PED’s Apple 2.0 On iPad Supply

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    Posted: 18 August 2010 11:29 AM

    PED has some additional color on iPad Supply overe at Apple 2.0.

    “iPad demand remains strong with production ramping above expectations,” writes Fidacaro. He has revised his iPad build forecast for Apple’s (AAPL) fourth fiscal quarter to 7 million units, up from 6 million units. And his 4Q iPad shipment estimate now stands at 4.75 million units, a 45% increase from Q3.

         
  • Posted: 19 August 2010 10:29 AM #1

    I find the unit sales estimate of 4.75 million units quite odd considering the continuing global rollout, continuing domestic demand and the analyst’s estimate of the pace of unit manufacture.

         
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    Posted: 19 August 2010 10:59 AM #2

    Looks Like another analyst hedging their bets.  The latest production rumor said 2.3M in July.  That makes 6M in sales a reasonable guess with some inventory build.

    Ninelu Tu, Taipei; Joseph Tsai, DIGITIMES?[Tuesday 6 July 2010]

    Apple’s monthly iPad orders to Taiwan makers surpassed two million units for July and the volume are expected to maintain above the level in the future, according to Mingchi Kuo, senior analyst for Digitimes Research.

    Apple is estimated to have outsourced 2.3-2.35 million iPads to Taiwan players in July with 58-60% for the Wi-Fi and 3G hybrid model despite Wi-Fi only models having stronger sales in the first half of 2010, Kuo noted.

         
  • Posted: 19 August 2010 12:59 PM #3

    I wonder how sales compare now between the Wi-Fi and 3G model. The 3G offers GPS as well, but are they that many apps for the iPad that demand GPS? The non-contract 3G rates seem reasonable, but the 2G limit may not be enough for Netflix users who want to stream a movie while on a trip. And the Jailbreak crowd are crowing that they can use their iPhone as a W-fi hotspot for their iPad. So is the 3G going to be outselling the Wi-Fi unit?

         
  • Posted: 19 August 2010 07:28 PM #4

    pats - 19 August 2010 01:59 PM

    Looks Like another analyst hedging their bets.  The latest production rumor said 2.3M in July.  That makes 6M in sales a reasonable guess with some inventory build.

    I think 6 million is reasonable at this point in time.

         
  • Posted: 20 August 2010 03:34 AM #5

    adamthompson3232 - 20 August 2010 12:18 AM
    willrob - 19 August 2010 03:59 PM

    I wonder how sales compare now between the Wi-Fi and 3G model. The 3G offers GPS as well, but are they that many apps for the iPad that demand GPS? The non-contract 3G rates seem reasonable, but the 2G limit may not be enough for Netflix users who want to stream a movie while on a trip. And the Jailbreak crowd are crowing that they can use their iPhone as a W-fi hotspot for their iPad. So is the 3G going to be outselling the Wi-Fi unit?

    If this source is to be trusted, then yes, the 3G is outselling the wifi models. Apple would not order more 3G than wifi unless that is what demand looks like.

    Much of the thinking that drives consumer purchases involves buying possibilities. An iPad with 3G, regardless of whether or not 3G would be often used, is appealing especially for a purchase that requires an investment of a few hundred dollars or more.

    I had originally planned to purchase an iPad with Wi-Fi only, but after pondering the times 3G might come in handy (vacations, business trips and even some business uses such as meetings away from the office), I realized the benefits of 3G even if service is purchase only occasionally and in monthly increments.

         
  • Posted: 20 August 2010 10:28 AM #6

    And for car navigation systems, the GPS chip that comes with the 3G, is essential even if the 3G is never activated.

         
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    Posted: 20 August 2010 10:40 AM #7

    The high ratio of 3G to WIFI could be a result of Apple’s original forecast so I would be hesitant to use that ratio for future calculations.  We had a delay in the 3G launch for whatever reason so manufacturing probably started a few weeks later and then actual demand was different then forecast so Apple logically would adjust downstream production until they get close to a supply/demand balance.  For my own use I bought the 3G because I couldn’t tether the iPhone and I wanted 3G access when I was traveling. Of course my wife was paying the extra $130.  :wink:

         
  • Posted: 20 August 2010 12:47 PM #8

    Did you consider jailbreaking your iPhone for iPad tethering?

         
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    Posted: 20 August 2010 01:27 PM #9

    willrob - 20 August 2010 03:47 PM

    Did you consider jailbreaking your iPhone for iPad tethering?

    Don’t need the security risk when I can pay $130 and then activate the 3G on an as needed basis.  I jail-broke my original iPhone, before the App store existed, but don’t see the need now, but I’m planning a trip to Italy next year so may unlock if I can’t just get a local sim and use for data.