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Research – Dedicated eReaders to Survive the Media Tablet Onslaught as a Niche Play

ABI Research: “Eleven million eReaders are projected to be shipped globally in 2012. Down from a peak volume in 2011 of 15 million devices, the growing popularity of media tablets along with declining US baby boomer population and lack of organized digital bookstores outside of the US and Western Europe will reduce the eReader opportunity over the next five years. Regardless of the tremendous historical eReader success, the market tides have already begun to turn, says senior mobile devices analyst Joshua Flood. Despite the average tablet selling for more than $465 as a result of Apples dominant market position, tablets are expected to outsell eReaders 9 to 1 this year. Adds Mr. Flood, Nevertheless, the eReader market will not be totally cannibalized by media tablets. We believe there will always be a niche market for the dedicated reading device for voracious readers, business travelers, and educational segments, particularly ones that are low-priced. Over the next five years, annual eReader shipments are projected to drop by a compound annual growth rate (CAGR) of 6.1%. In contrast, global media tablet shipments are predicted to increase from approximately 102 million annual device shipments in 2012 to nearly 250 million in 2017.”

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