Another blog that validates my belief that Tablets can rule the computing device market for next 4-5 years.
Surface 2, HP TouchSmart, Tablets Suggest Future of Touch - Desktops and Notebooks - News & Reviews - eWeek.com
Most manufactures are bringing out devices that have Touch input as their standard interface. Out of these, the majority of devices would be smart phones, tablets, desktops, navigation systems on cars, etc. Tablets and smart phones would compete for market share and it can be argued whether they can co-exist. Popular theory is that they are devices that serve 2 different purposes have completely different market segments and hence can peacefully co-exist (Just like how cell phones, desktops and notebooks co-exited in much of 90s). But, I would beg to differ.
Three major groups of customers that use Touch based devices will emerge in the next few years
- people that use smart phones only, people that use tablets only and people that use both. App developers would have a tough time trying to bring out Apps for multiple devices with varying form factors and OSes. It would be inevitable that in the long run App developers would want a unified environment where their App can function on any device. This might mean hardware convergence (just like x86 and Windows in 90s) in the long run.
Some of the most important reasons why Tablets might win the war over smart phones are,
In current post-recession world, cost consideration cannot be ignored. Considering US market, after carrier subsidy a smart phone might range from $100-$200. This comes with a heavy monthly plan, that charges between $60-$70 monthly for data and voice. Over a 2 year period. The total cost of owning a smart phone is,
Csmtph = $100 + 24*$60 (assume monthly fees of $60) = $1540 (over 2 years)
or
Csmtph = $200 + 24*$70 = $1880 (over 2 years) --> iPhone with unlimited data.
At the same time, users would only have to shell about $40 for a basic cell phone plan and have the freedom to buy a Wifi tablet (lets say ~$600)
It would cost them roughly,
Ctab = $600 + 24*$40 = $1560.
If you go with a Notion Ink Adam LCD option, your total cost(Ctab) would be even lower.
That's the break even point. You would be saving money from the third year on a tablet. It can be safely assumed that 3 years is the almost the max life time for a tablet due to the rapid pace of innovation in the industry. Also, a Wifi Tablet would not be subject to bandwidth throttling that the carriers (Verizon and AT&T) are planning for heavy data users.
Most manufactures are bringing out devices that have Touch input as their standard interface. Out of these, the majority of devices would be smart phones, tablets, desktops, navigation systems on cars, etc. Tablets and smart phones would compete for market share and it can be argued whether they can co-exist. Popular theory is that they are devices that serve 2 different purposes have completely different market segments and hence can peacefully co-exist (Just like how cell phones, desktops and notebooks co-exited in much of 90s). But, I would beg to differ.
Three major groups of customers that use Touch based devices will emerge in the next few years
- people that use smart phones only, people that use tablets only and people that use both. App developers would have a tough time trying to bring out Apps for multiple devices with varying form factors and OSes. It would be inevitable that in the long run App developers would want a unified environment where their App can function on any device. This might mean hardware convergence (just like x86 and Windows in 90s) in the long run.
Some of the most important reasons why Tablets might win the war over smart phones are,
- They are light and portable, just like a smart phones and not as bulky as a notebook.
- Have larger displays than smart phones
- Will run almost any app designed for smart phones
- Can be used to make calls/video chat
- Better at creating content than a phone and most importantly,
- Less costlier than smart phones (Wifi only mode) over a span of 24 months or more.
In current post-recession world, cost consideration cannot be ignored. Considering US market, after carrier subsidy a smart phone might range from $100-$200. This comes with a heavy monthly plan, that charges between $60-$70 monthly for data and voice. Over a 2 year period. The total cost of owning a smart phone is,
Csmtph = $100 + 24*$60 (assume monthly fees of $60) = $1540 (over 2 years)
or
Csmtph = $200 + 24*$70 = $1880 (over 2 years) --> iPhone with unlimited data.
At the same time, users would only have to shell about $40 for a basic cell phone plan and have the freedom to buy a Wifi tablet (lets say ~$600)
It would cost them roughly,
Ctab = $600 + 24*$40 = $1560.
If you go with a Notion Ink Adam LCD option, your total cost(Ctab) would be even lower.
That's the break even point. You would be saving money from the third year on a tablet. It can be safely assumed that 3 years is the almost the max life time for a tablet due to the rapid pace of innovation in the industry. Also, a Wifi Tablet would not be subject to bandwidth throttling that the carriers (Verizon and AT&T) are planning for heavy data users.
So, what would you prefer? Smart phone or Tablet or both?
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