IDC downgraded its worldwide forecast for tablets and 2-in-1...

IDC downgraded its worldwide forecast for tablets and 2-in-1 mobile devices after a second consecutive quarter of “softer-than-expected demand” (http://bit.ly/1B0NmlW). The forecast is now for a growth rate of 6.5 percent to 233.1 million shipments, nearly half the 12.1 percent growth rate previously predicted, it said Friday. While tablet growth in mature markets including North America and Western Europe will be flat this year, “a good appetite” remains for tablets in other markets, where a 12 percent growth rate is forecast, said analyst Jean Philippe Bouchard. Average selling prices (ASPs) are expected to stabilize at $373 in mature markets this year due to a shift to larger screen sizes and cellular-enabled tablets, while ASPs in the rest of the world are forecast to decline 10 percent to $302. As an example of evolving tablet usage, IDC cited a built-in option of voice calling over cellular networks in tablets for the Asia-Pacific market (excluding Japan) that drove 25 percent growth in Q2. The trend, IDC said, suggests that users in that region are looking for a single device that handles voice communication and media consumption needs. “For some that single device is a tablet and not a smartphone,” IDC said. The rest of the world is expected to account for the majority of tablet shipments in coming years, said analyst Jitesh Ubrani, but medium- to large-sized tablets in North America and Western Europe will “still produce significant revenues,” he said.