Apple Inc. (AAPL), Microsoft Corporation (MSFT): Tablets Will Be More Popular than PCs This Year

While I think the company will continue to dominate in other areas, the firm isn’t as innovative as Apple. In fact, despite Amazon.com, Inc. (NASDAQ:AMZN)’s Kindle Fire being popular and a breakthrough in its own right, it lacks the scope of the Apple iPad. The Kindle Fire is essentially limited to reading, which is also offered on the iPad and many other tablet devices. It should be noted, though, that the Kindle Fire is priced much lower than many other tablets. This isn’t enough on its own, however, to make Amazon.com, Inc. (NASDAQ:AMZN) the company to go to in an effort to profit from the tablet boom.

Why the tablet trend?

Many credit tablets for being elegant and simple, and this is fueling much of the transition. Furthermore, tablet prices are expected to drop this year by 10.8% to $381 on average. Comparatively, the average price for a PC is around $635. Tablets are also expected to decrease further in price, which will attract an even larger cross-section of customers. If Apple keeps a lock on the tablet market, which it appears to be doing, then Microsoft Corporation (NASDAQ:MSFT) will become more of a computer of the past while Apple continues to hit new heights.

Phillip Woolgar has no position in any stocks mentioned. The Motley Fool recommends Amazon.com and Apple. The Motley Fool owns shares of Amazon.com, Apple, and Microsoft. Phillip is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

The article Tablets Will Be More Popular than PCs This Year originally appeared on Fool.com is written by Phillip Woolgar.

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