iPad mini @ 24 Hours

I've been playing with an iPad mini for 24 hours now and I've got a few initial thoughts:

  • It's incredibly thin. It makes the iPhone 5 seem thick. Crazy, I know. Especially since they're essentially the same. It's because it's so much larger.
  • It seems like a natural size in my hand. The way it always should have been? Until the screen comes on. Then it looks funny. Not bad. Just different than what I'm use to seeing.
  • The build quality is amazing. Better than the Retina iPad. I'm more sure now than ever that the 9.7" iPad will still be refreshed in the spring. If people were upset about the 7 month refresh on the 3rd generation, just wait....
  • The screen isn't Retina quality. If you have a Retina device of any kind, it looks less than great. It fades as you use it though. If you've never owned a Retina device, you'll likely wonder why every tech writer says it's a big deal. It's because Apple has spoiled us with their latest displays. Coming from the iPad 2 or most any computer, the screen is pretty beautiful.
  • The iPad mini is a consumption device. Maybe the perfect consumption device? I know that's always been the knock against the Retina iPad, but it's not true.
  • The finger detection near the bezel works really well at ignoring my touches.
  • I've never been a fan of the existing 7" tablets. I've played with the Kindle Fire models and some Android variants. The screens always felt small. It may sound like marketing BS, but Apple nailed it with this 7.9" screen. It's a totally different experience. Try one and tell me I'm wrong.
  • The smaller form factor is a real market segment now that Apple is in it. Hater's will call me names for saying this, but that doesn't make it less true. This leads to my next point.
  • The iPad mini is a serious headache for the competition. Primarily Microsoft. I think cheaper Android and Kindle devices will continue to sell in quantity to those who can't afford the price difference or hate Apple. Microsofts problem is one I don't think they have an answer to. Everything about the new Surface has been tagged by Microsoft with the 'No Compromise' slogan. You can have your tablet and computer all in one device. For a particular user, this could be a great thing. What's their answer to this smaller device category? In this size, a device can only be a tablet. Microsoft can't make a keyboard cover for a device this size. It won't work. This device is all about choosing a compromise. This problem will be exposed by my next point.
  • Sooner than anyone will believe, the iPad mini will be Apple's best selling tablet. I think they'll have supply problems this quarter. If not for that, I think the mini would take the lead this year. I'd all but guarantee it happens before the end of March. This leads to my next point.
  • Market analysts are stupid and short sighted. Don't believe what they say. Apple's stock is a bargain right now.
  • The edge of the chamfer offers a bit of a grip when holding the mini. It's kinda sharp. Not in a bad way at all.
  • I wish the slider for mute or orientation lock was just a bit taller or less rounded. My fleshy finger doesn't work it as well as the one on my iPhone and Retina iPad.
  • I find myself using the mini primarily in portrait orientation. My regular iPad is used about 50/50.
  • Typing is not a strong point. It's not that the keyboard is bad, it's not. It's just small in comparison to a regular iPad. It's better than every other small tablet. Once again, portrait orientation is better than landscape.
  • The speakers have good volume. They're stereo. Big deal. Stereo speakers separated by an inch don't sound much better than mono. Glad Apple's not touting it as a feature.
  • Newsstand magazines in general are poor efforts by their publishers. They're not great on the regular iPad. They're worse on the mini. Marco Arment's 'The Magazine' being the notable exception.
  • The mini charges remarkably fast. Not iPhone fast, but way faster than a regular iPad.
  • The iPad mini provides the best Facetime experience of any device Apple makes. Much larger screen than iPhone and hand holdable for a long time, unlike the 9.7" iPad.
  • I have many friends asking what I think. There's genuine interest in this device that will manifest itself as soon as people see or touch one in person. Remember when the original iPad was just a big iPod touch?

Apple has a hit on their hands. Even if not many people know it yet. The iPad mini is but the latest example of an Apple product that needs to be seen and touched in person to be appreciated. They've done it again.

Market Share With Zero Profit

Google has partnered with Asus to manufacture and sell the Nexus 7 tablet. Pricing will begin at $199 for 8GB when it goes on sale. This will make it very competitive on price with the Kindle Fire. Writing for All Things D, Ina Fried has a story detailing how difficult it was for Asus to meet Google's demands for the tablet. Included is this gem:

One way the companies managed that is through razor-thin margins. Google is selling the device through its Google Play store, essentially at cost, and also absorbing the marketing costs associated with the device.

“When it gets sold through the Play store, there’s no margin,” Rubin said. “It just basically gets (sold) through.”

Every other manufacturer thinking of building an Android based tablet must be thrilled at the prospect of competing with this no profit device.

If these tablets sell successfully, something I think is a long shot, It'll be interesting to read the stories written in a couple years. If they succeed in taking market share from the iPad, these stories will mimic the current marketplace for Apple's iPhone and Mac computers. Apple holds market shares below 25% in each, but takes better than 60% of the profit. I can't see how Apple loses in the end.

And that's the best case scenario for the competition. If/when Apple releases a 7" iPad Mini, does anyone really think they won't earn at least a 30% profit margin?

Thank you Time Cook and team.

Hat tip to Daring Fireball