Analysts at Raymond James Research found that the Apple Inc. (NASDAQ:AAPL) iPad dominated the tablet market in the United States based on the results of its web consumer survey for the month of June. Last month, the equity research firm also revealed that the tech giant’s iPhone continues to gain share in the U.S. smartphone market.
According to the Raymond James equity research analysts, Tavis McCourt and Daniel Toomey, the result of the survey showed that 67% of the respondents owned an iPad, up from 57% in March. The analysts said that Apple Inc. (NASDAQ:AAPL)’s market share in the tablet market went back to its peak levels in 2012.
A Look Back At Warren Buffett’s Best and Worst Oil & Gas Investments
Warren Buffett is perhaps best known for his large investments in some of the world's most recognizable brands, companies like Coca-Cola, American Express and Apple. Q1 2020 hedge fund letters, conferences and more Companies that fit into this bracket seem to fall squarely within his circle of competence. They sell a product that's easy to Read More
On the other hand, the survey showed that the market share of tablets powered by Google Inc (NASDAQ:GOOG)’s Android operating system declined from 29% to 21%. The number of respondents who own the Amazon.com, Inc. (NASDAQ:AMZN)’s Kindle Fire also dropped from 20% to 16%. McCourt and Toomey speculated that ownership of Android and Kindle Fire tablets was high in March because many people purchased the devices during the holiday season as gifts given their low price points.
The analysts also revealed that the number of respondents who expressed interest in buying Google/Android or Kindle Fire tablets declined significantly. On the other hand, the number of respondents who intend to buy Apple Inc. (NASDAQ:AAPL)’s iPad increased from 54% to 60%.
Microsoft Tablets Picking Up a Little Steam
The survey also revealed that Microsoft Corporation (NASDAQ:MSFT) is gaining momentum in the tablet market. McCourt and Toomey noted that there was a “large spike in purchase intentions” among consumers for Microsoft tablets.
The analysts revealed that the market share of Windows tablets from Microsoft Corporation (NASDAQ:MSFT) increased from 3% to 6%. McCourt & Toomey said that the most interesting part is the fact that 15% of the respondents expressed their willingness to buy a Windows tablet, two times higher that the result of the survey in March.
The analysts wrote, “We saw a similar uptick in a survey earlier in June of college students. We note Microsoft’s gain in purchasing intention appears to be coming from Google/Android and the Amazon Kindle as the iPad purchase intention increased as well relative to March.”
McCourt and Toomey emphasized that their survey does not make a trend. Their smartphone survey indicated that consumers have no interest in purchasing a Windows Phone, but it is interesting to note that consumers in the United States appear to have a growing interest in Windows tablets.
U.S. Tablet Market Nearing Maturity
The survey also revealed that only 6% of respondents do not own a PC. Respondents also indicated that a tablet is a separate device, and it is not a replacement for the laptop. McCourt and Toomey opined that “laptop cannibalization is likely more of an issue internationally” particularly in emerging markets.
Furthermore, the analysts stated that their survey indicated that Apple Inc. (NASDAQ:AAPL)’s Mac will continue to gain from its current market share at 24%. Thirty three percent (33%) of the respondents expressed intention to buy Mac as their next PC.
Moreover, the survey also indicated that the U.S. tablet market seemed to be near maturity as 56% of the respondents own a tablet, up from 46% nine months ago. The number of respondents who have no intention of buying a tablet remained at 40%.