ViewSonic: Retreat From 'Chaotic' Tablet Market Good News For Partners


ViewSonic is confident its withdrawal from the consumer tablet market and new focus on building tablets specifically aimed at vertical markets is a move that will benefits its partners, arming them with differentiated products that can help them stay competitive in today's low-profit and "chaotic" tablet market.

According to Michael Holstein, ViewSonic's vice president of business development, solution providers are struggling to make a profit selling tablets in the ultra-competitive and over-crowded consumer market, finding little to no opportunity for the sale of value-added services.

"As you know, and as we see every day, the tablet market is becoming more and more competitive and also somewhat chaotic," Holstein said. "The reason I say that is, you know, you start to see suppliers or your technology partners starting to compete in the marketplace, and you got some very interesting and aggressive business models in the marketplace, as well."

 

[Related: Review: ViewSonic ViewPad 10pi]

"I think in the channel, it's been very difficult for channel partners to have a profitable business, as well," Holstein continued. "ViewSonic has always been focused on channels and bringing products and solutions to our channel partners that provide good value to our end customers, as well as profit opportunities to our partners."

Rick Jordan, director of mobility sales and strategic alliances at Tenet Computer Group, a Toronto, Ontario-based solution provider and ViewSonic partner, agreed that the consumer tablet market has become flooded with options, making it hard for any one vendor or product to really stand out.

"[The tablet market] is a very confusing state right now because there's just so much variety, and so many operating systems," Jordan said. "So I think if they [ViewSonic] are focusing on a vertical and they do it right, and they have marketing, and people are adapting to it ... I think it’s a good idea."

The one tablet that does stand out is Apple's iPad, which captured a whopping 70 percent of the global tablet market in the second quarter and has shown little sign of its dominance waning anytime soon.

"To tell you the truth, for them [ViewSonic] to focus on a consumer market, I mean, iPad really owns that market," Jordan said.

NEXT: ViewSonic Tablets, Displays Get A Refresh