IDC has found shipments of tablets and 2-in-1s totaled 770,752 units in Australia in the first quarter of 2015; this represents a 40% on-quarter decline. Whilst a seasonal slump in the first quarter is customary, the magnitude of this decline is steeper than expected. Shipment decline of 25% on year further reinforced the reality of a slow-down in demand for this product category.

However, drilling down into the segments reveals some positive signs. Whilst consumer shipments declined by 27% on year, commercial shipments increased by a modest 1.2% on year. Mobile work-force such as field-police and hospital doctors can experience significant productivity benefit from using mobile devices.

Popularity of tablets and 2-in-1s is not restricted to the mobile workforce alone. Enterprise adoption of Microsoft Surface Pro 3 has gained traction in the first quarter of 2015. Growth potential for small businesses is also high due to the recent Federal budget announcement. Asset tax write-off threshold increased from US$1,000 to US$20,000, which expands the wallet-size of the small business buyer. Although purchase is not restricted to technology, increased affordability and utility of mobile devices may drive uptake.

"Opportunities that exist in the enterprise market are real and growing. The high-profile partnership between Apple and IBM is a strategic move to capture a slice of this pie. Android for Work is Google's attempt to break into the enterprise market. On top of that, there is the incumbent player Microsoft and their soon-to-be-released Windows 10. It will be interesting to see how the play unveils," said Joseph Hsiao, market analyst at IDC Australia.

Apple and Samsung still dominate the Australian tablet market with a combined market share of over 75%. Local vendor Pendo is struggling to sustain its outstanding performance from the second half of 2014, as competition is fierce in the low-price range devices.