iPad fever pushes Apple to top of tree

Apple stores in Europe and Asia were mobbed as the iPad went on sale on Friday, with some shoppers having queued all night to buy one of the coveted tablet computers.

The device, smaller than a notebook computer and with a touchscreen, is designed for surfing the web, watching movies and reading, and has been hailed by the publishing industry as a potential life-saver.

Apple sold a million iPads in the US in the first month after its April 3 debut, exceeding all estimates. Demand was so heavy that the company delayed the international launch.

RBC Capital Markets estimated iPad shipments would reach 8.13 million units worldwide by the end of the year - at least $4-billion in revenue.

"I wanted to touch it as soon as possible. I felt real excitement when it was finally in my hands," said Takechiyo Yamanaka, 19, who had camped in front of Tokyo's flagship Apple store from Wednesday evening to be the first in line.

"It's a bit of a gut decision ... not rationally justifiable," said Anna Kistner as she emerged from an Apple store in Munich with two iPads. "It's a lot of money."

The iPad is now on sale in Germany, France, Italy, Switzerland, Spain, Britain, Japan, Australia and Canada.

Prices for the cheapest version range from $499 in the US to $617 in Britain.

The buzz around the iPad helped propel Apple past Microsoft this week to become the world's most valuable technology stock - a remarkable turnaround of a company that nearly went out of business in the 1990s.

Apple shares were up 2.2% at $259 before the market open in New York.

Apple gets almost three-fifths of its revenue outside the US, and is counting on a base of fans who already own an iPod, iPhone or Mac to add the iPad to their collection, as rivals line up with their own tablet offerings.

Pascal Lordon, among the first in line at the Apple store in the Louvre in Paris, said he already had all Apple's other products.

"The iPhone created a new need but the screen is small. The iPad is more comfortable; it has a real screen," said the 51-year-old video editor.

Dell's Streak tablet computer will go on sale next month in Britain. Sony and Hewlett-Packard also have tablets in the works.

Amazon, whose Kindle e-book reader could be seen as a rival to the iPad, said it would be offering its Kindle iPad application in all countries where the iPad is now on sale.

Analysts at research firm Informa Telecoms & Media said most iPad sales would be of wi-fi only models, citing the limited case for outdoor usage, higher prices for 3G models and the ability to tether the iPad to a cellphone as reasons.