Although we have delivered more than 500,000 iPads during its first week, demand is far higher than we predicted and will likely continue to exceed our supply over the next several weeks as more people see and touch an iPad™. We have also taken a large number of pre-orders for iPad 3G models for delivery by the end of April.
Faced with this surprisingly strong US demand, we have made the difficult decision to postpone the international launch of iPad by one month, until the end of May.
There are no iPads in any of the four Apple stores I called in the Boston area for three days now. If any units arrive they sell out in minutes. This is still with a limit of 2 per person and no 3G units available. Also, bulk purchases by education are being delayed.
Now I have no data for the rest of the country, but there have been notes from analysts saying that stock-outs are occurring sporadically. My experience tells me that it’s a pretty serious retail shortage. On the other hand, the on-line store is still delivering with one week shipment times.
It could be that the international trade or “mules” are taking large shipments overseas. To discourage this, perhaps Apple is giving preference to mail order over in-store purchase. The phenomenon is similar to what was observed with the first version of iPhone. Apple was limiting sales to 5 per person and eventually banned cash purchases.
[UPDATE] Still sold out 6 days later.
Meanwhile, Apple’s market share in the portable media player (PMP) category was 92%, up from 87% in the study six months ago
Does anybody remember iPod killers?
How about the iPhone killers?
No matter, it’s now time for the iPad killers.
The iPhone represents nearly 90% of all non-laptop connections in Boingo’s airports. The iPad registered 5.4% of all device connections, while Android tallied 2.5%. Blackberry phones and iPod Touch MP3 players accounted for less than 2% each of total visits. Windows Mobile was less than 1%.
Remarkable statistics, through a narrow sampling. The above data represents all Wi-Fi enabled non-laptop devices in Boingo’s managed network, which includes 58 airports, the Washington State Ferries, and several sporting arenas and convention centers.
Apple said Thursday that it has shipped over 450,000 iPads since the device went on sale this past Saturday, spurring 3.5 million app downloads for the new tablet device by its earliest adopters.
Jobs also updated with 600,000 downloads of iBooks. The first day sales of books was 250k, so it’s keeping a bit above 1 book per device. First day apps was 1 million, so the app attach rate is now 7.8, well above the 3 from day one. Keep in mind that the iPhone attach rate grew to over 50 so it’s early days to see how iPhone compares to iPad as an app magnet.
“Conventional notebook PCs are ‘motherboard-centric,’ with all the other functions in the system—-such as the display, the keyboard and audio—-peripheral to the central microprocessor and the main printed circuit board at the core,” Andrew Rassweiler, teardown services manager for iSuppli, said Wednesday. “With the iPad, this is reversed.”
User interface components total 44% of the total bill of materials (BOM). The display is 26% and the touch assembly is 12%. Memory is 11% (16G variant), processor is 10%, and case a 4%. Batteries make up a large part of the rest (37%).
It looks like 50% gross margin across the product range is a good estimate.
300k iPads on Day 1 vs. 270k iPhones in first weekend.
Apple also revealed that more than a million applications were downloaded from the App Store for the iPad. Apple’s iBookstore saw over 250,000 books downloaded on the first day alone.
Consider that with 300k devices sold, that amounts to 3 apps and nearly one book per device–in one day. Or an attach rate of 4 content items per device (per day).