updated 06:35 pm EDT, Mon April 5, 2010
Apple sees some Kindle users jumping ship
A small but sizeable fraction of iPad buyers on launch day were doing so to replace the Amazon Kindle, analyst Gene Munster at Piper Jaffray said today. Based on 448 interviews at Apple stores in New York City and Minneapolis, about 13 percent of iPad buyers already own a Kindle and just over half of those, or 7.5 percent of the total, were planning to replace Amazon's e-reader with Apple's. Exactly 10 percent had considered getting a Kindle but decided on an iPad instead.
Planned usage habits also hinted that at least some iPad buyers, including those new to e-readers, would be considered lost sales for Amazon. About 38 percent plan to read books; most, 74 percent, plan to view the web. E-mail and video are nearly even at 32 and 26 percent, but gaming and music were only 18 and 8 percent of the mix.
Most of those gathered were logically existing Apple fans, with 74 percent of these Mac users and 66 percent already using an iPhone. Only four percent expected to stop using their computers and one percent their iPhones. Buyers were slightly skewed towards the 16GB model, at 39 percent, but larger capacities still had sway as 32 percent wanted a 32GB version and 28 percent were opting for the 64GB version.
Amazon has a certain degree of security with the Kindle as the six-inch model's $259 price keeps it insulated from the nearly twice as expensive $499 Apple tablet. However, the addition of a color touchscreen, much faster performance and a full-featured app platform has often been considered a draw, particularly for shoppers that might want to buy an iPad in place of both a netbook and a dedicated e-reader.