Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Amazon Prepares to Go Bigger While Microsoft Shrinks

The tablet market has quickly bifurcated into two distinct market segments. Apple (NASDAQ: AAPL  ) kicked off the tablet festivities in 2010 with the iPad, starting things off with a full-sized 9.7-inch tablet. A year later, (NASDAQ: AMZN  ) made waves with its Kindle Fire that would spark considerable interest in the small-sized segment with its 7-inch display.

It wasn't long before Google (NASDAQ: GOOGL  ) jumped into the small-sized arena with its own Nexus 7. Now Microsoft (NASDAQ: MSFT  ) is officially a first-party tablet player with its Surface lineup that squares off directly with the iPad.

Each of these tech giants has realized that they need two separate product offerings targeting both the full-sized and small-sized tablet segments in order to succeed.





iPad Mini

iPad with Retina Display


Kindle Fire HD

8.9-inch Kindle Fire HD


Nexus 7

Nexus 10



Surface RT/Pro

Sources: Company websites. N/A = not applicable.

Microsoft has yet to officially enter the small-sized segment, but there's no shortage of speculation and evidence that it will do so in the near future. Speaking of speculation, NPD DisplaySearch analyst Richard Shim believes that Amazon is about to go even bigger while Microsoft is about to shrink its Surface.

Shim tells CNET that his supply chain sources are pointing to a 7.5-inch display on Microsoft's smaller model, which would be splitting the difference between the most popular 7-inch (Amazon and Google) and 7.9-inch (Apple) alternatives. The panel is expected to sport a resolution of 1,400 x 1,050, sharper than all of the current players in the small-sized segment. Shim believes that Microsoft is targeting Q1 2014 for mass production and is aiming for "multiple millions" of units while looking to shave costs in order to target lower price points.

Even though Amazon has a 8.9-inch tablet, Shim also told CNET is a separate report that Amazon may be going even bigger. The e-tail giant is moving up to a 10-inch display with the same specs as Google's Nexus 10. Mass production of this 10-inch Kindle Fire is expecting to ramp in the third quarter. Moving further upmarket may be curious since Amazon's recent price cuts to its 8.9-inch model suggest it's not selling particularly well.

Amazon's tablet successes may be giving it courage to venture out from shelter under Apple's price umbrella, while Microsoft's modest start is reason for the software giant to seek cover under the same umbrella.

It's incredible to think just how much of our digital and technological lives are almost entirely shaped and molded by just a handful of companies. Find out "Who Will Win the War Between the 5 Biggest Tech Stocks?" in The Motley Fool's latest free report, which details the knock-down, drag-out battle being waged by the five kings of tech. Click here to keep reading.

Read/Post Comments (1) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On May 07, 2013, at 11:22 PM, techy46 wrote:

    Microsoft Surface Mini will use the recently announced Intel Atom BayTrail (Silvermont) and have very, very competitive battery, preformance and pricing. The next two years are going to blow the socks off of the prior mobile PC devices/

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2414224, ~/Articles/ArticleHandler.aspx, 9/28/2016 6:23:09 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 9 hours ago Sponsored by:
DOW 18,228.30 133.47 0.74%
S&P 500 2,159.93 13.83 0.64%
NASD 5,305.71 48.22 0.92%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/27/2016 4:00 PM
AMZN $816.11 Up +16.95 +2.12% CAPS Rating: ****
MSFT $57.95 Up +1.05 +1.85%
Microsoft CAPS Rating: ****
AAPL $113.09 Up +0.21 +0.19%
Apple CAPS Rating: ****
GOOGL $810.73 Up +8.08 +1.01%
Alphabet (A shares… CAPS Rating: *****