Rivals to Apple's iPad 2 tablet may soon feel the pinch and many of them may not even survive until 2012 according to Mark Moskowitz, an analyst with JP Morgan Research, who sketched a pretty bleak picture for non iOS tablets altogether.
Apple Insider reports that Moskowitz expects the bubble to burst in the second half of 2011 because their expectations might be way too high; this could potentially have a knock-off "domino" effect on the supply chain which could be fatal to some companies.
Moskowitz says that "In our view, the technical and form factor improvements of the iPad 2 stand to make it tougher for the first generation of competitive offerings to play catch-up, meaning actual shipments could fall well short of plan".
JP Morgan Research expects more than 65 million tablets to be built in 2011 with just under 48 million tablets actually sold which in the worst case scenario would mean that the excess supply to shipments ratio might reach a staggering 51 per cent.
In contrast, Apple may well double the number of Apple iPad tablets sold in 2011, with more than 29 million iPads sold worldwide. Although the average selling price of the iPad has been depressed while Apple tries to shift the remaining stock, the sudden glut of iPad 2 coming to the market is likely to push the ASP up again.