iPad shipments to be overtaken by Android tablets later this year

Android tablet shipments will overtake the iPad this year for the first time, as Apple loses mobile market share to its rivals, claims research house IDC.

A growing variety of smaller and cheaper Android tablets from Google to Amazon will catch on this year with more consumers and chip away at Apple's dominance since the first iPad launched in 2010, the analyst said.

iPad and iPhone shipments are expected to keep growing at enviable rates, but arch-rival Samsung Electronics and others have hurt Apple with a combination of savvy marketing, greater variety and rapid technology adoption.

On Thursday, Samsung takes the wraps off the fourth generation of its flagship Galaxy, the smartphone that helped the South Korean giant knock the iPhone off its top ranking for part of last year.

A growing perception that the company co-founded by Steve Jobs may be losing its competitive edge has weighed on its shares, which have lost more than a third of their value since hitting a high in September.

In the latest criticism from Wall Street, Jefferies analyst Peter Misek on Tuesday compared Apple to Blackberry saying the iPhone is now on the defensive against Samsung's devices.

"Historically when handset makers fall out of favour they fall faster/further than expected," Misek said.

Now, IDC claims Apple may begin losing some its lead on tablets as well, though it remains the top seller among manufacturers.

iPad shipments are expected to account for 46 per cent of the tablet market in 2013, down from 51 per cent last year, IDC said. Devices running Android are expected to grow their market share to 49 percent this year from 42 percent last year.

Google's Nexus 7 tablet and Amazon.com Inc's Kindle, which uses its own customization of Android, made major inroads with consumers last year. In November, Apple launched its own foray into smaller-sized tablets with the iPad mini.

"One in every two tablets shipped this quarter was below 8 inches in screen size. And in terms of shipments, we expect smaller tablets to continue growing in 2013 and beyond," said IDC.