Apple Inc. (NASDAQ:AAPL) on 22 October is likely to launch update for its iPads that will feature a 64-bit processor, which is expected to be better substitute for PC devices.
The better capacity holder device from its last generation, which the smartphone maker place to compete in a better way against stronger competitor for PC devices. According to the report from the AllThingsD tech blog, the iPhone maker is likely to include the 64-bit A7 chip that was disclosed by the company last month with the iPhone 5S, which the company declared to add in new iPad lineup, and add high-definition Retina display in iPad mini.
Through this device the company will boost its sale in tablet market, which sale decreased 14% on each unit in the June quarter in contrast to the June quarter in 2012. The iPad is the smartphone manufacture second major product line, which at the present approximately one-third the size of the firm’s huge iPhone business in regards of revenue, so this update will directly affect the company’s revenue.
Barclays’ analyst Ben Reitzes declared in his notes to investors that despite the report the company has planned an iPad event, the device will contain a 64-bit processor to the iPad, plus the device has a larger 13-inch display, and facilitates the smartphone manufacture to greatly increase the TAM or whole addressable market, for the iPad line. The analyst also added the US smartphone giant giving its iWork collection of apps for free also provides an indication that what the smartphone maker think for the future of mobile devices.
He also noted in his note on Tuesday that the company is stimulating the iPad, that it will provide a way to boost earnings growth since the company is unveiling updates for iPad that could expand the TAM by tens of millions, and by including accessories like a keyboard cover may as well stimulate the contribution to earnings, still better since accessories have over the firm average gross margins. Apple Inc. (NASDAQ:AAPL) shares increased 1.17% to $486.59 in last trading session.
Leave a Reply