Apple's control over the iPad's hardware and software gives it "design efficiencies" other tablet manufacturers can't match, says Wayne Lam, an analyst at iSuppli.

“These efficiencies become obvious in areas like the memory and the battery, where Apple maintains advantages in cost, space savings and performance compared with every competitor in the business.”

Other tablet makers employ operating systems from third-party firms—such as Google Inc., which provides the Android software used in most competitive products on the market today. Many of these tablet makers also outsource the blueprints of their products to third parties, employing reference designs and design services from contract manufacturers.

This contrasts with the model employed by Apple, which uses its own operating system and maintains tight control of its design, components and contract manufacturers.

044443 applelcd
Lam argues that comparing the amount of RAM between the iPad and other manufacturers misses a key point: because Apple writes the software specifically for hardware they have custom built, it doesn't need as much horsepower as competing tablets.

In the current-generation iPad 2, the density of synchronous dynamic random access memory (SDRAM) is 512 megabytes—half that of the 1 gigabtye used in competitive designs... Likewise, the original iPad contained half as much SDRAM as comparable competitive devices with single-core applications processors.

“The iPad’s efficient memory usage stems from the fundamental difference in the architecture of the operating system,” Lam said. “Apple’s iOS handles multitasking differently than other tablet operating systems, allowing it to reduce the amount of memory required to support the microprocessor.”

It also helps that Apple has the cash to secure favorable terms from suppliers, like in 2010 when it spent $3.9 billion on LCD panels, most likely for the iPad.

Apple currently has the second highest market capitalization in the world, second only to ExxonMobil. Like XOM, Apple has grown its profits by controlling the entire pipeline, from conception to delivery.

ExxonMobil handles exploration, drilling, pumping, refining, and delivery of petroleum products, and captures profits at every step. ExxonMobil eliminates inefficiencies in the market by having one company handle everything instead of having four different companies combining forces to deliver a product -- like Google and the Android hardware manufacturers do.

Apple designs the software (iOS), the hardware (A4 and A5 chips), controls the sales channel (Apple Retail and Online Stores), and decides the fate of how buyers use the iPad via the App Store. The company streamlines pricing and the experience to such a degree that no other company can even come close.

Top Rated Comments

nuckinfutz Avatar
181 months ago
The iPad competitors are way behind the iPad and they know this which is why the trump features that are really superfluous to what consumers need.

i.e the Playbook bragging about Flash technology. Wow...how cutting edge

Or the other tablet makers waxing on about USB ports, HDMI ports and other portage. Wow ..so it's a Netbook missing a keyboard.

If you're a company that thinks you're going to be Apple with a reference design hardware running run of the mill ARM chips and the same Android OS that your competitors offer then talking about USB or HDMI ports and how many megagigapixel your camera offers is about all you can do.
Score: 11 Votes (Like | Disagree)
xraydoc Avatar
181 months ago
Just like the Mac since forever.
Score: 7 Votes (Like | Disagree)
Soliber Avatar
181 months ago
1) First to market. (Well first one to convince people they actually need a tablet)
2) Price competitive with competition.

The two reasons the iPad and iPhone are so wildly successful while Macs are falling flat on their faces. Mostly the second.
Macs are falling flat on their faces?
The installed base is growing, year after year; where have you been?
Score: 6 Votes (Like | Disagree)
Mak47 Avatar
181 months ago
The down-side to Apple's tight "design efficiencies" is that it leaves little flexibility "wiggle-room" for iOS developers to innovate. :rolleyes:

And Apple is VERY MUCH aware of this. It's VERY MUCH intentional.
It's the main reason they are so iron-fisted with the apps they allow in their walled-garden.
It's also why they don't allow non-apple compiled code to be submitted to the app store, or apps that execute non-native code (eg Java & Flash).

You're absolutely right, it's completely intentional. The main reason for such tight control is that Apple understands the idiosyncrasies of the average consumer.

The average consumer doesn't care about code, tech specs or anything else that goes on under the hood of the device. They just want it to work--all the time. If an app is written poorly, or in a format that doesn't play well with the OS or the hardware, the consumer doesn't blame the app developer, they blame the device. If an app causes major battery drain, they don't delete it and move on with life, they assume that Apple is just lying about battery life and may choose a different device the next time.

If the ecosystem is so clogged with varying code languages and unpredictably performing apps that it becomes overly complex to use, consumers don't blame themselves for not understanding how it all works. They blame the device and assume it is broken.

The endless accusation that Apple only does things the way it does to ensure that consumers have to buy from them is getting tired. To date, Apple has paid out just over $2 Billion to iOS developers. That means Apple has made just under $1 Billion in App Store revenue. (they keep 30%) When you factor in the cost of labor to keep it all running, the cost of hardware, maintenance, real estate to house it all etc...That $1 Billion is pretty much wiped out. It would certainly be easier for them to just let an open source App Store open up and walk away from it.

