Forrester Says iPad Rivals Must Slash Prices to Compete

The onslaught of competitors to Apple's APPL iPad has been nothing short of stunning, as thousands of manufacturers, software developers, and entrepreneurs have rushed to innovate. The manufacturing rivals would best be suited to target Europe, however, if a new report by IT research firm Forrester is any indication. In the report by analyst Sarah Rotman Epps published Tuesday, it's argued that tablet companies like Google's GOOG Android and Research in Motion's RIMM would need to cut prices to compete in the U.S. "There is this opportunity for iPad challengers, but the competition is very fragmented. Competing with Apple will require a different approach from what we've seen so far," she says. To be sure, tablet growth domestically and globally has skyrocketed in the past year. Total sales have increased more than 100% year-over-year, and the likes of Acer, Archos, Asus, HP HPQ, Motorola MOT, Samsung and Toshiba have entered the market. Still, Forrester expects Apple to sell 80% of all consumer tablets in the U.S. and 70% in Europe this year, with a projected total of 48 million units. "A competitor to Apple would have to put together the right content, the right price and the right channel strategy. There isn't anyone that has all three," Epps notes. Android has experienced tremendous popularity as its functionality has grown in software updates. Many stock watchers will be following the developing tablet wars in the coming months as companies establish market share in the lucrative market.