Thank you very much;
you're only a step away from
downloading your reports.
PC, Tablet, and Smartphone Sales Are Slowing, and That Makes Me Want GoPro
PC sales are expected to decline, and the smartphone and tablet markets aren't doing much better.
Michael Comeau    

We really are post-PC.

This week, IDC said worldwide PC shipments fell 9.8% in 2013, marking the worst decline on record.

Sales are expected to drop an additional 6.1% in 2014 to 295.9 million before falling to 291.7 million in 2018, implying an cumulative annual growth rate of negative 0.36%.

The cause? Economic pressures and competition from other devices.

Other devices, of course, means tablets and smartphones, which aren't doing as well you might expect

For full-year 2013, IDC estimated the tablet market grew by 50.6%, but there was a significant slowdown by Q4, which saw 28.2% growth.

And smartphone sales were up 39% though growth is expected to drop to 19% in 2014.

That's not a big surprise given Apple's (NASDAQ:AAPL) iPhone slowdown, Samsung's (OTCMKTS:SSNLF) loss of momentum in the high end, and the fact that the rest of the industry is kind of a mess.

So while we're post-PC, we may soon also be post-smartphone and post-tablet -- at least in terms of serious growth!

This is worrisome for Internet companies, which need expanding user bases.

That's why Google (NASDAQ:GOOG), through Project Loon, and Facebook (NASDAQ:FB), via its rumored purchase of drone maker Titan Aerospace, want to provide Internet access to underserved emerging markets.

They have to find more bodies and the developed markets are saturated.

(Note: I'm ignoring their philanthropic efforts for the purposes of this article.)

But finding success in emerging markets has challenges for hardware makers. There is often high growth, but low or no profits. Political and economic stability is not guaranteed.

It's not even clear that a sufficient number of people will be able to afford connected devices -- many don't even have running water or reliable access to food.

But, ultimately, when I look at the challenges facing the consumer electronics industry, I think about one thing: the GoPro IPO.

We don't have financial details yet, but I suspect GoPro is booming, and that makes it a standout in a no-growth industry.

Anecdotally, it seems like lots and lots of people are buying GoPro's tough, compact, and wearable cameras and doing the company a big solid by making YouTube videos that serve as free viral marketing. (See 10 Companies Whose Customers Do the Advertising for Them)

And Amberella (NASDAQ:AMBA), which supplies video processing chips to GoPro and other camera makers, saw its revenues grow 29% last quarter.

There's lots of talk about wearable technology being the next big thing, and GoPro could shape up as the best way to play the trend.

Related links:

Android Tablets Accomplish What Apple's iPhone 5C Couldn't

The Human Cost of Amazon's Delivery System to Face Supreme Court Scrutiny

Apple Users Face Another Email Scam


Twitter: @MichaelComeau

Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.

< Previous
  • 1
Next >
Position in AAPL, Considering a Buy of AMBA
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
PC, Tablet, and Smartphone Sales Are Slowing, and That Makes Me Want GoPro
PC sales are expected to decline, and the smartphone and tablet markets aren't doing much better.
Michael Comeau    

We really are post-PC.

This week, IDC said worldwide PC shipments fell 9.8% in 2013, marking the worst decline on record.

Sales are expected to drop an additional 6.1% in 2014 to 295.9 million before falling to 291.7 million in 2018, implying an cumulative annual growth rate of negative 0.36%.

The cause? Economic pressures and competition from other devices.

Other devices, of course, means tablets and smartphones, which aren't doing as well you might expect

For full-year 2013, IDC estimated the tablet market grew by 50.6%, but there was a significant slowdown by Q4, which saw 28.2% growth.

And smartphone sales were up 39% though growth is expected to drop to 19% in 2014.

That's not a big surprise given Apple's (NASDAQ:AAPL) iPhone slowdown, Samsung's (OTCMKTS:SSNLF) loss of momentum in the high end, and the fact that the rest of the industry is kind of a mess.

So while we're post-PC, we may soon also be post-smartphone and post-tablet -- at least in terms of serious growth!

This is worrisome for Internet companies, which need expanding user bases.

That's why Google (NASDAQ:GOOG), through Project Loon, and Facebook (NASDAQ:FB), via its rumored purchase of drone maker Titan Aerospace, want to provide Internet access to underserved emerging markets.

