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Archive for April, 2011

Archos dominates tablet sales at Hong Kong Golden Computer Market

Posted by Charbax on 21st April 2011

Archos surely seems to dominate in terms of nearly every store in Hong Kong that sells tablets have a range of Archos Gen8 tablets for sale right there at prime shelf space, while very few have the iPad or Samsung Galaxy Tab for sale. It seems consumers and gadget retailers in Hong Kong Electronics Market regard Archos as great value, even as there might be cheaper “Archos Home Tablet” or “Arnova” grade tablets also being sold there, consumers who want high-end experience for low to mid-range pricing, still overwhelmingly choose the Archos tablets.

ABI Research recently speculated that Archos as being the third largest tablet maker worldwide in 2010. If Apple still has 85% in Q1 2011 and with 4.69 million iPads sold, that means Archos would have had to only sell 110 thousand tablets worldwide between January-March 2011 to remain at that 2% 2010 ABI Research speculative worldwide tablet market share.

My theory, Archos probably has more than 6% global tablet market share today

Archos officially released their Q1 earnings at 39€ Million ($56.7 Million) (up 158% from a year before), if an average Archos tablet is sold at $150 to retailers, that would mean Archos may have sold 378 thousand tablets between January and March 2011, that’s thus probably more than 6% worldwide tablet market share for Archos if Apple has 85%.

One things for certain, while the global market share is one thing, another is regional tablet market share, Archos was shown to have over 22% tablet marketshare in November-December 2010 sales for tablets in France, and may thus also have much higher than 6% tablet marketshare in markets like Germany, England, Hong Kong and even the USA.

Another thing to consider, Archos can only have as much marketshare as it can afford to build for.

If you consider Apple may have about 80% tablet market share in Q1 2011, and Archos let’s say 8% in that same period, here are some of the differences between those two companies:

  • Archos has less than 150 employees mostly based in France, $56.7 Million Q1 2011 revenues, Market Capitalisation at $215,34 Million, probably has less than $20 Million in the bank to use for production enhancements, sales channels increase, marketing, manufacturing capacity increase, and R&D investments.
  • Apple has 49,400 employees (329x more than Archos) mostly based in the USA, $24.6 Billion Q1 2011 revenues (433x more than Archos), Market Capitalisation at $223,77 Billion (1039x more than Archos), probably has over $40 Billion in the bank to use for production enhancements (2000x more than Archos), sales channels increase, marketing, manufacturing capacity increase, and R&D investments.

This is why Archos has started today issuing a capital increase of upwards $43 Million, a call to their investors to invest more money in new Archos stock. If investors answer the call (by May 4th), Archos may triple their bank account size, thus having more money to spend on increasing production capacity, smoothing sales channels, optimizing software/hardware R&D efficiency, and may gear up for trying to reach upwards 24% global tablet marketshare by the end of the year.

Considering the many new entrants to the tablet market, including major ones like Asus, Acer, Dell, Toshiba, Lenovo, etc, it might be hard for a small company like Archos to reach 24% marketshare in such a rapidly growing market. But who knows, in my opinion, it’s mostly a matter of cash, investments and being able to provide the best value. While Archos may triple their sales having 3x more cash in the bank for tripling production capacity (considering they can easily sell everything that they make), that does not mean they would triple their marketshare if the tablet market at the same time more than doubles in size. They might go from 8% to 12%, something like that. And if the tablet market triples in size they could remain at 8% in a 3x larger market.

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Arnova 10 capacitive RK2918 to be released in May

Posted by Charbax on 14th April 2011

Here’s the Arnova 10 with capacitive touch screen and the RK2918 ARM Cortex-A8 processor. At around $229 MSRP it could possibly become one of the best value 10.1″ ARM Cortex-A8 capacitive tablets on the market. It’s thin, uses most of the nice design features of the Archos 101 Internet Tablet released in October 2010, but removes the kick-stand (to lower cost), replaces some of the metallic design features with plastics (to lower cost), removes HDMI output (I need to let them confirm this, perhaps that was just removed on the prototype). This device uses the new 1.2Ghz Rockchip processor, with 1080p video codecs support (possibly all codecs at up to over 30mbitps high profile playback), new better graphics performance, but most importantly, this awesome 10.1″ tablet may be sold around $229/229€ at retail MSRP (with capacitive and rk2918), and there is a good chance Rockchip should be getting access to the Honeycomb source code soon (comon Google, give it to them sooner rather than later! (I have no idea if Rockchip has Honeycomb yet or not, I will try to interview Rockchip again about Honeycomb at China Sourcing Fair tomorrow)).

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Archos 7c Home Tablet, RK2918 Capacitive

Posted by Charbax on 13th April 2011

Welcome to Archos Shenzhen offices, Sandy Chen is Archos OEM sales director, she introduces the new Archos 7c Home Tablet, an updated Archos 7 Home Tablet with capacitive screen and RK2918 ARM Cortex-A8 performance chip inside.

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Archos at the Shenzhen Electronics Fair

Posted by Charbax on 13th April 2011

Archos Technology (Shenzhen) Co Ltd has a big booth in the middle of the Shenzhen Electronics Fair, there is a lot of interest for Archos and Arnova products in the Chinese market and developing countries. They have of course invited me to their Shenzhen offices tomorrow where I will try to film some awesome behind the scenes videos for you showing how Archos makes things happen here in Shenzhen, I’ll try to film at their factories if possible.

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