Laptops

Apple leaps past ASUS, Dell, Lenovo, and Toshiba in one jump

In the second quarter, Apple's share of the global notebook computer market more than doubled, causing the company to surge from No. 7 to No. 3.

In the second quarter, Apple's share of the global notebook computer market more than doubled, causing the company to surge from No. 7 to No. 3 in total units shipped.

According to Deutsche Bank and reported by Fortune, Apple made this move on the strength of iPad sales, which Deutsche Bank included as part of the notebook market. Apple sold 2.47 million units of its traditional MacBook laptops in Q2 and the company also sold 3.27 million units of the iPad, which launched on April 3.

Apple still trails notebook market leaders Hewlett-Packard and Acer by a wide margin, but the iPad surge enabled it to leapfrog all of the second-tier notebook vendors - ASUS, Dell, Lenovo, and Toshiba.

Deutsche Bank analyst Chris Whitmore said, "The iPad is directly cannibalizing demand for other vendors' [notebook] products. Remarkably, Apple's traditional MacBook business posted accelerated unit growth on a Y/Y basis in 2Q, despite the launch of the iPad, while every other Top 5 vendor slowed."

As the chart above shows, incumbents Hewlett-Packard, Dell, and Acer have been the vendors losing the most market share during the past year, while Apple has been the largest gainer. Asian vendors ASUS, Lenovo, Samsung, and Sony have also posted modest gains.

Sanity check

Of course, the big issue here is whether the iPad should really be counted as part of notebook/laptop sales. I'd favor breaking out tablets into their own category or at least as a sub-category of notebooks, since a tablet typically gets purchased in addition to a notebook and not as a replacement.

Then, researchers could have both a notebook category and a tablet category (or sub-category), as well as a larger category that included both. We've seen similar breakouts done with netbooks, where they can be broken out separately or rolled up into the notebook market totals.

That said, I do know a number of people with iPads who say they are using their notebooks less and less. So it could eventually become a replacement for a notebook purchase in some cases. Tablets may already be a replacement for a second notebook for some people. That was the phenomenon that was driving netbooks in many cases. And, that's probably why tablets are eating into notebook sales for Apple competitors, according to the Deutsche Bank data.

The other thing to keep in mind is that Apple is the only one of these seven vendors that currently has a low-cost touchscreen tablet on the market. That won't be the case for long. A year from now, nearly all of these vendors should have competing tablets, powered by either Android or Windows.

About

Jason Hiner is Editor in Chief of TechRepublic and Long Form Editor of ZDNet. He writes about the people, products, and ideas changing how we live and work in the 21st century. He's co-author of the upcoming book, Follow the Geeks (bit.ly/ftgeeks).

47 comments
dacentaur
dacentaur

Deutsche Bank analyst Chris Whitmore said, "The iPad is directly cannibalizing demand for other vendors' [notebook] products. Remarkably, Apple's traditional MacBook business posted accelerated unit growth on a Y/Y basis in 2Q, despite the launch of the iPad, while every other Top 5 vendor slowed." This quote is for those who are wondering about how Apple did with notebooks itself - what with the iPad eating into notebook sales. According to the quote, Apple's sales of notebooks increased and so yes, it is doing well. I, for one, believe that if the iPad is eating into the sales of notebooks, it should be listed with notebooks. And of course, if the iPad gets better (which I'm sure it will), the people who use the Internet mainly for news, social networking, short e-mails, watching movies, listening to music, etc will prefer an iPad to a netbook/notebook. Having a specialist interface makes it faster than a netbook/notebook struggling along to run an operating system which then has to run applications. The sales seem to prove that it has its place in the market as a "fulfiller" of needs. :) Oh, and btw, I just saw a salesman using an HP iPaq. Apparently, he uses it to log data. Aren't they being sold anymore?

shaunsweb
shaunsweb

Like Deutsche Bank's data I feel that is a failed comparison. They can do a lot but by far are not a replacement for tablet PCs and definitely not notebooks. I think that quick jump we are seeing will not see long term market gains. It is a novelty device just like any other eReader device. My bet is that the iPhone users make up the majority of people buying the iMaxiPad. I think we will see it start to fall by the end of the year as they fill out how many people have one.

Gis Bun
Gis Bun

Errr. Does anyone take anything Deutsche Bank says for granted? They are a bank. At best they have a financial analyst or two looking at this stuff. The say month that says Apple notebooks [iPads lumped in] increased, another study done said that the overall OS share for the Mac OS *dropped* in July. Maybe this means that Apple notebook sales went up but desktop sales dropped. When you have ASUS, Dell, Lenovo, and Toshiba battling it out for 4 spots, it's not that hard for Apple to jump those spots - especially when you can ONLY get the proprietary OS X on Apple hardware while everything else [Windows, Linux, ...] runs on the other manufacturers.

