Dan Frommer on the Difference Between the Market for Tablets and Smartphones

Dan Frommer:

But, you may say, Google Android just kicked Apple’s butt in smartphones! Why won’t this happen in tablets?

The fundamental difference between the tablet market and the smartphone market is distribution.

Whereas smartphone distribution is dominated by wireless carriers, we expect carriers to play a relatively small role in tablet distribution. Tablet sales will be centered around electronics retail — the Apple store, Best Buy, Walmart — and big e-commerce, and not around carrier stores.

Maybe the smartest thing Apple did in the last decade wasn’t the iPod, but rather its retail stores. Remember when people thought retail was a foolish move for Apple?

Thursday, 3 February 2011

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