Amrita School of Business, Amritapuri

Tablet PCs: The future computers

Business Communications Mini project-1

Group-2 LEGENDS
7/16/2012

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Table of Content:
Sl. No. 1 2 3 4 5 6 7 8 INTRODUCTION WHAT IS TABLET PC? WHAT IS TABLET PC? A SHORT STORY OF THE TABLET PC PUTTING TABLET TO US: KEY PLAYERS IN MARKET: MARKET STRATEGY: CURRENT TRENDS AND FUTURE EXPECTATIONS FROM TABLET MARKET: 9 REFERENCE 14 Topics Page no: 1 2 4 5 6 8 10 12

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Executive summary:
As a concept, TABLETS have been around for a while. So have touch screen on phones, it did take quite a while for a true convergence of hardware, software, OS, usability and an application ecosystem finally come together which has paved the way for a new generation of devices in the form of todays TABLETS. As this nascent market grows at a breakneck pace globally , economies of scale has started setting in already, while a number of models are available in India some global brands and not so global ones there has been very little by way of differentiation amidst all these products . Why do a report on TABLET market? Tablets have the potential to grow exponentially if key players in the market can play to the right market forces. What to expect from this report? This report will not only look at global trends applications and use cases for tablets but also the current status of the market, challenges and the outlook for the tablet market. This report will highlight the potential and opportunity which should serve as a strategic tool for category players.

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INTRODUCTION

A tablet PC is a wireless, portable personal computer with a touch screen interface. The tablet form factor is typically smaller than a notebook computer but larger than a Smartphone. The most common type of tablet is the slate style, like Apple's iPad or Microsoft's Surface. These devices which are what that most people mean when they refer to a tablet have electronics integrated into the touch screen unit and lack a hardware keyboard. However, external keyboards are available for slate-style tablets. Some keyboards also function as docks for the devices. The tablet PC relies on digital ink technology, where a digitizer is laid under or over an LCD screen to create an electromagnetic field that can capture the movement of the special-purpose pen and record the movement on the LCD screen. The effect is like writing on paper with liquid ink.

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WHAT IS TABLET PC?

A Tablet PC is a lightweight computer, similar to a notebook, which allows the user to interact with software using a stylus (digitizer pen) as if writing on a slate. Microsoft and a number of hardware manufacturers (including Acer, Toshiba, Hewlett-Packard, Fujitsu Siemens and RM) launched the Tablet PC in November 2002. The Tablet PC is a fully functional Windows XP portable computer that can be operated with a digital pen. The pen can be used to control the PC and also to write on the screen of the device. Integrated handwriting recognition technology enables users to create handwritten documents. Handwriting can be saved as an image, converted into typed text, and some applications, such as Windows Journal, allow the user to save and search digital ink documents. Tablet PCs offer an alternative to pen and paper, with a more natural and intuitive interface than a conventional laptop computer. Tablets can also be easily carried around providing enhanced mobility and ease of use. (Becta, 2004, p1)

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A SHORT STORY OF THE TABLET PC

In an article about the supposed upcoming Apple tablet, Paul Thorrot made a jab at the hype that has developed, arguing that Microsoft was first with its tablet PC initiative in the early 2000s. Daring Fireball's John Gruber disagrees with Thurrot, and claims that Apple's Newton was the first tablet. In rushing to defend their pet companies, I say both are wrong. Neither Apple nor Microsoft has anything to do with the conceptualisation or realisation of the tablet computer. Thurrot made his remarks in a short post on his blog right before CES, when it was revealed that Steve Ballmer would debut a new tablet computer made by HP. "I can now reveal that Microsoft and its PC maker partners will announce and then deliver their own Tablet PC well before Apple. And I have an exclusive photo of a prototype of this unbelievable, trend-setting, and innovative product," Thurrot wrote, "From 2001. The devices shipped in 2002. Almost eight years ago."

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So as you can see, the tablet pc market has quickly become a multi-billion dollar industry. Those numbers above only account for capacitive touch screen tablets. Statistics for smartphone growth is tremendously higher since they have been around longer and are the most commonly used capacitive touchscreen device. Nonetheless, this is a tablet pc related site and what Im trying to point out is that popularity for tablet computers continues to soar. Although smartphones currently rank as the #1 most used portable touchscreen device, tablet pcs are in fact gaining percentage points as the most popular device of choice. At the moment the iPad still ranks as the most widely used tablet pc. Among the list of most commonly used operating systems for such devices (smartphones & tablets) iOS dominates 49%, or practically half of the market. Other industry leaders are making tremendous headway though and the Android OS is not far behind at 41%, creeping up and gaining percentage points for the last 7 months in a row! Watch out Apple! Lets not forget other popular mobile operating systems such as the upcoming Windows table OS (aka Windows 8 OS) and RIMs BlackBerry tablet OS among others. Demand for such devices is one thing, but competition also continues to heat up which respectively has a big impact on how much the tablet computer industry grows. More manufacturers entering the market means, more options in several different price brackets for consumers, ultimately resulting in overall growth in revenue as a whole. The lineup of future tablet computers expected to hit the market soon is nearly impossible to keep up with, even for people such as myself who practically eat, sleep and breathe all things gadget related. Lets not forget others that have recently hit the scene such as the HP TouchPad along with the new tablet webOS 3.0 which looks very promising as well. However you spin it, its very interesting to watch the industry take off.