Vulpinemac
Vulpinemac

First off, personally I agree that the iPad shouldn't be included as a 'notebook'; however, if you re-categorize as 'Mobile', then the numbers would fit. What some doubters don't realize (or don't want to know) is that Apple's notebook sales have been rising at a rate of nearly 35% off and on for the last two years and never less than 17% during that time period--this during a time of recession where every other notebook has seen growth no higher than 5% (other than netbooks hitting 50% during that time) and as much as -20% (that's [i]negative 20%[/i]) by many companies including the ones now surpassed by Apple. Now that netbook sales have leveled off or even begun to slide, Apple's growth is even more obvious. Please note that this 35% growth is growth of units sold over the given time period, not growth of market share, which would obviously be much smaller since Apple still sells fewer overall numbers than many of their Windows competitors. Remember that Apple specifically targeted the netbook with its iPad. This is very likely why Deutsche Bank included the iPad in its calculations.

msdamico
msdamico

So Apple sold more iPads than the others sold notebooks? Did Apple's share of the ACTUAL NOTEBOOK market increase or is it just that the inclusion of toys like the iPad changes the numbers?

derekRAU
derekRAU

Its unfair to include iPads in this report imho. This just seems dishonest to me. The graph is more of a pick-me-up for Apple fans. I'd like to see the reported statistics without iPad.

CharlieSpencer
CharlieSpencer

"I, for one, believe that if the iPad is eating into the sales of notebooks, it should be listed with notebooks." If notebooks are eating into the sale of desktops, should they be listed with desktops? If smart phones are eating into the sale of netbooks, should they be listed with netbooks? If desktops are eating into the sale of 'dumb' terminals, should they be listed with 'dumb' terminals? Sales of a platform should be measured against others of the same platform.

stewartngandu
stewartngandu

What makes you so sure that it's mainly iPhone users who are buying iPads? I beg to differ; if anything this trend is only going to gather momentum. With an estimated 50% of Fortune 500 companies (Wells Fargo, Mercedes Benz etc) piloting the device sales can only get better. You also have self confessed none Apple users like Mary Jo Foley of ZDNet jumping on to the iPad band wagon. You can check-out her reasons for buying an iPad in her piece entitled, "I confess: I bought an iPad (and so far I love it)" on http://www.zdnet.com/blog/microsoft/i-confess-i-bought-an-ipad-and-so-far-i-love-it/6912.

CharlieSpencer
CharlieSpencer

Three of the last four paragraphs address your question, beginning from the 'Sanity Check' sub-heading.

jasonhiner
jasonhiner

I almost put a link to the OS share piece in this article. Here it is: Windows 7 up, Mac OS X down http://www.zdnet.com/blog/hardware/windows-7-up-mac-os-x-down/9157 Keep in mind that this is based on share on operating systems accessing the Internet. Since we know that Mac shipments are going up, what this probably means is that Mac sales aren't growing as fast as PC sales overall. Also keep in mind that iPad isn't included in Mac OS X, but shows up as iOS.

CharlieSpencer
CharlieSpencer

comparing iPad sales with other vendors' netbook offerings, and separate one comparing all vendors laptops independent of tablets, netbooks, and other 'mobile' devices.

JonGauntt
JonGauntt

Thanks for actually reading the article and then following it up with something useful. Oh so rare as of late...

john.ammon
john.ammon

It is silly to add the iPad number in with the Powerbooks. The iPad is not a laptop nor is it a phone, it's somewhere in between. It's success is proof of the old marketing verbage that "You can sell air conditioners to eskimos if your market it correctly".

