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Should Investors Buy the Tablet Hype?

The tech industry is producing some shiny new toys, but the sector looks overheated.

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The tech industry thrives on hype. From the heyday of Pets.com in the dot-com bubble era to the touting of 3-D TV at the Consumer Electronics Show this year. The last few weeks have featured the almost deafening hype for  Apple's (AAPL) tablet computer, which is widely expected to be announced at a press conference later today.

It shouldn't be too surprising that this Apple product is creating so much buzz. First off, Apple's rabid, loyal fanbase combined with the firm's legendary secrecy tends to boost the interest level on anything going on in Cupertino. Second, if the rumors are to be believed, a big component of the tablet device will be electronic versions of books, newspapers, and magazines. Apple is hoping that the novelty of the device will convince users to pay for content (through iTunes, naturally) they are currently getting for free over the Internet. This could be a boon to the publishing industry. As such, news editors and reporters are particularly keen on keeping track of developments surrounding the tablet.

Jeremy Glaser does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.