I Am New Member.

In: Business and Management

Submitted By vumai
Words 1476
Pages 6
Chapter 3 Information Systems, Organizations, and Strategy

103

I N T E R A C T I V E S E S S I O N : T E C H N O LO GY
IS THE IPAD A DISRUPTIVE TECHNOLOGY?
Tablet computers have come and gone several times before, but the iPad looks like it will be different. It has a gorgeous 10-inch color display, a persistent WiFi Internet connection, potential use of high-speed cellular networks, functionality from over 250,000 applications available on Apple’s App Store, and the ability to deliver video, music, text, social networking applications, and video games. Its entry-level price is just $499. The challenge for Apple is to convince potential users that they need a new, expensive gadget with the functionality that the iPad provides. This is the same challenge faced by the iPhone when it was first announced. As it turned out, the iPhone was a smashing success that decimated the sales of traditional cell phones throughout the world. Will the iPad do likewise as a disruptive technology for the media and content industries? It looks like it is on its way. The iPad has some appeal to mobile business users, but most experts believe it will not supplant laptops or netbooks. It is in the publishing and media industries where its disruptive impact will first be felt. The iPad and similar devices (including the Kindle
Reader) will force many existing media businesses to change their business models significantly. These companies may need to stop investing in their traditional delivery platforms (like newsprint) and increase their investments in the new digital platform. The iPad will spur people to watch TV on the go, rather than their television set at home, and to read their books, newspapers, and magazines online rather than in print.
Publishers are increasingly interested in e-books as a way to revitalize stagnant sales and attract new…...

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