Apple sold 63.4 million iPads in the calendar year 2014, which was a decline of roughly 15% from 74.2 million in 2013. It appears the company may face another year of declining iPad unit sales. KGI securities analysts Ming-Chi Kuo projects that iPad sales could drop another 30% this year compared to 2014, meaning this year would be the greatest drop in iPad sales on an annual basis the company has experienced yet.
The main reason highlighted for the downward trend of iPad sales is the wide adoption of phablets, such as the iPhone 6. These phone with large screens have cannibalized the tablet market. Consumers are also slower to upgrade their tablet than they are their phone, where sales growth is pushed by the hype surrounding new releases. Even with multiple new iPad versions being released soon, including a larger screen model, it might not be enough.