stewartngandu
stewartngandu

I have to say that I am. I was one of those people who were struggling to see where the iPad would fit. I did understand some of its occupation specific uses such as replacing the old doctors clip board, use in show room presentations, for students, working lightly on the go etc etc. But I think my perspective was limited by me having worked on a project with someone who had an HP slate. While I quite liked the idea of him being able to fold it up and sit in meetings with it on his lap, there was something tedious about the way he would unfold it during breaks to write emails. The price too had squarely pitched it as a proper laptop replacement so it was a serious question of whether one was willing to sacrifice computing power, screen size for the ability to slate and de-slate a laptop on the go. I do think this is one of the reasons why the HP slate never took off. This also ties up with your previous piece on MSs slate strategy. To this day MS has had a fixed mindset that has prevented it from recognizing that what was needed was not a 'big' OS like windows that can act as both a PC and slate double, but a separate from the ground rethink of how an OS for a slate should function. This I believe would have spurred a complimentary rethink of how PC manufacturers would have designed the matching slate hardware. This is exactly what is happening with Android. It's also a bit disappointing that it has taken iPad success for people to start bugging HP for a slate. In some cases what's even funny is hearing people say I would like a slate but I won't get an iPad because am waiting for a windows/android based slate (vaporware???). None the less what I also find interesting, holding off the should iPad be included or not argument, is how the picture changes when you break down PCs sales according to manufacturer. Sometimes Apples presence is often dwarfed by the dominate PC as a collective perspective vs. Mac as a product line of a single manufacturer. And to some extent I think it is this view that has reduced the visibility of the other manufacturers and ironically elevated Apple as the only PC "brand alternative".

brookem
brookem

iPads cost as much or more than a Notebook or a Laptop. iPad sales are cannibalizing traditional notebook sales. People are buying iPads because they do most of what a Notebook does, easily. They just work. Easy to carry, much better battery life and the display is usable. The market share chart is correct. HP, Dell, Lenovo, ACER, et. al. would kill for that kind of volume with Apple's profit margin at that price point.

chrisbedford
chrisbedford

Well, several questions actually. Why is everyone ignoring the HP tablet? HP introduced a "pad" computer way back when - I'm almost certain it was pre the Compaq merger, or about the same time - and have had something on the price list more or less ever since. The current offering is the HP2740P tablet, running Win 7 Pro 32 on a Core i5-540M with 2 GB RAM, 160 GB HDD, 12" screen (1280x800), and all the usual built-in gimmicks like webcam, wifi-n, bluetooth etc etc etc for about $ 2,500 (yah, still expensive - well that's the South African ex sales tax price, estimated retail) So is it just because it's, like, 4 times the price of the iPad that it's not even considered part of the market? Is that what makes the iPad so marvellous, the price? (This is not criticism, I just don't get the iPad or the target market. Looks like an expensive toy to me)

chrisbedford
chrisbedford

A couple of comments above are asking "Duh, I'd like to see the stats without the iPad" - look at the graphs again, they quote the numbers with AND without the iPad.

Jellimonsta
Jellimonsta

I am a little surprised that the iPad has sold as well as it has. However, it is not completely surprising considering the brainwashed fanboi masses. :p I concur that it is not really a notebook, so the numbers are somewhat moot, however.

dacentaur
dacentaur

because this gives us information of either the rise or demise of a particular device/platform/product. Check this out: "Microsoft still doesn't understand why its Tablet PC concept has repeatedly bombed over the best part of a decade. Apple sold more iPads in its first three months of availability than PC vendors sold Tablet PCs in the whole of last year; in fact, the number of iPads sold in that period is likely to eclipse the number of Tablet PCs sold both last year and this." - from http://arstechnica.com/microsoft/news/2010/07/ballmer-and-microsoft-still-doesnt-get-the-ipad.ars?utm_source=Ars+Technica+Newsletter&utm_campaign=601043dd81-Aug_5_2010_Newsletter&utm_medium=email What I understand from the article above is that quite a few people want a different kind of functionality from a medium-sized handheld touchscreen device. For lack of a suitable device, such people were using netbooks & notebooks. It seems that the iPad is filling that gap. If we only compared devices of the same kind, we would not know about the migration of customers to another platform.

The 'G-Man.'
The 'G-Man.'

I thought there was no definite conclusion in there.

clarity1
clarity1

whilst sales of ipad and iphone/similar have surged in the UK, this could well change come October. With main vendors cutting data allowance down to 500mb from unlimited, and not cutting prices, such devices are likely to be hit hard. The ipad/iphone depends on 3G whilst travelling and such changes will hit it hard. How long will manufacturers and users have to put up with bad 3G and iniquitous pricing?

NexS
NexS

Between, say, the iPad and windows mobile, any other tablet devices and netbooks. Yes! Yes! By George, he's got it!

stewartngandu
stewartngandu

Maybe am missing something but I think you might be contradicting yourself a bit. In the one instance you say the iPad is in between a phone and a notebook implying that it is filling an existing gap. It then stands to reason that its success would therefore be based on a genuine need in the market. But in an about turn, you then go on to imply that its success is as a result of fooling people into buying something they don't need. Mmmm I don't get your logic; or maybe you are trying too hard...

