New iPads Don't Materialise After All, Price Drops Suggest Why

So no new iPads arrived today, despite the rumour mill pumping out stories of updated iPad Pro models and an all new screen size. In fact one new iPad arrived today, but rather than being a refresh or a new range topper it's a new entry level aimed at persuading older iPad owners to upgrade. It's prime selling point is that it's quite cheap for an iPad.

What happened elsewhere was a substantial price drop on the iPad Pros we already had, some boosted storage configurations (which also made their way to the iPhone SE) and a lot of tumble weed. 

iPad sales have been slumping for quarter after quarter and whilst a price drop should help overall sales, it's likely to result in a lowered Average Selling Price and lower profits for the iPad reporting line. 

On the back of a substantial iPad advertising campaign it really does suggest that Apple is struggling to shift iPad stock. It raises the question of whether Apple has indulged in some channel stuffing in order to boost numbers in previous quarters. 

And more importantly it suggests that the difference between iPad Pro sales and expectations are so great that Apple is being forced to keep an eighteen month old product in its line up to clear the decks. 

There are new iPads coming, of that I have no doubt. Hopefully the delay in releasing something new is because Apple has gone back to the drawing board on what was probably planned to be an incremental update. 


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