Has Apple’s Full-Sized iPad Found Its Savior?
Analyst after analyst has reaffirmed the iPad mini’s status as a cannibal over the past few months, but according to Piper Jaffray’s Gene Munster, Apple’s (NASDAQ:AAPL) full-size iPad will survive on strong enterprise sales.
Munster wrote in a note to investors on Monday that his survey of 59 chief information officers across 12 industries had led him to conclude that the 9.7-inch iPad was better suited for business operations than its smaller version and continued to be embraced by organizations.
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Of those surveyed, 57 percent of the organizations planned to give out the larger Apple tablet to employees this year, compared to 46 percent in 2012. Of those who planned on iPad rollouts, 15 percent were thinking of “broad deployments”, up almost four times from last year’s 4 percent. And Munster expected these broad deployments to grow even faster in the next 3-5 years.
“We view the greater deployment of tablets as a positive for Apple given that we believe the iPad has over 60 percent global tablet share and likely a higher share among enterprises,” Munster wrote, according to Apple Insider. “We believe continued growth in enterprise tablet deployment will help drive continued growth in the full-sized iPad segment given the larger iPads are better for content creation.”
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By comparison, 34 percent of those surveyed expected to increase investments in Microsoft (NASDAQ:MSFT) Windows PCs. About 5 percent of respondents expected to decrease spending on tablets, while 20 percent planned to make funding cuts for PCs. Jaffray also found that storage and security remained the top two items of concern, with 64 percent and 63 percent of respondents expecting to increase spending in those two areas, respectively.