Waiting on the Apple Tablet: March 2010 Launch in the Works?
One suggested image of how an Apple tablet could look. Oppenheimer is telling investors this morning the product is ramping up for a March 2010 launch. (credit: Adam Benton)
As rumors surrounding the much anticipated Apple tablet swirl in the merriment of the holiday season, one analyst is telling investors that Apple's entry into the e-reader field will come as early as March 2010.
Yair Reiner, senior analyst of Oppenheimer for Applied Technology, told investors this morning that Apple (AAPL) could start production of the 10.1 inch LCD screen tablet as early as February 2010, with a target launch of March or April. He cites "checks into Apple's supply chain" as credible sources for the target date.
Reiner also told investors that Apple is "approaching book publishers in the U.S. with a very attractive proposal for distributing their content," which apparently is a 30/70 revenue split on non-exclusive content (Apple/publisher), instead of the typical 50/50 split of many e-readers, including Amazon's Kindle. He is anticipating a potential ramp-up to sell 1-1.5 million units per quarter at a selling price of around $1000.
As Reiner tells investors, "We have not adjusted our model to show the impact of the tablet, but we believe it will be substantial. Conservatively assuming . . .a corporate average net income margin of 22%, the tablet could contribute $0.25-$0.38 of incremental EPS per quarter."
This morning's note from Oppenheimer: Oppenheimer Equity Research Company Update: Apple Inc. Tablet Tidbits
On the Web:Major Publishers Join Forces In Anticipation of Apple's Tablet? (Nillabyte)