Tech Companies Ramp Up Tablet Production as Demand Increases

Signs continue to emerge that technology companies are ramping up production on tablet computers, following a noticeable increase in consumer demand for the new devices. Sharp Corporation SHCAY, based in Japan, is positioning one of its factories to dedicate more than 70% of total output toward the production of liquid-crystal displays (LCD) for smartphones and tablet computers. The Nikkei newspaper reports that the company "appears to have received" a new order from Apple AAPL, likely to produce part of the iPad. Apple and Sharp are only two of a multitude of companies getting involved in the production of tablet computers. While consumers have shown an definitive interest, many businesses are now testing the devices as well. What's most notable about the devices is their versatility and mobility. Users can flick through photos while listening to music, or interactively examine a coming budget document while checking e-mail - all while on-the-go. The quick shift in computing production is again proof that consumer demand is fleeting. Smartphones continue to grow in popularity, and tablets have given shoppers reason to question whether a laptop or desktop is necessary. Apple has seen significant sales of its iPad since its release last year. Google's GOOG Android mobile operating system is working with a number of device manufacturers, including HTC and Motorola MOT. Microsoft MSFT is also developing a mobile Windows OS. A consequential part of a tablet's success appears to be its access to popular and usable applications, or apps. Apple's iTunes store is a well-known example, and Google has a similar iteration. Users love the ability to download and try apps at will - and a tablet computer that supports this function successfully will find a solid user base. Over the course of the next year or so, consumers and companies alike will benefit from emerging economies of scale. R&D efforts will produce polished tablets with lower prices.