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Jeff Bezos, CEO of Amazon.com Inc, shows a Kindle, its wireless electronic reader - Source: Reuters
Apple is preparing to launch a tablet personal computer in late March or April, with manufacturer partners poised to roll out as many as 1 million units per month, according to a report.
The Oppenheimer research note said the highly anticipated tablet is expected to pitch Apple into the digital book market popularised by Amazon.com's Kindle e-reader.
Apple declined to comment.
"Our checks into Apple's supply chain indicate that the manufacturing cogs for the tablet are creaking into action and should begin to hit a mass market stride in February," Oppenheimer analyst YairReiner wrote.
"The February ramp schedule suggests a late March or April commercial release, since Apple will need to build at least 5-6 weeks of inventory before going live."
He said the tablet will have a 10.1-inch multitouch LCD screen similar to that of Apple's iPhone.
Apple has also approached book publishers to distribute their content electronically, and has offered them a revenue cut of 70% without requiring exclusivity, Reiner said.
He said that compares favourably to the Kindle's 50% deal, and that Kindle only offers a 70% cut to publishers that give Amazon exclusive rights.
"As innovative as it is, we believe the Kindle has disgruntled the publishing industry by demanding exclusivity, disallowing advertising, and demanding a wolfish cut of revenue," Reiner wrote.
"The tablet is set to change that".
