Apple slashing iPad sales estimates, expects iPad mini to overtake it in 2013

Apple slashing iPad sales estimates, expects iPad mini to overtake it in 2013
If last year we could only theorize about the 7.9-inch iPad mini cannibalizing sales of its bigger brother, the 9.7-inch iPad, this is now said to become the reality of 2013. Apple has allegedly cut its shipment estimates for traditional iPads nearly in half from 60 million to 33 million. 

At the same time, it has readjusted estimates for iPad mini sales higher. As the 9.7-inch iPad becomes less appealing in 2013, Apple expects to sell nearly 55 milion of the iPad mini, up from its earlier 40 million estimate. All of these estimates come courtesy of DigiTimes, a Taiwanese publication with inside supply sources.

Looking at overall iPad sales though, the adjustment is down. Obviously, Apple will also make less money off of the iPad mini as despite its big profit margin it is the cheaper device of the two iPads.

How important is that for Apple? Last quarter, the company sold 22.9 million iPads, with revenue from the iPad making up nearly 20% of the total company revenue. The iPad is thus the second most important device for Apple after the iPhone which brings the company 56% of its revenue.

Once again, we are seeing an example of Apple disrupting itself. Had it not introduced the iPad mini last year, iPad sales might have had a stronger chance to stick with consumers, but the iPad mini with its narrower bezel seems to have caught up extremely well. If all of that is true of course, let’s keep in mind that this is just a rumor for the time being.

source: DigiTimes

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13 Comments

1. PermanentHiatus

Posts: 267; Member since: Jun 22, 2012

Well it is cheaper. Duh.

2. sorcio46

Posts: 435; Member since: Jul 27, 2011

We said that many months ago Phonearena :D!

3. tech2

Posts: 3487; Member since: Oct 26, 2012

so basically they cut down 27 million iPads and increased mini's expectations by only 15 million ! that sounds an overall decline

4. darkkjedii

Posts: 31052; Member since: Feb 05, 2011

You're talking price vs expected shipments. Makes no sense.

6. tedkord

Posts: 17357; Member since: Jun 17, 2009

No, he's talking straight numbers. Projections for the iPad were slashed by 27 million, while projections for the mini went up only 15 million. This is doubly damning, since not only are the overall numbers down, but the mini has a much lower margin.

12. jas0976

Posts: 2; Member since: Jun 22, 2009

thats 100% right. its all numbers game (math)

5. InspectorGadget80 unregistered

Same boring news every time when millions of people already bought the ipad

7. tmcr7

Posts: 180; Member since: Nov 02, 2011

but I thought Steve Jobs said 10" is the ideal tablet size?

8. darac

Posts: 2156; Member since: Oct 17, 2011

This is all about the form factor. Mini really hits the sweet spot between usability and size..people will buy it over big iPad even if it costs the same. So, Apple can push high end specs and and charge a premium for the mini, and achieve even greater profit margin. Mark my words and watch

9. appleDOESNT.com

Posts: 456; Member since: Nov 19, 2011

i agree.. a ten inch tab is a tweener IMO, too big to be portable too small to be useful. Mini did get the size right if it weren't for that lol low rez screen that they burned everyone on it once again further proving what a anti consumer company apple is; launch it with the low rez crap screen that really does suck and looks terrible, just to refrsh it months later all for the highest price in it's class... well there i go again, even when apple does something right the over charge and screw you lol

10. funchumm1206

Posts: 52; Member since: Mar 04, 2013

Tim said that ipad mini will not cannibalize ipad 4. what happened? LOL

11. tedkord

Posts: 17357; Member since: Jun 17, 2009

Tim also said that he doesn't like lawsuits. So I'm not really sure what Tim says means all that much...

13. MrWilli5

Posts: 77; Member since: Feb 13, 2011

its not the size of the tablet ppl are into its the damn price

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