New iPads or Not? iPad Revenue Predicted to Sharply Drop in Q4 2023

Apple's quarterly iPad revenue will significantly decline in the fourth quarter of 2023 on a year-over-year basis, according to estimated figures shared today by Erik Woodring, an analyst at investment firm Morgan Stanley.

iPad mini and Air Feature 2
Morgan Stanley estimates that Apple will report iPad revenue of $7.2 billion in the fourth quarter of 2023, which would be a decline of approximately 23% compared to the $9.4 billion that Apple reported for the segment in the year-ago quarter.

The year-ago quarter will be a tough comparison for iPad revenue, according to Morgan Stanley, as Apple announced updated iPad Pro models and the 10th-generation iPad last October. Over the weekend, two reports indicated that Apple plans to announce updated iPad Air, iPad mini, and entry-level iPad models this week, although some credible sources like Bloomberg's Mark Gurman have cast doubt on this rumor.

It's unclear if Morgan Stanley expects new iPads to launch this month, but given the firm expects iPad revenue to significantly decline this quarter, the firm is at least not expecting any iPad updates that are major enough for revenue growth. Only minor changes are expected for the next iPad Air, iPad mini, and entry-level iPad whenever the devices are released, including an M2 chip for the iPad Air and an A16 Bionic chip for the iPad mini.

There are also rumors of a third-generation Apple Pencil with interchangeable magnetic tips for drawing, technical drawing, and digital painting.

Apple has yet to release any new iPads this year. If that trend continues for the remainder of 2023, it would be the first calendar year with no new iPads released in the device's 13-year history. The two reports expecting new iPad models this week said Apple's announcement would likely be on Tuesday, so we'll see what happens tomorrow.

Top Rated Comments

Mr. Dee Avatar
8 months ago
Because the iPad is a consumption device primarily that people keep for a very long time even when they stop getting updates. Apple sees this.
Score: 26 Votes (Like | Disagree)
Shirasaki Avatar
8 months ago
Maybe make iPadOS better for various professionals rather than limited to creativity? Or make it work like macOS? iPad sitting in Between iPhone and Mac, not quite Mac but bulkier than iPhone while doing 90% of things iPhone can do, makes it a harder sale.
Score: 20 Votes (Like | Disagree)
Spaceboi Scaphandre Avatar
8 months ago
Even if we had new iPads their revenue would drop anyhow. Higher end iPads have become redundant outside of use for artists and most just buy an iPad and hold onto it for five years or longer. Not to mention the fact iPadOS updates are all just sloppy seconds of the previous iOS update every year, so why even get an iPad anymore when Apple's treating owners like second class citizens versus the iPhone and Mac?

Guts of a Mac, but does a lot less than a Mac, and is more expensive than a Mac. At that point, JUST BUY A MAC. And many agree as the Mac has been making more revenue than the iPad.

Attachment Image

Attachment Image
Score: 16 Votes (Like | Disagree)
hch720 Avatar
8 months ago
Give me an iPad Pro with dynamic island and action button!!!!
Score: 11 Votes (Like | Disagree)
jz0309 Avatar
8 months ago
It is still the hangover from the pandemic when everyone got new computing devices.
Just like MacBooks, iPads last a long time and upgrade cycles are getting longer…
Score: 11 Votes (Like | Disagree)
ipedro Avatar
8 months ago
People don’t update their iPads every year or two. They keep them for 5 or more years (or 6 months if you have kids).

This isn’t a reflection on the interest of the iPad. It’s a positive indication of its longevity. Apple should treat it like it does its Mac line.
Score: 11 Votes (Like | Disagree)

Popular Stories

iOS 17

Troubling iOS 17.5 Bug Reportedly Resurfacing Old Deleted Photos

Wednesday May 15, 2024 5:29 am PDT by
There are concerning reports on Reddit that Apple's latest iOS 17.5 update has introduced a bug that causes old photos that were deleted – in some cases years ago – to reappear in users' photo libraries. After updating their iPhone, one user said they were shocked to find old NSFW photos that they deleted in 2021 suddenly showing up in photos marked as recently uploaded to iCloud. Other...
General Apps Messages

iMessage Down for Some Users [Update: Service Restored]

Thursday May 16, 2024 3:00 pm PDT by
The iMessage service that Apple users to send messages to one another appears to be down for some users, and messages are failing to go out or are taking an extra long time to send. There are numerous reports about the issue on social networks and a spike of outage reports on Down Detector, but Apple's System Status page is not yet reporting an outage. Update: Apple's status page says...
CarPlay Sound Recognition

Apple Previews Three New CarPlay Features Coming With iOS 18

Wednesday May 15, 2024 9:18 am PDT by
Apple today previewed new accessibility features coming with iOS 18 later this year, and this includes some new options for CarPlay. Apple highlighted three new features coming to CarPlay: Voice Control: This feature will allow users to navigate CarPlay and control apps with just their voice. Color Filters: This feature will make the CarPlay interface visually easier to use for...

Hands-On With the New M4 OLED iPad Pro

Wednesday May 15, 2024 10:40 am PDT by
Today is the official launch day of the new iPad Pro models, and these updated tablets mark the biggest feature and design refresh that we've seen for the iPad Pro in several years. We picked up one of the new 13-inch models to check out everything new. Subscribe to the MacRumors YouTube channel for more videos. When it comes to design, Apple is still offering 11-inch and 13-inch size options ...
iphone 15 pro max vs iphone 16 pro max

iPhone 16 Pro Max Looks This Much Bigger Beside iPhone 15 Pro Max

Thursday May 16, 2024 4:51 am PDT by
This year's upcoming iPhone 16 Pro Max is expected to get a boost in overall size from 6.7-inches to 6.9-inches, and a new image gives us a good idea of how the current iPhone 15 Pro Max compares to what could be Apple's largest ever iPhone. The image above, posted on X by ZONEofTECH, shows a dummy model representing the ‌iPhone 16 Pro‌ Max alongside an actual iPhone 15 Pro Max. Dummy...
Delta Hands On Feature

iPhone Emulators on the App Store: Game Boy, N64, PS1, PSP, and More

Thursday May 16, 2024 12:45 pm PDT by
In April, Apple updated its guidelines to allow retro game emulators on the App Store, and several popular emulators have already been released. The emulators released so far allow iPhone users to play games released for older consoles from Nintendo, Sony, SEGA, Atari, and others. A list of some popular emulators available on the App Store so far follows. Released Delta Delta is...