Apple missing out on ‘seismic device shift’
Apple (AAPL) is missing out on a “seismic device shift” as big-screen smartphones take the consumer electronics market by storm. Smartphones with displays measuring 5 inches or larger are expected to outsell small tablets and notebook PCs this year, Technalysis Research said Monday. Worldwide unit shipments of large-screen smartphones, also known as phablets (short for phone-tablets), will reach just over 240 million units in 2014 vs. 173 million notebooks and 158 million small tablets (those with screen sizes between 7 and 8 inches), Technalysis analyst Bob O’Donnell said. Apple (AAPL) has been slow to respond to the growing phablet market, which is led by Google (GOOG) Android handset makers such as Samsung and LG. Apple’s rumored iPhone 6 is expected to have a 5-inch display, but isn’t forecast to launch until the fall. The current iPhone 5 series has a 4-inch display, which looks small compared with Samsung’s 5-inch Galaxy S4 and 5.7-inch Galaxy Note 3. About one out of three smartphones shipping worldwide in 2018 will have a 5-inch or larger screen, O’Donnell said. Worldwide smartphone shipments are expected to peak in 2017 at around 1.44 billion units, but then slip to 1.43 billion in 2018. In the U.S., smartphone shipments are seen peaking in 2016 at 149 million units and will drop to 145 million units in 2018, Technalysis said. All of that decline will be in smaller smartphones (those with screens under 5 inches), as the larger smartphone category will grow through the forecast period and reach 30% of all U.S. smartphone shipments in 2018, O’Donnell said.