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The Challenging State of the Tablet Market


Before Apple’s stock price soared to even greater heights this week thanks to strong iPhone sales, growing services revenues, and rumors of spectacular devices to come, we got the bad news about iPad sales. During Apple’s quarterly sales call two weeks ago, we learned that sales were down 19% percent and revenue down 22% over last Q1, meaning not even the impressive iPad Pros have been able to overcome the forces of market saturation, slow upgrade cycles, and the encroachment of large screen smartphones.

Tim Cook keeps telling us that Apple remains committed to the platform, and to their credit, Apple has kept adding form factors and features to the lineup (and we hear more are on the way). However, the iPad’s glory days seem a distant memory, and it is now clearly a secondary device to the company’s true money maker- the iPhone.

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