Wall Street Bullish on Apple iPad

Analysts have made it clear they expect Apple's iPad to be another hit. Expecting sales of between 1-5 million in the first year, investors are looking towards iPad software development to further drive sales in the future.

Similar to the iPhone launch in 2007, initial reactions from the gadget watchers has been mixed. In retrospect, the iPhone exceeded everyone's expectations and revolutionized the smartphone market.

Although some Wall Street analysts predicted cannibalization within Apple's product line, they acknowledge that iPad sales are likely to ramp up slowly. Apple is in the process of defining an entirely new product line and this takes time.

Early adopters will purchase the device first, with new iterations and software driving future sales. Suppliers have indicated that Apple is ready to ship 10 million units within the first two years of launch.

It's likely that similar devices will appear on the market, however Apple maintains its edge with content. The iTunes Store, iBookstore, and 140,000 App Store applications ready for action on the iPad mean that Apple has hit the ground running. Familiarity with multi-touch among consumers will continue to spread.

Firms have widely recommended a buy rating for Apple shares (AAPL), currently trading at $200. Price targets for AAPL range from $240 to $280 per share.

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