or drunk or both. So I tapped the Bluetooth and called 911 on her and probably saved her elderly husband from a diaper change.

   Actions iJack said on August 7th, 2009 at 10:42 PM (Edited: 09/26/2011 1:30 PM):

What a charmer you are, Bosco.

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