Tim Cook

Apple CEO Tim Cook was just asked on the company’s earnings call to offer his thoughts on Amazon’s upcoming Kindle Fire tablet, which is significantly undercutting the iPad with a price of $199.

In short, Cook says he isn’t worried.

“We’ve seen several competitors come to market to try to compete with the iPad over time,” he said. “Some had different form factors, different price points. I think it’s reasonable to say that none of these have gained any traction thus far and in fact as all of those competitors have come to market, our share went up.”

He continued, “When you really assess this thing and look at iOS 5 and the ecosystem with iTunes, the app store and books and music, and the fact that we have over 140,000 native apps for iPad vs. a number in the hundreds for the other guys, I feel very confident in our ability to compete and extremely confident in our product pipeline.”

Also of note: Cook pointed out that Apple has sold 40 million iPads on a cumulative basis. Without giving a timeframe, Cook said he believes it’s clear that the tablet market will eventually be larger than the market for traditional PCs. That’s a pretty bold statement considering that shipments of PCs are projected by IDC to top 360 million units this year.

“I think it’s a huge opportunity for Apple,” he said.

Earlier this afternoon, Apple reported quarterly profits that fell short of Wall Street expectations, as iPhone sales fell short of analyst projections due to consumers deferring purchases amid the speculation about a new version.

Comments

  • FireFan

    Reminds me of when some other local tech leaders laughed at the iPad… They were wrong, and so is Tim Cook.   I can’t wait to get my Kindle Fire and expect to buy several for my household.

  • Guest

    Reminds me of when some other local tech leaders laughed at HP WebOS… There were, err, um…

    • Guest

      They were wrong, and so is Tim Cook. I can’t wait to get my best-selling $99 HP TouchPad and expect to buy several for my household.

  • Guest

    It’s not a big leap to think tablets will eventually be a larger market than PCs. Bill Gates predicted the same thing back in the early 2000’s. Of course, he assumed most of those would have Windows on them. Isn’t quite turning out that way.

    • Sarah_gilbert

      It will happen with Windows 8. AAPLy will not drive 100% market share. Android is a failure, the only platform that can drive tablet to exceed PC is Windows 8. Period. Unless Microsoft is on board, you cannot move the market. Only at lower end (netbooks);

    • Sarah_gilbert

      It will happen with Windows 8. AAPLy will not drive 100% market share. Android is a failure, the only platform that can drive tablet to exceed PC is Windows 8. Period. Unless Microsoft is on board, you cannot move the market. Only at lower end (netbooks);

  • http://twitter.com/bengregg Ben Gregg

    The only thing Kindle Fire has going for it is that it’s cheap and is being sold at a loss.  The privacy-crippled Silk browser makes up for the underpowered local processor, but still:  no 3G, no Bluetooth, no cameras and only 8GB of memory (of which just 6GB usable)–with no expansion…?  Meh… you’ll be $200 in the hole and still not have the tablet you really want.  I think SNL said it best: “Amazon’s Kindle Fire will sell well with parents who always buy the wrong thing.” 

    • FireFan

      We’ll know soon enough, but my guess is that there is plenty of room for a really good tablet at half the price of the iPad.  Nobody has had a credible offering yet at this price — it looks like amazon can pull this off with the Fire.  It feels to me that we’re just where we were when Android phones just started to come out.  iPhone felt like it would always be unchallenged — but now we have a very competitive smartphone market.  I bet we’ll see the same thing in tablets over the coming months.  For that matter — I bet there’s a lot of room in the market for a Windows 8 tablet as well — lots of people would love their windows apps on a tablet…  I look forward to multiple tablet options that drive innovation fast and furious through competition…

    • FireFan

      We’ll know soon enough, but my guess is that there is plenty of room for a really good tablet at half the price of the iPad.  Nobody has had a credible offering yet at this price — it looks like amazon can pull this off with the Fire.  It feels to me that we’re just where we were when Android phones just started to come out.  iPhone felt like it would always be unchallenged — but now we have a very competitive smartphone market.  I bet we’ll see the same thing in tablets over the coming months.  For that matter — I bet there’s a lot of room in the market for a Windows 8 tablet as well — lots of people would love their windows apps on a tablet…  I look forward to multiple tablet options that drive innovation fast and furious through competition…

    • Guest

      Ben, just because you don’t want a Fire doesn’t mean nobody will. If you like your existing tablet, keep it. There’s no need to be defensive about your product preferences.

    • Guest

      Ben, just because you don’t want a Fire doesn’t mean nobody will. If you like your existing tablet, keep it. There’s no need to be defensive about your product preferences.

  • http://twitter.com/bengregg Ben Gregg

    The only thing Kindle Fire has going for it is that it’s cheap and is being sold at a loss.  The privacy-crippled Silk browser makes up for the underpowered local processor, but still:  no 3G, no Bluetooth, no cameras and only 8GB of memory (of which just 6GB usable)–with no expansion…?  Meh… you’ll be $200 in the hole and still not have the tablet you really want.  I think SNL said it best: “Amazon’s Kindle Fire will sell well with parents who always buy the wrong thing.” 

  • Sibie

    Why is it some fail to see that many of us buying a Kindle Fire are NOT looking for an iPAD look-alike?  If I want an iPAD, I’ll get an iPAD, but I don’t want or need one.  The Kindle Fire will do the things I need it to do, except I will use my Kindle Touch for reading (I just cannot read with back lighting).  So much comparison…who cares?!

  • Sibie

    Why is it some fail to see that many of us buying a Kindle Fire are NOT looking for an iPAD look-alike?  If I want an iPAD, I’ll get an iPAD, but I don’t want or need one.  The Kindle Fire will do the things I need it to do, except I will use my Kindle Touch for reading (I just cannot read with back lighting).  So much comparison…who cares?!

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