“The iPad launched in US Apple retail stores on 4/3, impacting nearly the entire month of Apple’s sales in April. As a result, April NPD data gives us the first sign of the degree to which the iPad cannibalizes iPod or Mac sales,” Munster noted. “From the early NPD data, it appears that the iPad has a minimal cannibalization impact on Mac sales, and could be slightly cannibalizing iPod sales.”

The analyst doesn’t expect this to be a big problem for Apple (AAPL). “We believe in the long run Mac cannibalization will exist, but will be minimal,” he concludes. “Apple has successfully limited the iPad functionality to primarily content consumption, vs. content creation on a Mac. And relative to the iPod, the physical size of an iPad provides a meaningfully different value proposition (portability vs. screen size).”

Obviously, it’s a little early for definitive calls on just what sort of effects the iPad is having on sales of Apple’s other products. That said, Munster’s analysis of NPD’s data does jibe with a small survey by UBS analyst Maynard Um that found that most iPad buyers do not view the device as a replacement for their traditional computers.

As I wrote in an earlier post, “So most likely, the iPad will prove additive for Apple. In fact, I wouldn’t be surprised if it generates a halo effect around the company’s products similar to that created by the iPod. Certainly, that’s the sense one has paying a visit to an Apple Store these days or being spotted with an iPad in public.”

With Apple (AAPL) inking multiyear Mac contracts with a number of school districts, it’s growth in edu is on the rebound. And now, with the iPad and its promise of hand-held education just a few weeks from market, Apple could be poised to see significant growth in higher ed.

Obviously, it’s impossible to predict whether the iPad will be the digital device to transform the classroom, but some analysts are enthusiastic about the possibility. Among them: Needham & Company’s Charlie Wolf. Reflecting on Apple’s performance in the U.S education market in a note to clients this morning, he suggests there may be big things ahead for the company.

“The soon-to-be-introduced iPad has the potential to change the buying dynamics in both the secondary and higher education markets,” Wolf writes. “At $500 before typical education discounts, the iPad is price competitive with all the PCs schools now purchase.”

That’s not all. Wolf continues: “And the device has the potential to go much further if, as it appears certain, education content is customized for the iPad to exploit its unique multimedia capabilities. It is not difficult to imagine classrooms where the iPad takes center stage, capturing a significant percentage of the school market in the process.”

Not difficult to imagine at all, though it may take some time to get there. As my colleague, Peter Kafka, reminds me, the iPad-as-textbook is likely quite a way off given that it requires buy-in from educational publishers, not to mention school boards and academia. Beyond that, there’s the need for applications that really take advantage of the portability and breadth of use that the iPad offers and to position it as a true an educational tool.

“To be successful in the secondary ed market, the iPad will need content and application developers to write applications that exploit the unique form factor and features of the iPad–content and apps that materially improve the ‘educational experience’ in the classroom,” Wolf told me in a brief email interview this morning. 

“If that doesn’t happen,” Wolf added, the iPad could enjoy some success. But it would be far less than that which would occur if the iPad becomes a unique educational tool.”

Wolf believes higher ed will be easier, though. “Again it will depend on content developers–the publishers–exploiting the dynamic features of the device to enhance the educational experience,” he said. ”Simply formatting text books for the iPad will be OK, but it would eliminate any chance of a hockey stick of adoption.”

[Image credits: Needham & Company, Adam Tow]

It would seem then that the so-called “fastest-growing segment of the PC market” is also the most misunderstood. For what is a netbook but an underpowered laptop or a giant Gallagher-sized smartphone? Consumers are intrigued by the netbook’s low prices, but they don’t understand its value proposition.

“We need to make sure consumers are buying a PC intended for what they plan to do with it,” said NPD’s Stephen Baker. “There is a serious risk of cannibalization in the notebook market that could cause a real threat to netbooks’ success. Retailers and manufacturers can’t put too much emphasis on PC-like capabilities and general features that could convince consumers that a netbook is a replacement for a notebook. Instead, they should be marketing mobility, portability, and the need for a companion PC to ensure consumers know what they are buying and are more satisfied with their purchases.”

I’ve had a love-hate relationship with the device since I bought my first one about 9 months ago. As a frequent traveler and voracious reader, I’ve found the Kindle to be nearly ideal. I never have fewer than a dozen books in its memory, and they’re always things I want to read.

As someone who believes we should often interact with media instead of passively consuming it, however, I don’t think much of the Kindle for any purpose other than reading a narrative. And given what a disaster “digital rights management” (DRM) is becoming for scholarship, culture and ultimately freedom, the device’s restrictions on how I can use what I’ve purchased are deeply troubling.

Still, I’ve been using it with some degree of satisfaction (as have enough other people to have helped boost Amazon’s stock price, so as the holder of several hundred shares I’m slightly better off in that way, too). The second-generation model improved nicely on the first–among other things, fixing some user-interface quirks, letting me charge it via a USB cable, and boosting the battery life.