But that doesn't happen, because if it did, the end user experience would be crap and iOS devices wouldn't have the reputation for quality that they currently enjoy.
Score: 6 Votes (Like | Disagree)
*LTD* Avatar
181 months ago
Vertical business model. When it's done right, it is unbeatable. Apple does it right.

Thread title is too limited. It should read:

Apple's control over their products gives it "design efficiencies" competitors can't match.

Apple hardware + Apple software. Let's call a spade a spade and give credit to the totality of their platform.
Score: 6 Votes (Like | Disagree)
flipperfeet Avatar
181 months ago
Not a monopoly

But, monopolies are bad for the consumer!

I am sure you are a very bright individual, but your understanding of a monopoly is incomplete. :o

If you are thinking there is a monopoly because only Apple can manufacture the iPad, that is no different from only Motorola being able to manufacture the Xoom. If you are thinking they have a monopoly because only Apple can authorize applications to run on iOS, that is no different than only Sony being able to authorize applications to run on PlayStation, or MS certifying an App is Windows ME compatible.

This is not a monopoly situation and the consumer has at least a dozen manufacturers of tablets, and no less than three operating systems to choose from.

Apple currently enjoys no monopolies, right down to having Steve Jobs, as he serves on the boards of other corporations and organization simultaneously. ;)
Score: 5 Votes (Like | Disagree)

Popular Stories

iPadOS 26 App Windowing

Apple Explains Why iPads Don't Just Run macOS

Friday June 13, 2025 7:46 am PDT by
iPadOS 26 allows iPads to function much more like Macs, with a new app windowing system, a swipe-down menu bar at the top of the screen, and more. However, Apple has stopped short of allowing iPads to run macOS, and it has now explained why. In an interview this week with Swiss tech journalist Rafael Zeier, Apple's software engineering chief Craig Federighi said that iPadOS 26's new Mac-like ...
iphone 16 pro models 1

17 Reasons to Wait for the iPhone 17

Thursday June 12, 2025 8:58 am PDT by
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models simultaneously, which is why we often get rumored features months ahead of launch. The iPhone 17 series is no different, and we already have a good idea of what to expect from Apple's 2025 smartphone lineup. If you skipped the iPhone...
iOS 26 Screens

Here Are All the iOS 26 Features That Require iPhone 15 Pro or Newer

Thursday June 12, 2025 4:53 am PDT by
With iOS 26, Apple has introduced some major changes to the iPhone experience, headlined by the new Liquid Glass redesign that's available across all compatible devices. However, several of the update's features are exclusive to iPhone 15 Pro and iPhone 16 models, since they rely on Apple Intelligence. The following features are powered by on-device large language models and machine...
apple beta 26 lineup

Apple 'Sherlocked' These Apps at WWDC 2025

Wednesday June 11, 2025 7:14 am PDT by
Apple at WWDC previewed a bunch of new features coming in its updated operating systems, but certain changes will have been met with dismay by third-party developers who already offer apps with equivalent or similar features. In other words, their product has been "sherlocked" by Apple. When Apple creates an app or a feature that has functionality found in a third-party app, it is referred...
iOS 26 on Three iPhones

Hate iOS 26's Liquid Glass Design? Here's How to Tone It Down

Wednesday June 11, 2025 4:22 pm PDT by
iOS 26 features a whole new design material that Apple calls Liquid Glass, with a focus on transparency that lets the content on your display shine through the controls. If you're not a fan of the look, or are having trouble with readability, there is a step that you can take to make things more opaque without entirely losing out on the new look. Apple has multiple Accessibility options that ...
Logitech Logo Feature

Logitech Announces Two New Accessories for WWDC

Friday June 13, 2025 7:22 am PDT by
Alongside WWDC this week, Logitech announced notable new accessories for the iPad and Apple Vision Pro. The Logitech Muse is a spatially-tracked stylus developed for use with the Apple Vision Pro. Introduced during the WWDC 2025 keynote address, Muse is intended to support the next generation of spatial computing workflows enabled by visionOS 26. The device incorporates six degrees of...
maxresdefault

Everything Apple Announced at WWDC 2025 in 10 Minutes

Monday June 9, 2025 5:21 pm PDT by
At today's WWDC 2025 keynote event, Apple unveiled a new design that will inform the next decade of iOS, iPadOS, and macOS development, so needless to say, it was a busy day. Apple also unveiled a ton of new features for the iPhone, an overhauled Spotlight interface for the Mac, and a ton of updates that make the iPad more like a Mac than ever before. Subscribe to the MacRumors YouTube channel ...
CarPlay Liquid Glass Dark

Apple to Let iPhone Users Watch Videos on CarPlay Screen While Parked

Thursday June 12, 2025 6:16 am PDT by
Apple this week announced that iPhone users will soon be able to watch videos right on the CarPlay screen in supported vehicles. iPhone users will be able to wirelessly stream videos to the CarPlay screen using AirPlay, according to Apple. For safety reasons, video playback will only be available when the vehicle is parked, to prevent distracted driving. The connected iPhone will be able to...