Asymco analyst Horace Dediu has published a report that the iPad 2 Smart Covers will generate over $1 billion in revenue for Apple in 2011.
Dediu estimates that 60% of the 36 million iPad 2 tablets, at this time an estimate, to be sold in 2011 will also be purchased with a Smart Cover.
With an average Smart Cover price of $48, which is based on estimated sales of 70% polyurethane and 30% leather, and sales of 21.6 million Smart Covers, the final figure is $1.04 billion.
Additionally, Dediu believes that Smart Covers could add $777 million to Apple’s gross margins. This is based on an estimated $12 for cost of production.
“It will be interesting to compare the Smart Cover business with competitor tablet businesses,”
**Want the BEST new iPad protection? Order your invisibleSHIELD by ZAGG, the strongest protection for your new iPad backed by a 30 day money back guarantee, lifetime replacement warranty, and FREE shipping! Use coupon code 'iphoneinca' for 20% off your purchase! Order today!**
Posted under: Accessories