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PUTTING TABLET TO USE

Tablet PCs have a number of features that make them especially appealing and useful to physicians: portability, wireless capability, handwriting and speech recognition capability and security options. Of course, any new technology also comes with its own set of problems. Heres a discussion of some of the tablet PCs benefits and drawbacks:

Portability: When most people envision a computerized office, they probably think of a big PC in every
room. However, that PC will not budge when you want to take a trip to the sample closet or leave the room to confer with a consultant. The tablet PC gives you the portability of a PDA and the increased screen size and power of a desktop PC. Although some tablets can remain unplugged for as long as nine hours, most will need to be recharged within four hours. All-day portability can be maintained by charging your battery at lunch or carrying an extra battery with you. Depending on how much you carry your tablet around the weight can become burdensome at times. However, the average weight of a tablet, which is only about three pounds, is smaller and more manageable in many cases than that of the equivalent paper charts.

Wireless capability: Tablet PCs can recognize and connect to wireless networks with no added
hardware required. This allows physician users to quickly and easily access the Internet or their network, for example to review patients EMRs, research a particular drug or look up ICD-9 codes. Of course, this capability is only useful if you have a wireless network in place in your practice or hospital. Handwriting

and speech recognition capability. With digital ink technology, a tablet PC uses a screen digitizer to
turn your print or cursive handwriting into text that can be inserted into documents. This can be especially useful when youre taking notes at a meeting or filling out a documentation template at a patient visit. Since the digitizer will only respond to the proprietary pen or stylus, resting your hand on the screen does not interfere with the digitizer and is, in fact, encouraged for writing stability. Tablet PCs perform

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handwriting recognition quite well and are even better at converting cursive than print. The tablet also gives you the option of inputting text using the PDA block letter recognition systems. Speech recognition: is another feature of a tablet PC that may be appealing to physicians. The tablet takes the user through a speech-training module and then allows him or her to easily activate the speechrecognition feature with the touch of a button. While speech recognition may still not be good enough to serve as a complete replacement for your medical transcriptionist, it can be useful, especially if you are using a template-driven medical record in your practice.

Security options: As with any computer, appropriate use of passwords and data encryption technology
can help to protect personal and patient information on your tablet. Because device theft may be a concern with this type of portable computer, one of the tablets currently on the market comes with a movement sensor that can be used to trigger an alarm and another comes with an integrated fingerprint reader for enhanced data security.

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KEY PLAYERS IN MARKET:

Apple iPad
Apples iPad is the most famous Tablet PC in the market currently. It had to go through some criticism initially but now it feels like people have really accepted this as the only option. The other thing is that its kind of a status symbol owning Apples product.

HP Slate
HP Slate is pretty much said to be the best alternative to iPad. Its for those who love Windows 7 as it runs on the same. Other Tablets, which we are listing, are mostly powered by Android, which is any Open Source Mobile Operating System from Google.

Samsung Tab
After the Success of their Samsung Galaxy S, Samsung had launched, Samsung Tab, which is again powered by Android. Which means you can enjoy all the Apps you find interesting in the Android Market.

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Asus EEE Tablet

Asus is the one who took this Netbook thing to the next level, prior to that there was nothing like a 9inch Computer and when they launched every company started following them, Asus presented their 9Inch Tablet PC which is powered by Android.

Google HTC Tablet

This Google HTC Tablet is said to be a Rumor, but you cannot be sure if its Google, they can launch a product the very next day. Like Google Nexus One was once called a rumored phone but it was launched soon. So we can expect a Google HTC Tablet in near future.

The $35 Tablet PC from India

Last but not the least the $35 Tablet PC from India. Yes, its the Cheapest of All and its very real. It runs on Android and is capable of doing almost everything which other Tablet PC we mentioned above can do.

