Bachman believes that the iPad will have increasing uptake in corporations, not just among consumers, he writes, citing in part a recent InformationWeek survey that showed support for tablets on some level spreading throughout corporate IT shops:
As part of our views on the tablet market, we think corporate adoption will help, regardless of the ultimate purchaser of the device. More specifically, we think both end consumers will buy tablets for work purposes, and corporations will increasingly buy tablets, and thereby stretch PC replacement cycles.As a consequence, Bachman sees Apple’s iPad increasingly boosting its share not only of the traditional “PC market,” but also Apple’s shares of the market more broadly defined, including tablets as a computing device:
We believe Apple will continue to gain share in the PC market, and we assume Apple�s share increases by about 100 bp from 5% in CY2011 to approximately 6% in CY2013. Importantly, if we look at iPads, we note that Apple�s share has also increased relative all product categories. The iPad�s share relative to the notebook market has increased from 7% in CY2010 to 19% in CY2011, and has increased from 4% in CY2010 to 11% in CY2011 relative to the total PC market. We believe this trend will continue, and we assume iPad share increases to 33% of the notebook market and 20% of total PC market in CY2013.Bachman’s estimate for the iPad this quarter goes to 11 million from 10 million. ! That bri ngs his estimate for the fiscal year ending in September to 54.1 million units, up from 53.1 million previously.
For the iPhone, given greater geographic distribution and carrier partnerships, Bachman raised his estimate for the current quarter to 30 million units from 29 million. For the full year, he raised his estimate to 124 million units from 120 million.
Bachman’s financial estimate for this quarter goes to $35.5 billion in revenue and $9.61 per share in profit, up from $34.3 billion and $9.16 a share. For the full year, he models $156.3 billion and $43.50, up from $153.3 billion and $42.33.