Apple to See China Boom Thanks to New iPad
NEW YORK (TheStreet) -- Apple's(AAPL) presence in China is about to get a lot bigger, as the new iPad will go on sale there later this month.
Apple announced that the new iPad will go on sale Friday, July 20. Customers will be available to buy the new iPad online through the Apple Store, select Apple authorized resellers and by reserving it through Apple's retail stores in China.
Apple has placed an increased importance on China, and the iPad will only place a greater weight on the Far East. The California-based technology giant recently settled the naming issue over the iPad in China, reportedly paying $60 million to Proview Technology.
The oft-rumored iPad Mini could help Apple's presence in China as well, as the customers are more cost-conscious, said Channing Smith, portfolio manager at Capital Advisors Growth Fund in a recent interview with TheStreet.
"We believe both the iPhone and iPad will be more successful in the coming years as price points come down. The vast majority of Chinese consumer demand falls in the $100 to $299 price-point range, which presents a challenge for Apple's premium-priced products, especially since they are going toe-to-toe against lower cost local vendors like Huawei and Lenovo," Smith said in an email.
Google's(GOOG) Android-based tablets could be another target, as they are often priced far lower than the iPad.
Now that the iPad is available in China, there is tons of potential for the iPad in China, said one hedge fund analyst who declined to be named in a recent interview with TheStreet. "It
Apple shares were higher in premarket trading, up 0.58% to $617.43.
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--Written by Chris Ciaccia in New York