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MARKET STRATEGY:
Apples key competitive advantages in the tablet space are its: Premium brand image Market position Technology leadership and patents Product development Large number of ancillary service offerings

Despite the entrance of price targeted competitors and the opening of a new set of more price-sensitive customers in the tablet space, Apple refined its iPad marketing strategy to address these changes in market dynamics, but made sure its competitive advantages in the market were at the heart of its iPad marketing strategy. The company has built its 3rd generation iPad marketing strategy and product strategy around the following eight factors, and has maintained a laser sharp focus to maintain its market position despite many competitor attempts to unseat Apple from market leadership in this product category. Dont compete on price, regardless of competitor offerings. Maintain the iPad as a premium brand. Utilize Apple exclusive services like FaceTime and iCloud to further differentiate the iPad from competitors. Exploit network effects like benefits to having more people on FaceTime. Make sure the hardware is profitable and the additional content revenue is just add-on revenue. Lead the race in research and development to ensure that the iPad maintains its top of line tablet functionality and performance.

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Sell to major content consumers mainly, as this will also drive the likelihood of them consuming iTunes and other apple content.

Remind customers that the app store is still the largest store of its type with the highest security standards.

Stick to one device size so that accessory producers have an easy time continuing to offer cool accessories for the iPad that are not offered for other competing tablets due to the varying sizes.

Regardless of a companys position in a market, its competitive advantage should be at the heart of its goto-market and product strategies. These are the factors that will enable a company to differentiate itself from other competitors in the market place and maximize the favorable outcome of a given set of strategies. The Apple iPad marketing strategy example provides an example of how to effectively build your companys product and marketing strategies around its core competitive advantages, despite tremendous pressure from changing market dynamics. Losing sight of these factors will spell failure more often than not. Courtesy: Mr. Brandon Hickie (Source: http://blog.openviewpartners.com/ipad-marketing-strategy-why-competitive-advantages-shouldsteer-strategy/)

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CURRENT TRENDS AND FUTURE EXPECTATIONS FROM TABLET MARKET:

The tablet market will grow to more than 320 million units in 2015. The way consumers will think about, and interact with computing devices has changed for good. Beyond Apple, the majority of the players have been focusing on the Android platform. Lower-priced tablets may open the market even further. The frenzied run on HP's TouchPad once it was reduced to $99 is a strong indication that many customers are waiting for prices to come down before purchasing. Microsoft will bring to market a tablet-specific version of Windows 8 in 2012 but its late arrival will limit its appeal to consumers.

From the above stats we can see that users think of tablets as multipurpose entertainment devices.

Tablet users view tablets as their preferred reading device over computers and 0printed media for many types of content and information.

Over 40% of tablet use occurs outside homes.

Nearly all tablet users (93%) have downloaded apps. The average tablet user has downloaded 20 apps, many of which are for weather, entertainment and news.

Paid apps account for 26% of all tablet apps downloaded. 79% of app downloaders have paid for apps. The average app downloader spent $53 on apps in the last year.

Games are the most popular category, a stat that is common to both smartphones and tablets.

(Source: iPad and Beyond: The Future of the Tablet Market, David Willis and Carolina Milanesi, Research VP distinguished analyst, Published: 2 September 2011)

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Tablet Sales to Hit 119 Million In 2012

The prominence of tablets in this post-PC era is only going to increase, according to a recent report. According to the report, tablet sales in 2012 will reach almost 119 million units across all models, of which Apples iPad will account for almost 73 million units. Whats more, those numbers will only go up in coming years, if the forecast is correct. They project tablet sales to reach 182 million next year, and a staggering 369 million over a third of a billion tablets by 2016.

Interestingly, they project that Android tablets will grow to rival but not surpass the iPad. As you can see from the chart above, the projection for 2016 shows Apple maintaining a solid lead in the tablet market, with Android coming in a relatively close (i.e., 30 million fewer units) second. They attribute this to the current lack of tablet-optimized Android apps. While Android has done enormously well as a smartphone platform, its performance as a tablet platform has lagged behind somewhat. Gartner foresees that changing in the coming years as the Android tablet app ecosystem improves.

They also project decent performance for the forthcoming Windows 8 tablet market. They project Windows 8 tablets selling a modest (but respectable) 4.8 million units after their launch this sometime this year, with Windows 8 surpassing 2011-level iPad sales in 2016.

(Source1: http://www.gartner.com/technology/research/) (Source 2:http://www.webpronews.com/tablet-sales-to-hit-119-million-in-2012-2012-04)

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REFERENCE: 1. Journal by Mr. Brandon Hickie, http://blog.openviewpartners.com/ipad-marketing-strategy-whycompetitive-advantages-should-steer-strategy/ 2. iPad and Beyond: The Future of the Tablet Market, David Willis and Carolina Milanesi, Research VP
distinguished analyst, Published: 2 September 2011

3. http://www.gartner.com/technology/research/ 4. http://www.webpronews.com/tablet-sales-to-hit-119-million-in-2012-2012-04 5. PROQUEST: http://udini.proquest.com/view/a-teachers-dashboard-monitoring-goid:304625345/ 6. http://tabletpcphone.net/EEBO_Editions_ProQuest.html

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