When Apple launched the iPad in 2010, tablet PC’s emerged as a revolutionary consumer gadget; by 2011 the tablet market was worth US$35.3 billion (£22.5 billion)[1]. The iPad remains dominant in this market, with other tablets such as BlackBerry PlayBook, Samsung Galaxy Tab, HP Touchpad, and Motorola Xoom entering the market with varying degrees of success. There’s no doubt the tablet has become a sought after consumer product, and many expected them to take the enterprise market by storm and become a valuable business tool…but has this actually happened? And if not, why not?

Tablets remain a ‘third’ device

The timing would seem perfect for tablets. An increasingly mobile workforce requires cutting-edge devices to enable them to both work remotely and productively anywhere, at any time, and to serve the needs of their personal lives. Tablets look well positioned to provide exactly that, and yet usage hasn’t spread as quickly through the business world as it has for consumers. But why?

Like most Londoners, I absolutely can’t wait for the 2012 Olympics, just around the corner from now. I can’t wait for the buzz, the thrill of watching talented athletes competing and setting new records. Aside from the throngs of even more tourists and a couple of weeks of hectic journeys to work, it’s going to be a hugely positive event of which the UK should be very proud.

But it’s not just the athletics that has us hooked. This Olympics, officially the Games of the XXX Olympiad, is consolidating the future of technology. Social media, mobile banking, 3D TV, NFC-enabled phones, live, multi-platform and high definition TV broadcasting, the site of Europe’s largest free Wi-Fi zone[1]* and extended network service, user-generated content and applications… the list goes on; London is setting the standard for a truly mobile and interactive Games.

Mobile technology used in everyday life has become the equal of, and in some cases has surpassed, the mobile technology businesses are giving employees for work purposes. This has brought unprecedented challenges for businesses as employees increasingly access work email and data from personal devices, and take the lead on demanding which technology they are provided with by their employer. The approach businesses take to resolving this issue will significantly influence their IT policies over the coming years.

With consumer smartphone usage growing rapidly, and an equally rapid growth in the number of businesses providing smartphones to their employees, there are many ‘employed consumers’ who now use two smartphones in daily life. Similarity in the form and function of these devices has lead to questions regarding the necessity of carrying both, and as a result there is increasing pressure on company IT departments to either allow employees to use their personal devices for work purposes or provide consumer friendly devices.

The smartphone market has been growing rapidly over the past few years, with smartphone adoption spreading across the population. The youth market is also picking up this trend and the numbers who want or own a smartphone device are growing. So which smartphones are being adopted by future generations and why?

A smartphone for Christmas

The youth market for mobile devices is swiftly rising, and the age at which children acquire their first mobile phone is getting younger and younger. It is estimated that over 90% of 12-15 year olds already have a mobile phone and the number of smartphone acquisitions in this market is also growing [1]. Considering that a large amount of mobile phones acquired by the youth market are being gifted and are often from the medium to high-end price range, it is not surprising that the youth market are picking up the smartphone trend. Also, considering that most of the time it is the end-user that is influencing purchase of the gift, it is interesting to find out what are driving these decisions [1].

NFC technology has the ability to transform smartphones into virtual wallets, where users pay for transactions simply by waving their phone at an appropriate receiver terminal. However, it also has much wider applications, allowing for synchronised content and services across the mobile ecosystem [1]. The reward for owning this relationship in the mobile space is enormous, and as a result everyone, from mobile operators to device manufacturers, is fighting for a share.

The industry message seems clear; mobile payments will be big over the next five years – big news and big profits. The technology has been around in various forms for years and, now that leading names such as Apple, Google and RIM are designing and manufacturing NFC-equipped devices, many commentators predict that mobile payments will skyrocket [2].

However, while this will undoubtedly be a major growth area for the future, such reports seldom address the fact that the journey to full consumer adoption is not without its pitfalls.

Apple is a leading force in the smartphone market because they simplify services and enable people to fit their world in their pocket.

Yesterday, Steve Jobs announced the latest iPhone 4 at WWDC but what struck me was the way he structured his presentation. Jobs focused early on about the success of the App Store for both consumers and developers. There is now 225,000 apps available, 5 billion downloads and Apple has paid out $1 billion dollars to developers. Apple has created a vibrant market place for mobile apps and services with more big brands to launch later this year. That is success unrivalled by anyone.

To cover all this first was smart because Jobs was focusing on the services and the benefits of owning (or developing content for) an iPhone. After all the device features are becoming less important over time whereas services and content is increasingly driving consumer demand in the smartphone (as opposed to the feature phone) market.