A new report has revealed details regarding the tablet PC market in China. While the market saw a decline at the start, the region managed to see a rise in this segment in the second half of this year.

According to an IDC report, the Coronavirus pandemic was actually a “double edged sword” that both boosted the consumer market but also made the commercial market worse.  In the first quarter of this year, the tablet segment shipped around 6.21 million units, which marked a 17 percent year on year rise. The report adds that a large number of consumers have purchased tablet computers in the last two years. On the other hand, the commercial market shipped only 540,000 units, marking a 42 percent decrease year on year during this same period.

Apparently, the pandemic was the primary reason for this sharp fall since the outbreak lead to lockdowns in certain regions across the nation. This, in turn, led to projects being cancelled and shipments further declining. So, the commercial market is expected to not see the robust performance it saw back in 2020 in the second half of this year. During the first quarter of 2022, the tablet PC shipments overall declined by 2.1 percent year on year. However, the market stabilized and the shipments reached 6.76 million units. This marked a rise of 8.1 percent year on year.

Guo Tianxiang, senior analyst at IDC China said that “There is no doubt that the rebound of the epidemic and the stricter lockdown policies in various places have significantly boosted Chinese consumers’ demand for tablet computers. Shanghai and surrounding areas, which are under lockdown, have also not been affected. It is not the main area for tablet computer material production and complete machine assembly, so it can be said that it has little impact on the supply of products, and it also ensures that the supply side can fully meet the sudden market demand of consumers.”

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The COVID-19 global pandemic brought back the Android tablets from the dead. But it is only China where the market for tablets is still growing, while the demand in other regions has started slowing down. A new report by IDC sheds more information on this matter.

According to a report by IDC, the China Tablet PC Market shipped around 7.65 million units. The market registered a 10.6% YoY growth. In fact, the country witnessed the highest number of shipments in a single quarter in the last 7 years. It was also the only country in the world to maintain double-digit YoY growth in Q3 2021.

Approximately 6.32 million units of shipments came from the consumer market as opposed to only 1.31 million units from the commercial market. The former saw a 19.7% YoY increase in shipments, whereas the latter declined by 19.1% YoY.

Unlike other regions, China still has a strong demand for tablets. That’s because this product category has become a key requirement for education users in the country for self-learning, following the government’s new “double reduction” policy.

Therefore, the shipments of consumer tablets in the August-September school season were even more than in 618 sales earlier this year. On the other hand, the commercial tablet shipments declined as the government procured units in large-scale for census projects in the same period last year.

Additionally, with the entrance/comeback of local Android tablet players, the competition has become intense. The market share of Android tablets increased from 59.4% to 62.3% in a year. Consumers also have a wide range of options in the ¥2000-¥3000 price segment.

But unfortunately, due to supply shortages and high demand, the price of tablets has increased in China. However, during the ‘Double Eleven’ sales, promotions brought down the average price of tablets to ¥2,580 from ¥3,082 last year.

IDC says that China Tablet PC Market shipments in 2021 will reach a new high since 2014. The firm also predicts further growth in the future.

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While the Coronavirus pandemic had initially caused a decline in global tablet shipments back in early 2020, the following lockdowns drove up sales of these larger screen devices due to the online shift of education and work cultures. Now, a new report has revealed that the tablet market in China has managed to see a steady growth in terms of shipments in H1 2021, despite the global market seeing a fall in momentum.

IDC‘s Global Personal Computing Device Quarterly Tracking Report has revealed that the the tablet market has grown by 3.9 percent year on year. This marks a total shipments of 40.4 million units. Although, in the first half of this year, the global tablet computer market shipped 80.35 million units, marking a 24.4 percent year on year growth. During Q2 2021, the tablet market in China shipped around 7.15 million units, which was a rise of about 8.3 percent year on year.

In other words, this is indicative of a steady growth. However, looking at the Chinese market’s performance in the first half of this year, it can be observed that the region saw shipments reach a total of 13.4 million units, which marks a notable 29.7 percent growth over the same period last year. This also implies that China’s tablet market saw a growth rate higher than the global market.

Anuroopa Nataraj, senior analyst of IDC’s Global Mobile Device Tracking Project added that “Although there is still a shortage in the supply chain, there are still plenty of opportunities for tablets in the education market. Online learning has achieved rapid development and has promoted the digital transformation of the education field. Although there is no single solution in the world, many emerging markets continue to increase the use of Android tablets, while schools in some developed markets such as the United States and Canada prefer Chromebooks.”