DrEonn
DrEonn

It is what made the iPhone so popular. the simplicity of the interface. Using Windows as the interface you have to treat it as if you are using a mouse to operate your computer. you must click start, then programs, then the directory of the program then click the software. What works about the iPad is that you chose the programs that you want. swipe to the page it is on and click it. The program starts quickly and easily. The programs are not top heavy like windows programs. It is for the texting generation or those that happily adapted to the texting gen. it is not meant to be a main computer. It is a side device that can have your info at your fingertips. it also meant for you to read a book then change to the news. Like your iPhone but with a bigger screen.

shaunsweb
shaunsweb

I'm very curious if HP Tablet is included and I would think the Tablet is part of their sales figures especially if we are lumping the iPad in. If not this stat is useless hype from a bank who probably lends to Apple.

Vulpinemac
Vulpinemac

The HP tablet you're talking about is obviously part of the market; however, because sales are so slight, it really doesn't make a very big part of the market. Honestly, when you add the fact that it's priced 5x as much as the iPad and most other laptop computers, it's really not going to take much of the market, either. Essentially, it's little more than a laptop without the keyboard using a mouse-based OS. Now, if it had a decent supply of touch-based applications as well, it might do a little better. But when you compare that low software base and high price, conventional 'tablets' simply aren't going to work. Microsoft has tried for 10 years to promote Windows on a tablet device--what's going to make it work now?

jasonhiner
jasonhiner

It's a Tablet PC and it's listed as part of the notebook segment. HP doesn't sell very many.

shaunsweb
shaunsweb

To see the stats just check the quarter before iPad started selling that is the true picture.

Roc Riz
Roc Riz

That the brainwashed fanboi masses didn't go gaga after the Microsoft Kin. I will agree that the iPad is more like a netbook than a laptop, however, it is still a MOBILE device, like it or not.

NexS
NexS

In the air. The sales are only as high as they are because of how many iPhone users there are. The iPad is simply an oversized iPhone which cannot make calls - Yet.

mbaumli
mbaumli

When I read the first few lines, my thoughts were. "I know more people buying Mac now. This makes sense." But then reading about the amount of jump, my next thought was, "What did they do, count iPads as notebooks?" By all means, if they sub-categorize the Netbook, then the iPad completely qualifies. Even so. That is almost like counting a Palm Pilot as a Notebook.

CharlieSpencer
CharlieSpencer

Compare ALL tablet devices, including those stagnant Windows-based devices, against all laptops, including Apple's, or against all netbooks, including Windows and Linux devices. Mixing the vendors across platforms skews the trend.

CharlieSpencer
CharlieSpencer

You might want to consider doing so before commenting, even if you only skim it for key phrases.

benoit.montuelle
benoit.montuelle

Hi, Here in france we got the same 500mb limit for around 3 years know and it steel suck in downtowns bandwith is all day long slowed down altough network reception is just fine, too bad for ipad to get a bigger success ! I dont know in the US be we keep hsdpa an 3g for touchphones and gps deviced, it just too costly and damn too slow for a notebook use. But, getting comparison of market share growth between one single model from apple, be it great, and a generalist laptop brand is nonsense. you should have compare global turnover altogether, just to balance the fact that apple raise is definetely not Apple being the 3rd rank notebook saler on earth! I can't work with an ipad and cant really do anything more than with a bigger iphone (and i own one for 2 years) it's just bigger to read facebook in the couch easily !

CharlieSpencer
CharlieSpencer

I may not agree with vulpine often, but I'll give him credit for consistency. He consistently sounds like an Apple sales brochure, but he definitely stays on message.

Vulpinemac
Vulpinemac

If you're talking about my opinion of Android, I haven't really changed my mind. However, this article is about how the iPad has had a significant effect on sales of portable computing devices, including laptops, notebooks and netbooks. It also points out that iPad-style tablets have moved Apple's mobile sales back up to #3, a position they held across the board some years back even though the MacOS held such a tiny percentage of the overall sales market. As such, It's quite obvious that the iPad has influenced the design of new products to come by showing how a mobile OS device tied to a desktop OS device is more desirable than a mobile, desktop OS device. Android devices will definitely fit this market, as will WebOS and maybe even WinPhone7. Personally, I still feel that Android is seriously weak in certain areas due primarily to fragmentation (too many different versions on too many different devices) and lack of overall oversight for security and reliability. I don't fault the need for different devices--some people really have trouble with a touch-only interface--but I do fault the lack of stability that should be inherent in a supposedly universal operating system. Even Microsoft went out of its way to try and ensure everyone at least had the ability to upgrade to newer versions of their OS; while Google may be trying, the hardware vendors seem to be more willing to force the user to buy a new product rather than making their product upgradeable. With Android 2.2 already released, why are the earlier devices still using 1.5-1.6? Perception is a fickle thing, G-Man. What you see as a "change of tune" is nothing but an observation of events.

