Apple has unveiled a new iPad, with a number of expected updates in the hardware, such as a faster processor and two cameras. More interesting are the simultaneous updates of iTunes and iOS 4.3, which make the iPad even better suited for OTT services at home. This is likely to help the iPad 2 again break sales records, both in unit sales and revenues from iTunes.
The iPad 2 has the same screen, but it's thinner and lighter than its predecessor. It has a faster processor and a Safari browser with a quicker Javascript engine. The addition of two cameras also makes the use of FaceTime video chats possible. It’s also available now in white, and the difference versus the first model is easily recognizable. So much for the hardware.
The 3G version for Verizon’s CDMA network also expands its potential market, and the Personal Hotspot makes tethering via an iPhone possible too. Operators will need to support this, but this is likely in their interest given the trend towards per-GB billing. At the same time, the number of apps continues to grow. Apart from the 350,000 iPhone apps that work on the iPad, there are also 65,000 native apps.
A few other things grab the user’s attention. Apple has added new features to iOS 4.3 and iTunes for when the iPad is docked at home. One of these includes the ability to stream full HD video to the HDMI input of a TV, using an adaptor available for the iPad. At long last, as the component or composite AV cable with coloured tips is so very 20th century.
Also interesting is Home Sharing, allowing synchronisation with the iTunes collection on a PC or Mac. Using the Wi-Fi connection on the iPad, the user can search through his iTunes library on a computer and stream music and videos to the device. The iPad’s storage capacity is then no longer a limitation, as its capacity is just as large as the hard disk on a computer, putting the user into terabyte territory. The AirPlay function for Apple TV boxes is also improved, although Home Sharing offers more of an alternative.
Home Sharing also works for films and TV series added via apps to the iTunes collection. According to a report from Bloomberg, citing sources familiar with the matter, Apple also is negotiating with major content producers on a subscription service for iTunes.
The recent policy changes at iTunes mean Apple keeps 30 percent of revenues from all media sales. This hasn’t stopped media companies from offering their content. What Apple offers is a way to find music and other content in one paid service, without the need to register or log-in again at a competing paid service. Consumers appear ready to pay for that convenience. Apple claims it has already paid out over USD 2 billion to app developers.
At the iPad 2 launch, Steve Jobs said other manufacturers are doing their best to join the game, but the iPad 2 will send the copycats back to the drawing board. It may sound arrogant, but there is a grain of truth in that. The company has sold around 15 million iPads since its launch in April 2010. The iPad 2 will far surpass that, with analysts estimating sales of up to 30 million in 2011.
