Global sales of Apple's iPad and tablets launched by brand-name and China-based white-box vendors have been far short of original expectation and the stagnant demand is expected to continue in second-half 2105, according to Taiwan-based tablet supply chain makers.
Global iPad shipments have dropped on quarter for eight consecutive quarters, with Taiwan-based iPad Air OEM Foxconn Electronics and iPad mini OEM Compal Electronics having had shipments much lower than expected, the sources said.
China-based white-box vendors, despite support from Intel, have had to cut prices to sell tablets at a loss due to weak demand, the sources said. For example, VIDO Digital Electronics has launched a 7-inch 3G-enabled tablet equipped with Intel SoFIA platform in the China market at a retail price of only CNY288 (US$47).
Without support from Intel, most of China-based white-box tablet vendors will be difficult to survive, and if Intel reduces investment, 20-30% of them will be forced out in a year, the sources indicated. |