Tuesday Apple Rumors: 50% Cannibalization Rate for iPad Mini

by Christopher Freeburn | December 4, 2012 2:52 pm

Tuesday Apple Rumors: 50% Cannibalization Rate for iPad Mini

daily apple rumors  300x180 Tuesday Apple Rumors: 50% Cannibalization Rate for iPad Mini[1]Here are your Apple rumors[2] and AAPL news items for today:

iCannibal: An analyst says Apple (NASDAQ:AAPL[3]) could see iPad sales rise by just three million during the current quarter as the iPad Mini cuts into sales of the 9.7-inch model[4], ComputerWorld notes. Tech-Thoughts’ Sameer Singh estimates that as many as 50% of iPad Mini purchasers would have bought the larger size iPad if the Mini was not available. Singh’s estimate of the cannibalization rate for the iPad Mini is much bigger than other analysts, who put that rate at between 10% and 20%. Without the Mini, Singh says Apple would sell 22.7 million iPads in the holiday quarter. However, with iPad Mini sales expected to top six million units, Singh predicts that the company will sell between 25.7 million and 26.2 million iPads in total. If the cannibalization rate for the iPad Mini holds to the lower estimates, then Apple could sell between 27.5 million and 29 million iPads. The larger iPad produces more revenue for Apple.

Flat Friday: Black Friday shoppers weren’t as interested in electronics this year[5], but Apple notebook sales held up, while the competition slipped, AppleInsider notes. Industry research firm NPD Group says that consumer electronics purchases on Black Friday were down 5.6% compared to last year. Sales of Apple notebooks were flat over last year. Sales of Microsoft (NASDAQ:MSFT[6]) Windows-based notebooks, however, plunged 10%. The sharp decline in Windows notebook sales came even as Microsoft heavily promoted the roll-out of its new Windows 8 operating system. NPD’s sales figures for electronics do not include video games, smartphones, iPads, Amazon‘s (NASDAQ:AMZN[7]) Kindle or Microsoft’s new¬†Surface tablet.

Digital Cards: Nationwide real estate franchiser Re/Max will use Apple’s¬†Passbook feature to provide digital business cards to 4,500 real estate brokers[8], Engadget notes. The company is offering the digital cards to agents in Tennessee, Kentucky, Georgia and parts of Ohio and Michigan through its Re/Max Regional Services. The digital business cards on Passbook can be used to quickly exchange contact information with interested parties at open houses, trade shows and business events.

For more about the company, check out our previous Apple Rumors[9] stories.

Endnotes:
  1. [Image]: http://investorplace.com/hot-topics/apple-rumors-stock-news/
  2. Apple rumors: http://investorplace.com/search/?q=Apple+Rumors&searchsubmit=Search
  3. AAPL: http://studio-5.financialcontent.com/investplace/quote?Symbol=AAPL
  4. cuts into sales of the 9.7-inch model: http://www.computerworld.com/s/article/9234310/iPad_Mini_cannibalization_may_add_just_3M_to_Apple_s_tablet_sales_says_analyst
  5. weren’t as interested in electronics this year: http://appleinsider.com/articles/12/12/04/black-friday-sales-of-windows-notebooks-down-10-apples-macbooks-stay-flat
  6. MSFT: http://studio-5.financialcontent.com/investplace/quote?Symbol=MSFT
  7. AMZN: http://studio-5.financialcontent.com/investplace/quote?Symbol=AMZN
  8. provide digital business cards to 4,500 real estate brokers: http://www.engadget.com/2012/12/04/remax-real-estate-agents-to-carry-passbook-business-cards/
  9. Apple Rumors: http://investorplace.com/2012/04/hot-topics/apple-rumors-stock-news/

Source URL: http://investorplace.com/2012/12/tuesday-apple-rumors-50-cannibalization-rate-for-ipad-mini/
Short URL: http://invstplc.com/1nBeNwN