The tablet market is experiencing a positive shift, with AI integration playing a pivotal role in revitalizing consumer interest and driving growth.
After witnessing a drop in shipments of 11 percent in Q4 2023, the Global tablet market has shown signs of solid growth in Q3 2024, proliferating at 20.4 percent year-over-year to reach 39.6 million units, claims global research firm International Data Corporation (IDC). A couple of months back, research firm Canalys added that 135.3 million tablets shipped all through 2023, which is around a 10 per cent slump compared to 2022.
The tablet market has recently experienced a resurgence, driven by strategic device refreshes and the integration of artificial intelligence (AI) features. In Q2 2024, global tablet shipments increased by 18 percent year-over-year, reaching 35.9 million units. While Microsoft’s Surface lineup, equipped with Co-Pilot+, leads in AI integration among Windows detachables, other manufacturers are in the early stages of incorporating AI into their tablets. Despite this, the overall trend of AI integration is generating renewed consumer interest and optimism in the tablet market.
According to IDC’s latest survey, the Cupertino tech giant Apple, in the third quarter of 2024, shipped 12.6 million iPads, marking a modest 1.4 percent year-over-year growth. The back-to-school season notably boosted sales of the newly launched iPad Air model. However, the new iPad Pro models underperformed expectations, primarily due to their high price points, which are less appealing in emerging markets.
Rival Samsung achieved impressive growth, with 7.1 million units shipped, representing an 18.3 percent year-over-year increase spearheaded by Galaxy Tab S10 Ultra and Galaxy Tab S10+, both integrating AI features. But interestingly, the company changed its strategy by focusing more on affordable Galaxy A9 models, driving significant sales across various regions. Now, speaking of the vendors driving the growth, Amazon re-entered the top five global tablet vendors, securing the third spot in 3Q24 with 4.6 million units shipped, achieving a remarkable 111.3 percent year-over-year growth. Capitalizing on Prime Day Promotions, Amazon provided heavy discounts and cashbacks on various models, which bolstered its growth.
On the other hand, China’s Huawei, which has been under scanner by the US government since the pandemic, maintained its position in the fourth spot in 3Q24, recording a solid 44.1 percent year-over-year growth with shipments reaching 3.2 million units. Its biggest rival Lenovo, ranked fifth in 3Q24 despite a strong 14.7 percent year-over-year increase, with shipments totaling 3 million units.
The adoption of AI features is also influencing average selling prices (ASPs). Consumers are showing a willingness to invest in higher-priced tablets that offer advanced functionalities, potentially leading to increased ASPs and revenue growth for manufacturers. Therefore, the tablet market is experiencing a positive shift, with AI integration playing a pivotal role in revitalizing consumer interest and driving growth.
