iPad Mini Demand Falls As Fans Await New Model [Rumor]

iPad-mini-boxes

The iPad mini is still less than six months old, and already demand has dropped as fans await the second-generation model. That’s if you take any notice of DigiTimes, which is reporting that iPad mini shipments will decline by as much as 30% during the second quarter of 2013 due to dying demand.

Upstream sources in the iPad mini supply chain expect a 20-30% decline in shipments for the device during the second quarter of 2013 due to lacking demand in the market.

The lacking demand stems from consumers waiting for the release of the next generation iPad mini, said the sources.

As a result of this reduced demand, Apple has reduced its reserves for the existing iPad mini from 15 million units to 10-12 million units for the first quarter, DigiTimes claims. While the company’s component suppliers are also feeling the change. LG Display reportedly expects panel shipments estimates to reach 3.5 million units in April, down from 5 million units during the previous month.

Despite the reduced demand, Apple still hopes to ship 55 million iPad minis during 2013, the sources say.

It’s not uncommon for consumer demand to drop when a product refresh is anticipated, and we have been talking about the second-generation iPad mini a lot in recent months. Having said that, it seems surprising that Apple would be seeing such reduced demand less than six months after the iPad mini went on sale.

Just a month ago, one report from CNYes claimed that Apple hadn’t seen any significant decline in iPad mini sales since the tablet’s debut, and that there was no chance Apple would refresh the device before it was 12 months old because customers are still in love with the existing model.

  • scatteredthings

    “Having said that, it seems surprising that Apple would be seeing such reduced demand less than six months after the iPad mini went on sale.”

    No it doesn’t. The screen is so absolutely terrible that of course people are desperate for the retina model. The form factor is adorable, but the screen is insufferable and we should stop pretending that ‘it’s OK’. I think this drop in demand is a reality check on what is acceptable screen-wise, especially from Apple.

  • rogifan

    Why should we believe DigiTimes? When have they ever been right about anything?

    And no, the screen is not terrible. And certainly isn’t terrible for people who haven’t experienced a retina display. Not everyone is obsessed with screen resolution.

  • lowtolerance

    “Having said that, it seems surprising that Apple would be seeing such reduced demand less than six months after the iPad mini went on sale.”

    No it doesn’t. The screen is so absolutely terrible that of course people are desperate for the retina model. The form factor is adorable, but the screen is insufferable and we should stop pretending that ‘it’s OK’. I think this drop in demand is a reality check on what is acceptable screen-wise, especially from Apple.

    Yes, I’m sure the screen quality is what is responsible for a drop in demand six months after the device was released. Brilliant application of logic, there.

  • MrsCleaver

    Scatteredthings wrote: “The screen is so absolutely terrible that of course people are desperate for the retina model. The form factor is adorable, but the screen is insufferable and we should stop pretending that ‘it’s OK.

    An “absolutely terrible screen?” Dude, you’re delusional. I’m sixty-three and use both an iPhone 5 and iPad Mini daily. The Mini may not be quite as sharp as the Mini, but that hardly means it’s “terrible.” If that were the case, legions of buyers would not have plunked down their $300+ for what you consider an “insufferable” display. We’re not all sheep.

    By the way, I do not “pretend my Mini is okay”, because it’s just fine. When a retina model comes along, it will be even better.

    Perhaps you should have your eyes checked.

  • technochick

    Digitimes is full of it. Yes demand might fall but that’s mainly due to the highest demand for anything is holidays and this is post holiday. It’s not rocket science to figure that game out. And yes some folks might wait for the next one at this point.

    But the real crime is this headline which implies that demand is falling as a fact or even that that is what was said in the rumor. It’s not. The rumor is that demand will fall because they think folks will wait. Not that they have found proof that it is has or is falling

  • technochick

    No it doesn’t. The screen is so absolutely terrible that of course people are desperate for the retina model.

    Got to disagree with you on two fronts. One the implication that folks aren’t buying. I’ve had cause to be at Apple Stores 4 times in the last 3 weeks and folks would buying Minis left and right. And crowded around the demo tables and not one comment about the screen.

    Two, that the screen is terrible. Have you actually seen an iPad Mini up close and in use. The screen on an iPad 2 was not terrible and this is the same resolution in a smaller physical screen making the pixels even smaller. It’s not retina math compliant but it’s very good for those that don’t have Terminator microscopic vision.

  • Al

    I’m one of those people who despite not having an iPad (or any other tablet) and havingd spare cash refuse to buy the mini just because I want the mini 2.I don’t care about other specs update but a retina screen is absolutely necessary for it.current mini’s screen is “ok”.but I want something that impresses me.

  • mark_mcclean

    Watch 10,000 iPhones Fall Like Dominoes
    http://mulep.com/watch-10000-iphones-fall-like-dominoes/

  • lwdesign1

    Killian: How can you as a journalist simply parrot what the DigiTimes has to say? You state that demand for the iPad mini has fallen, when in the article it clearly states that this is a PREDICTION that sales WILL decline in the second quarter (note the future tense). This is yet another article that attempts to show Apple’s sales are declining in various areas when it simply isn’t so, or that no factual data can back up. As a responsible journalist I expect you to not simply rehash the rumor as if it’s fact. How about a more appropriate and truthful headline: “DigiTimes Predicts iPad Mini Sales Will Decline in 2nd Quarter of 2013″. Now THAT would be truthful. It’s articles like this that drive investor confidence in Apple and therefore stock price. I’m sick of seeing Apple’s stock plummet when they’re selling more products than ever and doing fantastically well as a company. Please don’t forward the “make up stuff to kick Apple” bandwagon.

About the author

Killian BellKillian Bell is a staff writer based in the U.K. He has an interest in all things tech and also covers Android over at CultofAndroid.com. You can follow him on Twitter via @killianbell.

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