Gartner: Tablet production to increase almost 40 percent next year


Tablet production is forecasted to grow in 2013, rising 38.5 percent to 207.1 million units, according to market research firm Gartner.

This projection is up from the third quarter forecast of 169.8 million units.

The success of Amazon's (NASDAQ: AMZN) Kindle Fire, Google's (NASDAQ: GOOG) Nexus 7 and Apple's (NASDAQ: AAPL) iPad Mini demonstrate the opportunity for smaller tablets at the right price, while the white-box (no brand) tablet market is stronger than anticipated, boosting the overall Gartner forecast.

Mobile phone production growth however is predicted to soften next year, as the tough economy reduces short-term demand for phones. However, the forecast for utility/basic smartphones has been increased, largely at the expense of traditional phones, according to Gartner.

Adoption of Android-based entry-level smartphones in emerging regions continues to accelerate and will be a key growth driver. Worldwide smartphone unit production is predicted by Gartner to grow 33 percent next year.

What Gartner calls the "Apple effect" is expected to remain pronounced in 2013, helping drive strong NAND and application-specific integrated circuit--or ASIC--revenue growth of 17.2 percent and 9.4 percent, respectively.

Gartner counts the A4, A5 and A6 application processors from Apple as ASICs, because these are custom processors, designed and used by Apple. ASICs will also benefit from the new generation of video game consoles being introduced in late 2012 and 2013.

For more:
- see Gartner's release

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