After an extended hiatus of over two years, Apple has finally released an update for its entry-level iPad this month. However, to our surprise, the new iPad is equipped with a lesser chip than anticipated and lacks Apple Intelligence. A fresh analysis from CIRP sheds light on this situation.
iPad line refreshes, but one model misses out on Apple Intelligence
Over the past year, Apple’s iPad range has seen significant upgrades.
- The introduction of the new M4 iPad Pro boasts an impressive display, a remarkable Magic Keyboard, and additional features.
- The revamped iPad mini now comes with an A17 Pro chip, enabling Apple Intelligence and supporting the Apple Pencil Pro.
- We also witnessed not one, but two updates to the iPad Air, including the introduction of a 13-inch variant.
Unfortunately, not every model has shared the same fortune.
The standard iPad received a rather disappointing specification upgrade after a lengthy wait. Moreover, it became the first product within an AI-powered ecosystem that does not incorporate Apple Intelligence.
So, what is the reasoning behind this?
A recent report from CIRP on iPad sales trends over the years provides a compelling explanation.
Sales trends necessitated a cautious approach for the base iPad
Have a look at this CIRP chart depicting five years of iPad sales:
The left section of the chart illustrates why Apple had to restrain the development of its latest iPad.
The base iPad has consistently increased its market share at the expense of Apple’s other models.
The budget iPad’s contribution to overall sales went from:
- 15% in 2021
- to 21% in 2022
- 30% in 2023
- and reached 38% last year.
While increased sales across the board is positive, Apple likely prefers customers to invest in higher-priced models.
However, it appears that a growing number of consumers believe that the base iPad suffices for their needs.
In response, Apple adopted a different strategy.
It delayed the update for the base iPad longer than usual. When it finally arrived, the changes were minimal, and notably, it did not enable support for Apple Intelligence.
Now, it makes complete sense why they took this approach.
What are your thoughts on the iPad sales data? Feel free to share them in the comments.
