According to a Digitimes report that references Taiwan-based supply chain makers, the global market share for Apple (AAPL) iPad products may fall below 25% from 26.9% in the second half of the year due to increasing competition. Apple’s iPad market share stood at 33% in the second quarter of fiscal 2013.
The publication quoted its sources as saying that although “Apple is said to be releasing a new 9.7-inch iPad in the third quarter”, the launch of a completely redesigned fifth-gen iPad this fall will only marginally offset the decline.
It’s worth noting that Apple’s decline comes even as the worldwide tablet grew 11% on a year-over-year [y/y] basis in Q2’14 with shipments reaching 49.3 million units.
Digitimes’ sources also said they believe “the iPads’ high prices, slow upgrade rate and lack of a cheap counterpart, are main factors causing Apple to gradually lose its market share.” In the second quarter, Cupertino sold 13.28 million iPads, down 9% y/y.
As for Apple’s competitors, Samsung Electronics shipped 8.5 million tablets in the second quarter. Lenovo shipped 2.4 million units, and Asustek 2.3 million, noted the sources citing figures from IDC.
Apple shares were down 33 cents to $98.13 in Wednesday trades.