IHS iSuppli, in a forecast earlier this year, said 22 million ultrabooks would be sold this year. However, the analyst firm lowered its forecast and said the industry is on track to ship 10.3 million ultrabooks worldwide in 2012.

The bad news for the doesn't end there.

The earlier projection for 61 million global shipments in 2013 has been reduced to 44 million, IHS stated.

"So far, the has failed to create the kind of buzz and excitement among consumers that is required to propel ultrabooks into the mainstream," said Craig Stice, a senior principal analyst at IHS, in a statement. "This is especially a problem amid all the hype surrounding media and . When combined with other factors, including prohibitively high pricing, this means that ultrabook sales will not meet expectations in 2012."

Despite the challenges the market is facing from the high interest in tablets and smartphones, IHS foresees improved growth in the ultrabook market. It may not hit earlier expectations in 2013, but it's still predicted to show a 300% increase over this year.