They have to find more bodies and the developed markets are saturated.

(Note: I'm ignoring their philanthropic efforts for the purposes of this article.)

But finding success in emerging markets has challenges for hardware makers. There is often high growth, but low or no profits. Political and economic stability is not guaranteed.

It's not even clear that a sufficient number of people will be able to afford connected devices -- many don't even have running water or reliable access to food.

But, ultimately, when I look at the challenges facing the consumer electronics industry, I think about one thing: the GoPro IPO.

We don't have financial details yet, but I suspect GoPro is booming, and that makes it a standout in a no-growth industry.

Anecdotally, it seems like lots and lots of people are buying GoPro's tough, compact, and wearable cameras and doing the company a big solid by making YouTube videos that serve as free viral marketing. (See 10 Companies Whose Customers Do the Advertising for Them)

And Amberella (NASDAQ:AMBA), which supplies video processing chips to GoPro and other camera makers, saw its revenues grow 29% last quarter.

There's lots of talk about wearable technology being the next big thing, and GoPro could shape up as the best way to play the trend.

Related links:

Android Tablets Accomplish What Apple's iPhone 5C Couldn't

The Human Cost of Amazon's Delivery System to Face Supreme Court Scrutiny

Apple Users Face Another Email Scam


Twitter: @MichaelComeau

Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.

< Previous
  • 1
Next >
Position in AAPL, Considering a Buy of AMBA
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
More From Michael Comeau
PC, Tablet, and Smartphone Sales Are Slowing, and That Makes Me Want GoPro
PC sales are expected to decline, and the smartphone and tablet markets aren't doing much better.
Michael Comeau    

We really are post-PC.

This week, IDC said worldwide PC shipments fell 9.8% in 2013, marking the worst decline on record.

Sales are expected to drop an additional 6.1% in 2014 to 295.9 million before falling to 291.7 million in 2018, implying an cumulative annual growth rate of negative 0.36%.

The cause? Economic pressures and competition from other devices.

Other devices, of course, means tablets and smartphones, which aren't doing as well you might expect

For full-year 2013, IDC estimated the tablet market grew by 50.6%, but there was a significant slowdown by Q4, which saw 28.2% growth.

And smartphone sales were up 39% though growth is expected to drop to 19% in 2014.

That's not a big surprise given Apple's (NASDAQ:AAPL) iPhone slowdown, Samsung's (OTCMKTS:SSNLF) loss of momentum in the high end, and the fact that the rest of the industry is kind of a mess.

So while we're post-PC, we may soon also be post-smartphone and post-tablet -- at least in terms of serious growth!

This is worrisome for Internet companies, which need expanding user bases.

That's why Google (NASDAQ:GOOG), through Project Loon, and Facebook (NASDAQ:FB), via its rumored purchase of drone maker Titan Aerospace, want to provide Internet access to underserved emerging markets.

They have to find more bodies and the developed markets are saturated.

(Note: I'm ignoring their philanthropic efforts for the purposes of this article.)

But finding success in emerging markets has challenges for hardware makers. There is often high growth, but low or no profits. Political and economic stability is not guaranteed.

It's not even clear that a sufficient number of people will be able to afford connected devices -- many don't even have running water or reliable access to food.

But, ultimately, when I look at the challenges facing the consumer electronics industry, I think about one thing: the GoPro IPO.

We don't have financial details yet, but I suspect GoPro is booming, and that makes it a standout in a no-growth industry.

Anecdotally, it seems like lots and lots of people are buying GoPro's tough, compact, and wearable cameras and doing the company a big solid by making YouTube videos that serve as free viral marketing. (See 10 Companies Whose Customers Do the Advertising for Them)

And Amberella (NASDAQ:AMBA), which supplies video processing chips to GoPro and other camera makers, saw its revenues grow 29% last quarter.

There's lots of talk about wearable technology being the next big thing, and GoPro could shape up as the best way to play the trend.

Related links:

Android Tablets Accomplish What Apple's iPhone 5C Couldn't

The Human Cost of Amazon's Delivery System to Face Supreme Court Scrutiny

Apple Users Face Another Email Scam


Twitter: @MichaelComeau

Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.

< Previous
  • 1
Next >
Position in AAPL, Considering a Buy of AMBA
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
EDITOR'S PICKS
 
WHAT'S POPULAR