Tablets are a hot commodity these days, there’s no doubt about that. As consumer interest continues to build, there is one simple barrier to truly substantial and rapid adoption: price. With new models arriving every month, Motorola Asus, Acer, and HTC are all gunning up for the pricewar showdown, which will likely mimic what happened with netbooks previously. Think about it – razor thin margins, special features vying for your attention – it all sounds pretty good right?
A tablet price war will begin sooner than we all think
Speaking at Open Mobile Summit, analyst Richard Windsor articulated that tablet pricing is about to begin a major slide. With Samsung rolling out its new, next-gen display manufacturing facility, and PC manufacturers coming to the party, Windsor says sought-after tablets will, in all likelihood, be selling in the range of around $300. Still, there’s already a few on the market close to this price, but as it stands currently, the lowest priced Honeycomb tablet is the Asus Eee Pad Transformer at $399, followed closely by the Acer Iconia A500 at $449.
Obviously, tablets are quite a new phenomenon, and have really only been on the market for a short period of time. While none of this should come as a jaw-dropping revelation, it’s an encouraging sign. We know all too well about economies of scale, and know that all consumer oriented products get cheaper to manufacturer over time. Tablets are just starting to gain mainstream adoption as cool gadgets to have.
Remember, when netbooks first started selling, an underpowered 7″ cost approximately $500, and now you can pick up a dual-core Atom netbook for around $200. Gadgets always get cheaper, and/or more feature packed for the same price, and always with time.
Is Apple going to play ball and release a $300 iPad? How about a cheaper iPhone? Only time will tell of course, but from following their conversations with investors, it does appear likely, but perhaps not.
What’s the sweet spot for you? Can you imagine the perfect tablet, for the perfect price?
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It might take longer to get there than we think. SSD manufacturers are keeping the price pretty high on their memory as are capacitive touch displays. SSD prices should have dropped considerably by now but they are dropping slowly, and those two components are the majority of the cost in tablets today. I expect sub $300 tablets to have very low memory and/or poor screens for a while longer.
I would say 300 is a good price for wifi.. and with a 1 year data plan 200 and 2 year data plan 150
Remind you if you want making good investing then make correct price not invent number that are high so you could have lost business long time ago. But make right price so that are affordable so that way it would increased best selling and generous. So that way Android doing good job with balance price but you Apple make a lot mistakes in investing and correct it.