NVIDIA CEO Jen-Hsun Huang told journalists recently that tablets sporting his company’s newest Tegra 3 system-on-a-chip will experience price drops within just six months, as he looks forward to NVIDIA innovations that will succeed Tegra 3.
Current technology becomes old when newer technologies arrive, and when the newer technologies arrive, they also tend to be more expensive and the older technology often decreases its price.
The same can be said of Tegra 3 tablets, whose prices are expected to drop to about US$300 within just a few months. Tegra 3’s flagship tablet is the ASUS Eee Pad Transformer Prime, due for launch any time soon before the year is over.
The ASUS Eee Pad Transformer Prime, for instance, is expected to shed off about US$100 from its current estimated price of US$500 after a few quarters.
Huang told reporters that tablets that perform better than the recently launched Kindle Fire or NOOK Tablet will soon be arriving at prices just between US$50 and US$100 more than those tablets’ prices.
The CEO’s observation on tablet price drops may have something to do with NVIDIA’s rapid rate of development of its processor technologies. It won’t be too long before quad-core smartphones and tablets become the norm–but they probably won’t linger either. NVIDIA’s Project Wayne, which claims 10 to 20 times the performance of Tegra 2, is expected to arrive in early 2013.
The competition and the rapid pace of innovation ought to help bring down device prices to around the US$300 mark, said Huang.
Are you getting an ASUS Eee Pad Transformer Prime at its launch price of US$500? Or can you wait two quarters or so for the price drops?