This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Apple iPad: After the Dust Settles

Stocks in this article: AAPL HPQ AMZN PC

CUPERTINO, Calif. ( TheStreet) -- Has all the hype pushed the iPad bar too high or will Apple (AAPL - Get Report) again work its magic, turning its new tablet into an object of desire?

After all the brouhaha, the dust is finally settling on this past weekend's headline-hogging iPad launch. Wall Street is now eager to see whether the iPad will join the iPhone in the pantheon of lasting, hot gadgets.

iPad

The iPad, however, is a different animal than the iconic smartphone. Whereas cellphones were de rigeur when the iPhone made its debut in 2007, the iPad is a move into uncharted waters. Previous tablets from the likes of Hewlett-Packard (HPQ) have hardly set the world on fire, although Apple is confident of creating a new technology fiefdom somewhere between iPhones and Macs.

Ultimately, the iPad's success will depend on the tech bellwether's ability to lure software makers and partners onto its new toy.

"Once normalcy returns, it will be up to software developers and content creators to turn the iPad into a cultural phenomenon, much like the iPhone that preceded it," wrote Charlie Wolf, an analyst at Needham & Company, in a note released on Monday. "On this score, the early returns are already encouraging."

After the Apple iPad Hype




More than a million applications have been downloaded to iPads from Apple's App Store, and developers are already scrambling to build applications for the new tablet.

The iPad works with most of the 150,000 existing iPhone and iPod Touch applications, although a new breed of software is starting to emerge. There are over a thousand iPad-specific apps already available in the App Store. These include a downloadable Wall Street Journal, E*TRADE Mobile Pro, and a Marvel Comics application.

Still, there are big gaps in the iPad story, most notably its lack of support for Adobe's (ADBE) popular Flash video technology.

" This will have a limiting effect on the iPad's sales potential," warned Francis Sideco, principal analyst at iSuppli, in a recent note. "Absent Flash, iPad users will not be able to enjoy Flash-driven content, which is used in a considerable amount of Web sites, as well as Web-based games and videos."

The analyst firm explains that with a lot of Flash content available for free, Apple is not so-subtly pushing users towards paid content. The company is likely to stick with this non-Flash strategy until iPad sales are impacted, according to iSuppli.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,164.95 -251.90 -1.45%
S&P 500 1,994.99 -26.26 -1.30%
NASDAQ 4,635.24 -48.1670 -1.03%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs