CyberMedia Research: India Media Tablet market emerges as 9-month (ending June 2011) sales touch 1.58 lakh units
Customers spoilt for choice with 27 models from 10 vendors
7-inch screen size; Android v 2.2 Froyo OS most favoured platforms
New Delhi, September 29, 2011: The India media tablets market witnessed high decibel launches by the world’s leading vendors, aiming to ‘wow’ consumers with snazzy, new offerings.
Although the India tablets market is still nascent, nearly 1,58,000 media tablets were sold (shipped) in the nine months ended June 30, 2011. The split between 3G and WiFi models was in the proportion 70:30. Samsung used a tactical price drop to emerge the best selling Tablet brand in India during the three quarters ended June 2011.
Olivepad launched the first media tablet in India in July 2010. The first major international brand to launch followed in October 2010 – the Samsung Galaxy Tab. The Apple iPad, the most well recognized tablet, arrived in India only in January 2011.
"Tablets provide touch based user experience with a convenient screen size for web surfing, content consumption and entertainment. Moreover, portability, ease of use and wireless connectivity ‘on-the-go’ make the tablet an even more attractive buy", stated Anirban Banerjee, Associate Vice President, Research and Advisory Services, CyberMedia Research.
"Currently, the India media tablets market has many more models available with a range of features and at a variety of price points, compared to six months ago. However, for the Tablet to become a common man’s device, usage tariffs for high speed data services need to be brought down even further along with useful and relevant content for the Indian consumer", Anirban added.
RIM’s Playbook, Apple’s iPad2, Motorola’s Xoom and Samsung’s Galaxy Tab 7 are some of the notable MNC tablet brands available in the India market in the high end range. Tablet models in the India market in 2Q 2011 ranged from Rs. 8,000 per unit going up to Rs. 47,000 per unit. Going forward, CyberMedia Research expects a majority of Tablet models to launch in the volume segment at a price band between Rs. 7,000 to Rs. 15,000.
Tablets to help personalize the individual’s digital life
Content consumption will form the backbone of Tablet adoption in India. The consumption patterns span multiple formats: Entertainment (Music, Movies, Gaming, Cricket etc.), Video (calls, video sharing sites, Live TV), social networking and IM, web browsing and educational content (wikis, online digital libraries), ‘T-banking’, and productivity enhancement tools and corporate applications (e-mail, word processing, spreadsheets and others).
The use cases would range from purely individual instances of content consumption (e-books) to sharing of content in social settings (family photo albums), professional environments (presentations, videoconferencing) or public and statutory filings and transactions (requests for government services, e-filing of tax returns).
"Applications like video chat and Live TV already popular with smartphone users around the world are expected to become popular with India media tablet users as well. Further, it is expected that new data focused applications will be developed for the Tablet user community. Newspapers that have their PC- and mobile-specific websites are expected to develop tablet-specific websites and ‘apps’ as the tablet user base grows and achieves critical, making it attractive for advertisers. The type of content being consumed will be determined by the use case and the individual’s preferences depending on stage of life or time of day or week", stated Naveen Mishra, Lead Analyst, Telecommunications Practice, CyberMedia Research.
"As the ecosystem of collaboration and partnerships between device vendors, content providers and operators comes alive, and more local language content and localized apps become available, a variety of new use cases are expected to emerge. Innovations such as USB connectivity so that customers are able to use their existing dongles or an SD card slot to help users copy and store large volumes of personal digital content will help to strengthen adoption of media tablets in India", Naveen further added.
BWA and Volume Segment Tablets: The Game Changing ‘Combo’
Reliance-Infotel won broadband wireless access (BWA) licences for 22 out of 23 circles in the spectrum auction in 2010, while Qualcomm acquired BWA licenses in four circles including Mumbai and Delhi. Aircel, Bharti, Tikona and Augere also won BWA licences in select circles.
Further proliferation of 3G networks and launch of BWA (4G / WiMax / LTE) services will lead to new types of data services being demanded and consumed by mobile subscribers. This trend is expected to contribute to a rise in shipments of media tablets in the India market in CY 2011 to touch 2,75,000 units. At that point, the total number of vendors is expected to touch 35 with 90 models on offer.
"The launch of low cost tablets bundled with affordable data services on 3G and BWA networks can be expected to give a further boost to India Tablet shipments in 2012 and beyond", Naveen concluded.
Notes:
1) CyberMedia Research Definition of Tablet: CyberMedia Research defines the tablet as a mobile device, positioned to satisfy the mobile Internet and computing needs of a user. It is a slate or can be converted into a slate form factor, larger than 5-inch screen size, touch screen as primary input method and uses either a mobile network like GSM/CDMA/WiMAX/LTE or WiFi or, both for enabling internet connectivity.
In addition to this a tablet may also include a detachable keyboard and voice capability as in mobile phones. A tablet may run on a specially designed Operating System (OS) such as Android 3.0 (Honeycomb) or RIM’s QNx or, a PC/Smartphone OS like Windows 7/8, Android 2.2 (Froyo) and iOS 4, which may be modified. A tablet uses processors based on ARM or Intel’s x86 architecture.
2) CyberMedia Research reports market size for media tablets in unit shipments from vendors to distributors; for the convenience of media persons and ease of understanding of readers, ‘shipments’ is used interchangeably with ‘sales’.
3) CyberMedia Research does not count media tablets brought on their person by individual passengers from abroad for reporting total market size.
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