Vulpinemac
Vulpinemac

A gap, by the way, created by none other than Microsoft itself when they first introduced tablet computing ten years ago. I watched--and waited--while Microsoft and the different hardware manufacturers fumbled through different designs that were all good, but fell far short of replacing the common, simple, pressboard spring-clasp clipboard. In other words, they fell short of being true tablet devices. Now Apple has created the iPad and nearly everybody is seeing what the tablet should have been all along, though even the iPad has some shortcomings as yet. It's not that the tablet needs to be a full-powered computer with every little feature that desktop/laptop computers carry, but rather it needs to be an easily-usable supplementary device to that desktop computer--capable of replacing the laptop in some cases by acting as an interim device in the same way the original laptops were intended. Massive amounts of drive space, RAM, connections and software aren't what's needed, but rather the ability to transport, edit, present or create on the go--under conditions where even a laptop would be difficult to use. The netbook was an attempt to fill this gap, but it failed by having most of the simplicity, but less of the usability needed in a mobility device. It failed because most of the people using it tried to use it as a full-powered computer when it was intended to be an interim device. It failed because it didn't have the easy usability despite it's compact mobility size. It failed because it retained the laptop's form factor which is essentially useless unless you set it down. Now you hear of HP and others planning on producing devices that are essentially copies of Apple's design; I don't have a problem with that. But as long as Microsoft insists that only a full desktop operating system is 'good enough' for a tablet, it will continue to fail as a product. Android appears to be the best current OS for a non-Apple tablet, followed closely by Palm's WebOS and maybe by Microsoft's 'Phone7' version of Windows. Simplicity is key, here; not complexity. Forget the massive number of slots and ports--they're not needed. The iPhone and Android phones are proof of this. By making a 'smart terminal' device that 'docks' to a desktop machine, you have the convenience of a mobility device attached to the power of a desktop computer. Simpler. Cheaper. Easier.

CharlieSpencer
CharlieSpencer

"In the one instance you say the iPad is in between a phone and a notebook implying that it is filling an existing gap." If I may butt in, it doesn't fill an existing gap. It attempts to create a new one.

chrisbedford
chrisbedford

...the fact that I haven't seen the use for an iPad doesn't mean there isn't one, and I'll be the first to admit I'm an old fart when it comes to innovative gadgets. In fact, I salute Apple and the people who have found many and varied uses for this machine, and the fact that my posts may have come across as grumpy and luddite is just because I'm envious that I can't afford to buy one to experiment with -- not because I actually don't like them!

Vulpinemac
Vulpinemac

However, each person's needs are different and how they end up using it may well be something you could never have imagined. In my own case, I've used it for all the typical things like watching movies, music videos, reading books, etc., but I've also used it to jot quick story notes for my writing, download and store photos at photo shoots, collect and collate donation information for charity work and soon I'll be using it to drive a projector for displaying Twinning videos for an international service club (I would name it, but they don't like their name associated with any kind of advertising.) I've found the iPad to be a remarkably productive tool for my own purposes, and I can personally tell you that some of the world's biggest corporations are looking into different ways of using the iPad both in-house and in customer service. The iPad is significantly more than [i]'just a big iPhone without the phone.'[/i] I won't argue your personal feelings about the device--maybe it simply doesn't meet your needs. That's fine. But for those people who have been looking for a tool like this where the Windows tablets have been an abysmal failure, it appears the iPad, at least for now, is meeting those needs.

chrisbedford
chrisbedford

...after posting my question, I looked a little more closely at both the HP tablet and iPad (but only a little!) All the Microsoft OS add-ons are there ("handwriting recognition" and the rest) but as you say, they've been around for yonks and are for the most part ignored. I believe there are niche markets like warehousing and hospitals where they have made inroads, but nothing momentous. Also they HP that I looked at 7 years ago (may have changed, I guess) used - no, *required* - a proprietary stylus - it wasn't touch-sensitive. Not sure of the advantage(s) of that, if any. The iPad, on the other hand, looks like an overgrown iPhone or iPod. I've never seen one "in the flesh" and have no compelling reason to want to, but (or maybe because) it strikes me as a toy to watch videos on. Too big to put in your pocket, too small to be a useful computer. If you gave me one as a gift I'd sell it, still in the packaging.

shaunsweb
shaunsweb

That is because Microsoft doesn't have fanbois. We use it because it gets the job done better than most of the other people. So when we see junk from them we don't subscribe. Heck I don't even think iPad should be considered a netbook, how about we call it an advanced overpriced eReader.

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