Apple Inc's iPads Soar High in Education Sector
Apple Inc's iPad continues to be the top tablet choice in the education market. Recent reports say Apple will provide the Los Angeles Unified School District with US$30 million worth of its premium tablets. Each student in the second largest school district in the U.S. will soon have his or her own iPad. Apple targets the project between Los Angeles will be completed by 2014. When the project is complete, it will make the Los Angeles the largest school district to distribute iPads to its students.
Senior Vice President of Apple's Global Marketing Phillip Schiller says almost 10 million units of iPads are ready to use by the education system. Using the US$449 average selling price of the iPad in the second quarter, Apple has gained $4.5 billion from the education market alone.
According to data from IDC, tablet shipments for the education market rose by 103 per cent in 2012. The market share of tablets used for education grew from 19.4 per cent in 2011 and jumped to 35 per cent in 2012.
IDC says this is only the start of new trend in which tablets make up a larger share of devices used in education. The U.S. government's initiative to promote digital technology in schools and the low cost of tablets are key growth drivers to tablet share.
Apple is pursuing all opportunities to push for more iPad sales, especially in the education market. In February, Apple was reportedly a strong contender to close a deal with the Turkish government to supply iPads to 15 million students.
The Turkish prime minister was allegedly spotted a few weeks ago visiting Apple's headquarters in Cupertino to listen to the company's closing pitch. If Apple gets the Turkish government deal, the company is expected to get revenues between US$3 billion to US$4 billion in the course of four years. The figures are initially worth 10.6 million tablets.
However, Apple should not expect too much from this deal since Google and Microsoft are also being considered by the Turkish government.
Should Apple get the deal, analysts say it could be a catalyst for investors of the company to remain positive about Apple's growth and longevity.