Without its own 'iTablet' yet, is Apple missing the boat?

By Chris Maxcer, MacNewsWorld | Published November 30, 2009, 12:58 PM

E-readers seem to be smoking hot this year. The Amazon Kindle, of course, has been leading the pack, but Sony seems to have sold more than a handful as well, and its new Sony Daily Edition e-reader may be in short supply. Meanwhile, newcomer Barnes & Noble already sold out of its new Nook e-reader, which the company just announced a month ago -- and that's only pre-orders that aren't shipping until the end of this month. Order a new Nook now, and you'll have to wait until January to get it.

Sounds a bit like Amazon's first sold-out holiday sales effort with the Kindle.

So how popular are these e-book readers, anyway?

Consumers will buy 3 million units by the end of 2009, 900,000 of which will sell during this holiday season alone, according to Forrester. Plus, Forrester expects sales in 2010 to double, which will bring the cumulative sales of e-readers to 10 million by the end of 2010.

So those numbers are nothing to sneeze at, but still, we should be clear -- the e-reader market isn't nearly as large as, say, the iPod market. Apple sold 10.2 million iPods in its last quarter alone, and I wouldn't be surprised if the company didn't blow past those numbers this holiday season as well. The iPod touch is a pretty darn versatile device.

I believe that most consumers don't rush out to spend hundreds of dollars on a new device if the one they already use does a pretty good job. So would many Kindle users buy a Nook? I'm guessing not, based on all sorts of rave reviews. Part of those raves are due to the versatility of today's e-readers.

For example, actor Woody Harrelson uses a Kindle. "Oh, man! I love it!" he recently told Esquire. "They send my scripts to it. I read books on it. My office can send my schedule to it. So any time I want to see it, booooom -- there it is. Toronto, New York ..."

So is Apple missing the e-reader boat? The answer has at least two opposing sides. The first is that yes, yes it is. While Harrelson has enough extra cash to try a new device, I don't think most happy consumers do. If Apple ever gets around to delivering a rumored and much-anticipated iPod touch-like "iTablet," you can bet it's not going to sell for the Nook's USD$259. It'll most certainly be quite a bit more expensive. If this premise holds true, then some of the most technologically inclined readers will be investing in and building experience with e-readers that are not from Apple.

And yet, Apple might not be missing anything at all. The company does have a modus operandi for most of its products, and that is to let others fumble around with new devices and create a rudimentary market for a few years and then bust loose with a new device that aims to do most everything better than the original device leaders. The iPhone is the biggest example, of course. Now it's hard not to mention the iPhone anytime anyone is discussing smartphones. It's got crazy mindshare, super profitability for Apple, and if you really think about it, the iPhone is simply a well-thought-out upgrade to previous smartphones already available in the marketplace.

So yeah, there's still a spot on the boat for Apple, if the company ever chooses to build an iTablet device.

The plot gets a little thicker. Steve Jobs has already gone on record to say he doesn't believe that single-purpose dedicated devices will be a big market. "But I think the general-purpose devices will win the day. Because I think people just probably aren't willing to pay for a dedicated device," he told The New York Times.

So what is the iPod touch? Just an MP3 and video player? No way. It's also a gaming unit that runs a full universe of apps, including email and Web browsing. One day it'll eventually get a camera like its smaller iPod nano sibling. That's right: general purpose. It's safe to say that any new Apple device with a larger form factor than the iPod touch, regardless of its name, will be designed to play games, movies, television shows, surf the Web, run apps, and maybe even navigate the world.

An iTablet would be so much more than an e-reader.

If Apple does indeed redefine the publishing industry for newspapers, magazines and textbook publishers, an iTablet would be a supremely capable device for it. And while we're talking about the publishing industry, Apple has filed a patent for technology that displays on most any electronic screen and compels users to notice it, according to The New York Times. This is not to say that Apple will use the patented idea, but it's clear the company is thinking and planning.

Back to versatility: Forrester also notes that its latest e-reader projections -- 6 million to be sold in 2010 -- could be easily surpassed if the category expands beyond e-ink-based displays.

If Apple does create and deliver an iTablet, it's got enough resources on hand to build its own vessel -- so I doubt Jobs is concerned about jumping aboard any e-reader boat. First of all, an iTablet would appeal to any person interested in the consumption of media. You don't have to be a book lover, and in fact, Apple might prefer it if you weren't. Movies. TV shows. Music. iTunes. App Store. Games. Gorgeous moving graphics and flickering light. This alone is enough to sell iTablets.

Throw in some snazzy TV commercials, and it's not hard to envision mindshare sliding toward Apple.

Of course, if Microsoft could deliver something almost as compelling as the mockup of the Courier that slipped out a couple months ago, even Apple might miss connecting with more than few potential customers. In the meantime, at least a few million consumers are buying e-readers right now and aren't waiting on Apple -- but I wonder how many are?

Originally published on MacNewsWorld

© 2009 ECT News Network. All rights reserved.

© 2009 BetaNews.com. All rights reserved.

Comments

View comments by with a score of at least

Oh there's no doubt they can do it, but there's also no doubt they can't sell it at the price they'd want to sell it at, to make the mark-up they'd want to make on it.

Consumers just aren't going to pay what Apple would want to charge and Apple aren't willing to lower the price to come in cheap.