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IDC (International Data Corporation) has released a report on China Tablet Market Q3 2020. According to it, OEMs managed to ship approximately 6.9 million units gaining 21.7% YoY growth during this period. The last quarter also happens to register the highest YoY growth in a single quarter since 2014.

As per the report, the China Tablet Market shipped 3.34 million units of traditional tablets and 3.57 million units of detachable tablets. The former recorded an 11.6% YoY decline, whereas the latter registered an 87.9% YoY increase.

However, although the market witnessed the highest YoY growth in years, brands could not keep up to the demand. ‘Out of Stock’ was the norm across retailers in the third quarter of 2020. That’s because the supply chain issue will be only stabilized by year-end with the termination of large-scale purchases in the commercial market.

EDITOR’S PICK: India PC Market recorded its strongest quarter in the last seven years in Q3 2020

That said, the hurdle is expected to kick back once again in the second half of Q1 2021 as people will be continuing their work and education from home. But it will be once again balanced in H2 2021. 

Further, according to the report, the commercial tablet market shipped 1.62 million units with 29.5% YoY growth. This was the result of peak shipment growth of 737% YoY and 42.2% YoY by the government census project and the education industry respectively. On the other hand, the consumer market grew 19.5% YoY by shipping 5.28 million units, But MoM shipments decreased by 5.9%.

Talking about brands, Huawei led the market with a 37.7% market share by shipping 2.6 million units. The company achieved 22.9% YoY growth but its future is uncertain due to the US ban. In fact, the competition is already catching up.

Apple was so close to Huawei in Q3 with 2.59 million shipments and a 37.5% market share. The American tech giant recorded a 35 YoY growth. Lastly, the third and fourth places were occupied by Lenovo and Microsoft with a mere 4.6% and 2.4% market shares. These two companies grew 42.1% YoY and 23.3% YoY by shipping 320,000 units and 170,000 units respectively.

Last but not least, the IDC report also says that TCL gained a whopping 290.1% YoY growth in the global tablet market in Q3 2020. The Chinese company attained the highest YoY growth among the top 10 OEMs worldwide.

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Huawei to see a decline in its tablet shipment in 2021 as per a new report. The US trade sanctions are the primary reason behind the shrink, as the company would not be able to source processors from Qualcomm or MediaTek, or even outsource proprietary chips to foundries like TSMC.

According to a DigiTimes report, Huawei, Samsung, and Apple are the top 3 tablet brands in the world. Although, unlike Samsung and Apple, Huawei primarily ships its tablets only in China, Europe, and other Southeast Asian markets, with nearly 60 percent of the volumes going to China with only 40 percent going to other regions like Europe and Asia.

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The issues Huawei is facing has also prompted other tablet makers to start taking advantage of the situation, eating away at the Chinese tech giant’s market share in its home country. At the moment, Apple has a 42 percent market share in China’s tablet market, while Huawei holds 33 percent, and Microsoft and Lenovo with 3.5 and 3 percent respectively.

The report estimates that Huawei has inventory left that would last until the second quarter of 2021. The company has yet to acquire CPUs from Intel and AMD, so the future also remains uncertain right now. Furthermore, the Chinese brand will be focusing on the China market and will cut output for overseas markets. As per estimations, the company is expected to lose 22 percent of its market share next year, while Apple’s is projected to rise to 46.4 percent, Microsoft to 4 percent, and Lenovo to 9.6 percent.

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Last week, Canalys released a quarterly report on global tablet shipments for Q2 2020. Today, IDC does the same but for China, rather than global. According to it, all the top 4 brands retained their positions, however, Lenovo declined YoY while others improved.

Apple remained unbeaten in China in terms of tablet shipments at the top position in the second quarter of 2020. The American tech giant shipped 2.76 million iPads in this period leading the market with 41.8% market share. Its shipments also increased by 18.7% YoY.

At the second position, Huawei shipped 2.45 million units with 37.1% market share. Additionally, it was the most successful company with 59.5% YoY growth. The gap between the first and the second brand decreased by a huge margin than previous quarters.

Further, Microsoft maintained the third position with its Surface lineup of products. It shipped only 230,000 units capturing 3.5% of the market with 16% YoY increase. Lastly, at fourth position, Lenovo shipped merely 170,000 units accounting for only 2.6% of the market. Above all, as mentioned in the beginning, it was the only top brand to decline by 19.1% YoY. But globally, it was the fastest-growing brand according to Canalys.

That’s not all, even the minor tablet brands in the “Others” category declined by 26.1% in Q2 2020. However, due to the success of the top 3 brands, the overall market shipments incremented by 17.7% YoY.

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(Via)

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