![]() ![]() Then, of course, there's all the competition in the market. In addition, most people who crave a tablet likely already have one, and many consumers are forgoing tablets in favor of smartphones with bigger screens, dubbed phablets. People also don't have the two-year upgrade incentive that smartphones get from wireless carriers, and new models of tablets aren't changing enough to compel consumers to buy the latest versions. It's easy for people to pass older tablets to relatives or friends when they upgrade. The same factors that hurt iPad sales could also impact Nvidia's new device. The company will release its latest iPad numbers Tuesday in its fiscal third-quarter report. Apple, which sells about a third of all tablets in the world, in April reported a disappointing number of iPad sales - only 16.4 million units sold during the March quarter versus the 19 million expected by analysts and the 19.5 million sold in the year-earlier period. Nvidia isn't the only one feeling the pressure. Rather, it would focus on automotive, gaming, and "segments of phones and tablets where computer graphics are really important," Nvidia CEO Jen-Hsun Huang told CNET News in May. Nvidia earlier this year said it would back away from pushing Tegra for mainstream smartphones and tablets. Those devices yielded mixed results, and rival processor maker Qualcomm has quickly supplanted Nvidia as the chipmaker of choice for many tablets. Its chips were an early favorite of vendors, powering high-profile devices such as the Microsoft Surface RT and the Nexus 7, resulting in sky-high projections for the growth rate of the Tegra line. Nvidia's willingness to showcase the K1 processor in its own device comes at a time when it has lost its traction among tablet makers. ![]() People continue to buy its graphics chips in large numbers, but that may not always be the case as the PC market slows and as rivals such as Intel and AMD improve the graphics they combine with their processors. The family of devices marks an effort by Nvidia, known for its graphics chips, to expand beyond its traditional markets and interact directly with consumers. The device joins Nvidia's $200 Shield handheld gaming system from last year, now renamed the Shield Portable. "I think they're on the right track," said Ben Bajarin, an analyst with Creative Strategies, "but overall tablet sales - it's going to be a rough year." It's unclear whether the gaming aspect of the Shield Tablet is enough to set it apart from the throngs of me-too products. The new device falls in between two categories, lacking the brand awareness of premium tablets such as the Apple iPad or even Samsung Galaxy Tab S or the wallet-friendly price of Google's Nexus 7. Nvidia's push into the tablet business comes at a time when the market's growth has slowed dramatically. The Nvidia Shield Tablet from all its angles (pictures)īut there's reason to be skeptical. ![]()
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