Apple buys up touch screens, rivals have trouble procuring them

Apple was the first technology company to come out with a commercially successful tablet computer and even though its iPad lost market share to Android-based tablets in the fourth quarter of 2010, Apple has purchased a majority of the supply of touch screens this year. As a result, competitors are having trouble procuring tablet touch screens.

Analysts contend that iPad sales could have been more robust in 2010 if Apple had kept up with the torrid demand for the devices. However, Apple is a company that rarely makes a mistake more than once, and now Apple has reportedly purchased roughly 60 percent of this year's expected output of the touch screens used in the manufacturing of tablets.

DigiTimes reported that Apple has quietly stockpiled the touchscreens and a source told the paper that "touch panels are currently suffering the most serious shortage due to Apple holding control over the capacity of major touch-panel makers such as Wintek and TPK."

The first generation iPad was released last year and rumors have circulated that Apple has already begun to manufacture the second generation version of the tablet. In 2010, Apple sold 14 million iPads, but industry experts assert the company could sell as many as 45 million in 2011 - so long as it keeps up with burgeoning demand.