Disruptive Technology iPad And Other Tablets Puts Other Computer Hardware Catagories In The “Danger Zone”

Even though the iPad continues to dominate the tablet computing conversation and market, with new players like Samsung’s Galaxy Tab and Motorola’s Xoom, the competition is heating up in the United States according to The Nielsen Company’s latest in-depth research on mobile connected devices, which was fielded in Spring 2011.

Among the findings:

• Around half of all tablet owners reported being the only ones in their household using their particular tablet, while 43 percent said they shared the tablet with others. Eight percent said that while they own a tablet used by other household members, they do not use it themselves.

• When asked whether they used other connected devices more often or less often since purchasing a tablet, 35 percent of tablet owners who also owned a desktop computer reported using their desktop less often or not at all, while 32 percent of those who also owned laptops, said they used their laptop less often or never since acquiring a tablet. Twenty-seven percent of those who also own eReaders said they use their eReader less often or not at all the same percentage as those who also own portable media players. One-in-four tablet owners who own portable games consoles are using those devices less often, if at all, since purchasing a tablet.

If 20 percent or more of Nielsen respondents say they are using a device less because of a tablet, the analysts say that’s a dangerous zone for older computer categories, and using that assumption the following devices are likely to see sales declines going forward:

• Portable gaming consoles: Do you buy that new Nintendo 3DS or go up in price and buy an iPad? The tablet impact on gaming consoles is unclear. Twenty two percent of respondents use their portable gaming consoles less, but 26 percent use it more.

• Portable media players: Apple is already seeing this with its iPod units.

• E-readers: Chances are low prices will mitigate e-reader cannibalization.

• Netbooks: Interestingly, only 23 percent of respondents said they are using a netbook less (possibly because of some crossover in functional utility based on size and ease of portability?).

• Laptops: 30 percent are using laptops less because they have a tablet.

• Desktops: 32 percent are spending less time on desktops because of a tablet. Tablets and laptops are constituting a double whammy on desktop sales.

Via NeilsenWire
http://blog.nielsen.com/nielsenwire/?p=27570