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SAN FRANCISCO
—
Apple Inc.
is on track to launch a much-anticipated, tablet-sized
computing device early next year, according to brokerage
reports Wednesday.
The
end-of-the year business period has become known as the
"iPod quarter" for Apple, due to the
historically strong sales of the company's digital-media
players — often exceeding 20 million units sold during
the holiday season.
But with
sales of iPods showing signs of leveling off, Apple is
believed to be working on a new, tablet-style device
that incorporates some of the touch-screen features of
the iPod touch and will help the company continue with
its multiyear streak of hit products.
Analysts
who follow Apple say that there is evidence that Apple
could launch its anticipated tablet Mac as early as next
spring.
The move
could be fortuitous for Apple, as a spring launch would
come around the time of the company's slower business
periods and ahead of any new advances in the iPhone,
revamps of which have been released during the summer.
Apple
shares climbed
$7.93
, or more than 4 percent, to close at
$197.80
Wednesday. The stock has more than doubled so far this
year.
Oppenheimer
analyst
Yair Reiner
wrote in a research note Wednesday that checks with
computer supply-chain manufacturers suggest that Apple
"will begin ramping production in earnest in
February, implying that the tablet could launch in late
March or April," as long as there aren't any delays
in the production process.
Reiner
believes that the tablet Mac will be similar in size to
many so-called netbook PCs, with a display that measures
about 10 inches diagonally. The analyst also said that
to stoke demand for the new device, Apple is holding
discussions with book publishers about distributing
their titles on a new e-book platform.
In a
separate note,
Vijay Rakesh
of ThinkEquity said his checks with manufacturers
indicate Apple is on track to ship between 1 million and
3 million tablets during the March quarter. Rakesh
estimates that the initial tablet will come with as much
as 64 gigabytes of storage.
One
company potentially threatened by an Apple tablet is
Amazon.com Inc.
, which is enjoying strong sales of its Kindle e-reader.
While a
tablet device would likely have more functions than
simply reading, Apple is reportedly in talks with book
publishers regarding the new device. Oppenheimer's
Reiner said the company has been "actively reaching
out to book publishers with a very attractive proposal
for distributing their books on a forthcoming e-book
platform," which he presumes would be the tablet.
Apple
will likely split revenue on a 30 percent to 70 percent
basis between the company and publishers, according to
the analyst, and not request exclusivity on titles
carried through any possible e-book store.
Amazon
shares gave up
$2.80
to close at
$131.31
.
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