You're never ever going to see an iTablet of any description other than variations on the iPhone - iPhone and iPhone Nano - it just ain't a gonna happen.

Score: 0

|

My road-warrior equipment: an iPhone and a MacBook Air (which runs Windows XP and OSX, BTW). I don't need an e-reader/iTablet. That's called overkill. And you don't have to be an Apple fan in order to use their stuff. Usability is my keyword. Sometimes Windows has the better offer for me, sometimes OSX and sometimes even Linux. Computers (and their OS) are tools to get the job done.

Score: 0

|

The iPhone has forever changed the gadget market and made forced all mobile devices to evolve into something useful. Unfortunately for Apple, other companies are now taking over the market and giving the iPhone a run for its money.

I am NOT an Apple fan. I don't own and have NEVER owned an Apple product despite my temptation to get an iPhone (if I could have Verizon I'd have one). In fact, Apple fanboys (really just the arrogant, snotty attitudes abound) and Apple's overpriced hardware (an Apple IS a PC... why the $2k?) really piss me off. However, there's no denying Apple's/Jobs' remarkable eye for innovation and brilliant knack for creating products consumers and the market wanted but didn't know it. Like the introduction of stylish computers, then the iPod and then the iPhone, I see Jobs and Apple doing something nothing less than stellar to reshape the laptop market.

To do this Jobs is going to come up with something that exceeds and encompasses the capabilities of Microsoft's touch, e-book readers, netbooks (a market which Apple still refuses to enter) and more. This has to be an extremely difficult challenge which I'm convinced is why Apple has delayed any sort of announcement of such a product. I'm not sure what to expect, but I don't doubt for a second that it'll be an amazing product and we're obviously all looking forward to it.

Score: 0

|

2K for an Apple computer? Check your figures, please. And don't call me a fanboy. 2 pc's and 2 mac's on my desk.

Score: 0

|

Even though im not a big apple fan I really think Apple is about a multi use product that one that simply does one thing. Im sure there are more then enough apps on the iphone and their laptops to read ebooks. It amazes me why anyone would buy one of these ebook readers.. any normal netbook (which you can get for 199.99) can get ebooks. I mean the ebook readers look nice, but thats about it.

Score: -1

|

Apple is not missing the boat as long as Microsoft continues to ignore this awesome functionality in their marketing.

Same goes for Media Center. MC may be the best app built into Windows and no one really seems to know about it. It's been there since 2004!!

Score: 0

|

Steve Jobs says that people are more willing to buy a multi-purpose device than a single-purpose device. You can't argue with success, but what does that say about the single-purpose Netbook's and Google's chromium?

Score: 0

|

Why have their own e-book reader?

There's an app for that... *shrug*

Score: 2

|

There are several apps for that, including one from Amazon.com and another from Barnes & Noble.

They seem to be lining up support for a new format, probably available through iTunes, that supports magazines and newspapers.

The thing is that the dedicated readers emulate the look of the book rather well and use specialised displays, which Apple will definitely not do. Magazines and newspapers would be less needy in this respect.

I think it all comes down to creating a device large enough for practical use and connected enough that you can get what you want. The price will be typically Apple, but seeing Nokia's netbook US$250 higher than others, maybe Apple isn't that bad. ;-)

Score: 0

|

e-reader? f*ck that s***, give me a solid ebook app for a netbook/laptop, good to go

Score: 0

|

Google Buzz: Another attempt to harness the content firehose

Similar to how Google successfully remolded RSS into a Google tool, the company now wants to remold Gmail into one big Google party

Success: Google's Nexus One shipping support line takes tech support questions

UPDATED Though the support line had been set up for shipping, it now appears Google personnel are happy to hear technical concerns.

Goodnight, moon: What I learned from a space shuttle

Carmi Levy | Wide Angle Zoom: Can the tech sector learn a few lessons from the space program? Certainly, if you believe in learning from someone else's mistakes.

Netflix to FCC: NBCU + Comcast could bypass net neutrality

Weaning itself from the post office as its main means of video transfer, Netflix would like someone to ensure the Internet remains just as unencumbered.

Rhapsody to become an independent company

RealNetworks and Viacom subsidiary MTV Networks have begun the process of spinning off music service Rhapsody into an independent company.

Nvidia debuts new dynamically-switched graphics card technology

Today, Nvidia announced that its Optimus technology for GPU switching will soon be available in a handful of Asus notebooks.

Google lowers 'unusually high' early termination fee on Nexus One

Google has lowered the Nexus One's early termination fees which were twice as high as the norm.

Netgear and Ericsson introduce a mobile broadband hotspot with a twist

It's a mobile broadband hotspot, but it's for use in the home.

Report: Streaming video drove 72% global increase in mobile data consumption

A new study says streaming video is "the single most influential factor driving the need for increased mobile network capacity."

Stymied by continuing Nexus One 3G issues, Google blames the environment

If you're still afflicted with the 3G flip-flop trouble, then you might consider moving. That appears to be the only suggestion Google can give for now.

Wolfram|Alpha makes a strong argument for virtual keyboards

"Answer engine" Wolfram|Alpha has updated its iPhone/iPod Touch app, harnessing the strength of the virtual keyboard.