• Financial Times, Wednesday, January 27, 2010 2:50 PM

Despite all the buzz surrounding Apple's device, The Financial Times suggests several reasons to doubt its ultimate success. For one, computer makers have flirted with tablets for decades without sparking mass-market interest. Apple is able to reinvent preexisting markets, you say?

Well, Apple's iPhones are popular and profitable, but they still only accounted for 2% of the billion or so mobile phones sold globally last year. And, even if tablets are the future, electronics manufacturers will need some time to catch up, FT.com notes. "Launching a new product on an unsuspecting market is one thing, but a rush into the same niche swiftly shrinks prices and margins." Meanwhile, FT argues that most consumers are already strapped for cash, and paying a premium for online content is a luxury few can afford.

Read the whole story at Financial Times »