Market Researchers Report Mixed Results for Q2 Global Tablet Shipment Estimates

International Date Corp. (IDC) and Digitimes Research, both global research firms for ICT (information communication technology) markets, have issued the latest reports on estimated global tablet shipments in Q2 of this year, with the mixed results suggesting the market may have neared saturation and will  continue to see growth slowdown, particularly when the sector is increasingly threatened by equally functional smartphones with larger screens.

In IDC's report, global tablet shipment is estimated at 49.3 million units in Q2, up 11% year-on-year (YoY) but slightly down 1.5% compared to 50.1 million units in Q1. The research firm indicates that global sales of such devices have been continuously eroded by large-screen smartphones, hence sliding in Q2. But with commercial models increasingly in demand in Q2, it still forecasts global sales for 2014 to further grow from last year's.

In contrast, Digitimes Research is apparently more optimistic about market development,  estimating global tablet sales in Q2 at 61.42 million units, increasing 4.9% quarter-on-quarter or over 30% YoY. Digitimes Research explains that the growth is based partly on world's major brand vendors, except Apple, continually launching new models in the quarter, and partly on strong market demand in emerging markets, hence helping boost shipments by generic brands to add to the total.

As for the top-five brand rankings, IDC's report shows Apple having shipped an  estimated 13.3 million units as the No.1 brand globally in Q2, but the shipment volume is 9.3% less than a year earlier and down 21.3% from 16.4 million units in Q1.

Samsung ranked second with shipment of 8.5 million units, up 1.6% YoY but down 21.3% compared to 10.8 million units a quarter ago. In the meantime, Asus would lose its third place it had gained in Q1 to Lenovo to be No.4, and the two brands' shipments are estimated by IDC at about 2.3 million and 2.4 million units, respectively, up 13% and 64.7% YoY.

Acer has remained at the bottom of the top-five brand list by shipping around one million units, sharply down 36.3% YoY but significantly improving from 700,000 units a quarter ago.

Digitimes Research's report indicates Apple led the top-five brands in Q2, but will likely see its shipment decline 14.8% QoQ to only 13.5 million units, mainly due to the saturated segment for iPad and low season.

Combined shipments by the other four brands are estimated at 24.62 million units, surging 50% YoY and totaling nearly a half of  Samsung, which Digitimes Research estimates to have effectively narrowed the gap in market share to Apple to only two percentage points, thanks to new models launched and successful promotions.

Asus has been heavily supported by Intel to promote new models since losing the opportunity to cooperate with Google to jointly develop the third-edition Nexus last year, with  Digitimes Research expecting its shipment in Q2 to exceed that by Lenevo to rank No.3., and Acer to be the fifth-biggest brand.

Combined shipments by generic brands, Digitimes Research estimates, would keep increasing to 23.3 million units in the quarter.

Also notable is that Qualcomm, Intel and Mediatek will, according to Digitimes Research, become world's second, third and fourth-largest provider of tablet PC processors by market share in the quarter, in line with  Samsung, Asus and Levovo, respectively, in ranking reshuffle. Samsung and Marvell both would fall to the fifth and sixth place, respectively.

Among Taiwan's major contract manufacturers of tablets, Hon Hai Precision Industry Co., Ltd., Apple's biggest supplier of iPad, will see its shipment plummet in Q2, mainly due to shrinking global sales of 9.7-inch iPad. And Pegatron Corp. is expected to have boosted the contribution rate of tablets to overall shipment to 25%, largely thanks to robust market demand for 7.85-inch iPad Mini and orders placed by Asus for new models. (SC)

Estimated Shipments by World's Top 5 Tablet Brands in Q2, 2014
Ranking	Brand	Shipment in Q2	Market Share	Shipment in Q1	Market Share	Q-on-Q Growth Rate
1	Apple	13.3 M. Units	29.6%	16.4 M. Units	32.7%	- 18.9%
2	Samsung	8.5 M. Units	17.2%	10.8 M. Units	21.6%	- 21.3%
3	Lenovo	2.4 M. Units	4.9%	2.0 M. Units	4.0%	20.0%
4	Asus	2.3 M. Units	4.6%	2.6 M. Units	5.2%	- 11.5%
5	Acer	1.0 M. Units	2.0%	700,000 Units	1.4%	42.9%
Others		21.5 M. Units	44.4%	17.6 M. Units	35.1%	24.4%
Total		49.3 M. Units	100.00%	50.1 M. Units	100.00%	- 1.5%

Source: International Data Corp.