The books I load onto the device fall generally under the casual entertainment category. I buy a Kindle book the way I buy a movie ticket (or did before going to theaters became such a crappy experience).

These are books, like most movies, that I’ll read or watch once and forget about. A physical book is more like a DVD–something I want to own and enjoy again and again.

So the kinds of books I tend to buy for the Kindle are the sort I’d often pick up at an airport newsstand, namely mysteries, thrillers and semi-trashy novels that I’d sometimes leave in hotels or airplane seat-back pockets once I’d finished them. (I also subscribe to several magazines, and consider it a favor not to see the advertising.)

Once I got accustomed to reading e-books, I started doing something that had been out of character in the analog era: buying new books that, in print, were available in hardcover only. Why? The price, typically $10 (okay, one penny less), was right. In fact, my new-book purchases soared.

But not for long. In recent weeks, Amazon (AMZN) or the publishers (or both) have done their best to deter me from buying the latest releases. Prices have gone up, way up.

Now, I often find books for which I’d have gladly paid $10 listed at $14 or $15. I save these to a list I keep on the Amazon website, called “Too expensive for Kindle,” and periodically check to see if the price has dropped. So far, not yet on any of these.

Hiking prices this way creates a bad deal for the customer. Amazon’s price for a new hardcover is typically just a couple of dollars higher. This means I could buy the hardcover, read it and donate it to my local library, and–after the tax deduction–come out ahead. I’d do even better taking the book to my local used-book store and getting cash.

But I almost never buy new hardcovers of books I don’t expect to reread or use as a reference, because a) I’m kind of cheap; and b) I can stand waiting for the paperback. So if prices stay high, I stay away.

Now, sellers have every right to charge more for popular books, especially when they’re new. This is basic supply and demand. But when the price only makes sense for people who consider the ultra-portability of an e-book paramount, that’s a turnoff for other potential buyers.

As a customer I also understand supply and demand. My demand is extremely elastic, and in this case it’s snapped.

Last week’s introduction of the Kindle DX was framed in many ways by different constituencies, but I was taken aback by the praise heaped on the device by several newspaper people, including the CEO of the New York Times Co. (NYT) (in which I also own a small amount of stock). Newspapers aren’t going to fix their considerable woes with Kindles, and anyone who thinks so lives in a fantasy world.

The DX, with its bigger screen, strikes me as potentially useful in several ways, possibly including the textbook function that Amazon hopes to jumpstart with the help of several universities (including the one that employs me). But if textbook publishers don’t radically cut prices on the outrageously expensive books they sell, they will find themselves creating a strong incentive for precisely what they don’t want: unauthorized copying.

I suspect the DX will prove most useful in more prosaic ways. For example, it could be a nearly ideal container and viewer for technical documentation–thick manuals that need periodic updating, where the cost of printing is prohibitive and the bulk of the books is daunting for the user.

Will all of this be made moot by the widely anticipated Apple (AAPL) “NetPad” or whatever it’s going to be called? I refer to a device that looks like a larger version of the iPod Touch, which would be a wonderful mobile multimedia player, among other likely capabilities.

I doubt it. If you enjoy severe eye strain, reading books on a back-lit, glossy display is just the ticket. The passive displays on Kindles, the Sony (SNE) e-reader and other such devices are much better for this kind of reading.

One size does not fit all in the emerging world of devices. Then again, one carry-on bag doesn’t hold all devices. For now, however, the Kindle has a place in mine.

I just the other day got, an Internet was sent by my staff at 10 o’clock in the morning on Friday and I just got it yesterday. Why?

“Because it got tangled up with all these things going on the Internet commercially.

“… the Internet is not something you just dump something on. It’s not a truck. It’s a series of tubes. And if you don’t understand those tubes can be filled, and if they are filled, when you put your message in, it gets in line and it’s going to be delayed by anyone that puts into that tube enormous amounts of material, enormous amounts of material.”

This year, it’s motorcycles and wirelines. From the Senate Commerce Committee hearing on number portability yesterday:

Stevens: Let me be just the devil’s advocate here. Could I just decide I want to keep my wireline and I want to add wireless to it? Can I have two providers on the same number?
Answer: … um, I don’t think that technology exists right now.
Stevens: If I had an IP phone, by definition, I’d have to leave the wire… wireline phone to use it?
Answer: I think that is the case with the technology today.
Stevens: Is it coming? Why shouldn’t I be able to say, just by a little switch on my phone at home that’s wired, I’m going off on the wireless now, I want to use this as I ride my motorcycle. … I’m bad. Pardon me.

See what I mean? Comedy gold. Give him a few props and he’d be giving Gallagher a run for his money …