Apple Inc. (AAPL): Does a Slowdown In This Country Matter?

When it comes to the tablet market, some companies, such as Apple Inc. (NASDAQ:AAPL), are having more success than others. Along the same lines, some countries are home to consumers that have fallen in love with these devices while others are falling further behind.

A recent Digitimes report took a closer look at the state of the market in Taiwan, showing that the country may not be in position to take advantage of the worldwide growth.

Here is an excerpt, touching on where this country stands when compared to the global market:

“Although global tablet demand is expected to grow around 60-70% from 130-140 million units in 2012 to 230-240 million in 2013, surpassing notebook shipments, Taiwan may not be able to share the opportunity and is estimated to only grow 24.5% on year to around 120 million units in 2013, according to the Taiwan Market Intelligence & Consulting Institute (MIC).”

On one side of things, this shows that Taiwan has fallen behind the rest of the world a bit when it comes to tablet demand. That being said, things cannot be all that bad when year over year growth is more than 24 percent.

Does this mean anything to Apple Inc. (NASDAQ:AAPL) right now? Could it impact the company in the future?

Here is a piece from the article, showing where Apple, among its competitors, fits into the equation:

“In particular, although Taiwan-based ODMs have orders from large brands such as Apple, Amazon, Asustek Computer, and Microsoft, profits have been relatively low due to strong competition. For example, at Computex 2013, Asustek introduced the 7-inch Memo Pad HD7 with a price of US$129/unit. If vendors are engaging in price competition when selling end products, it is unlikely ODM firms are seeing big profits.”

This speaks more of the production of tablets in Taiwan, with ODMs in this country hoping they don’t lose their dominance in the IT manufacturing industry anytime in the near future.

Apple Inc. (NASDAQ:AAPL) is probably not worried about tablet sales in Taiwan. Instead, the company is more concerned with production of its upcoming iPad and iPad mini models.

This is an interesting piece, showing that despite global shipments on the rise that not every country is experiencing the same growth.

Apple Inc. (NASDAQ:AAPL) always has a beat on the market, so it is likely to know exactly what is going on here.

What are your thoughts on this story? Do you think it will impact Apple? Share your opinion in the comment section below.