While Apple looks set to kickstart a whole new category of 'tablet computing' with the launch of the iPad this year, competing manufacturers are quickly re-evaluating their strategies in light of the surprisingly low $499 price point of Apple's new machine.
New that the competition is having to rethink their pricing for tablet PCs comes from a recent rumour in Digitimes, citing unnamed sources who claim companies such as ASUS and MSI were expecting Apple's iPad to launch at around $1,000.
So what now for the competing Android-based offerings to the iPad?
The iPad's highly aggressive pricing strategy is something of a departure for Apple, an attempt to create a new market for tablet computers amongst consumers and, no doubt, in part, a reaction to the increasingly low cost of netbooks in the last year.
Acer cans tablet plans
In related news, Taiwanese netbook giant Acer has announced that it is now no longer planning to make a tablet PC of its own.
Acer Taiwan president Scott Linn has ruled out a similar tablet computer, says the latest DigiTimes report.
According to that report: "Lin pointed out that designing an iPad-like device would not pose any technical challenges for Acer, but said such a product does not fit into Acer's business model."
He goes on to cite how the iPad will be supported through iTunes, and that given that no one has come up with a real rival digital media store so far, "other players are unlikely to be able to replicate its result simply by copying."
Linn added that the netbook sector was a "different consumer [group]" to potential iPad or tablet PC buyers.
Via DigiTimes
Your comments (4) Click to add a new comment
rickrowland
February 2nd 2010
4. I-pad is a start in the right direction - only competition is from ASUS with their netpad
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nitrofan
February 2nd 2010
3. At one point I was tempted by the iSlate concept.
But having seen what the fruits have actually built, no thanks!
Its nothing more than an incomplete pointless white elephant, no SD card Reader no USB port no web cam WTF, no voice coms even though it has a SIM! no wonder the entry level is cheap.
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windywoo
February 2nd 2010
2. healeydave, as usual you show that Apple fans are completely clueless about technology. The iPad doesn't compete with existing products you are correct, but thats because its basically useless. A bigger iPod touch running apps with limited functionality and no multitasking.
The people "stuck with the choice" that you mention are more than likely to buy that machine and stick with it. The iPad requires that you have another computer to synch with. Only an Apple fan would praise lack of choice and the need to spend extra money.
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healeydave
February 1st 2010
1. I think Acer's management team deserves credit for waiting it out and realising that the iPad's price point could jeopardise making a profitable product.
Many other PC companies tried to beat Apple to the punch launching PC style tablet products in a hurry, but in doing so, they now have to battle with each other on very tight margin's. Not only that but because they have effectively tried to cram a pc and standard o/s into a slate computer, they have created a product that jeopardises sales of their own existing product lines of laptops or netbooks :-)
The criticism the iPad has received from people hoping for a fully fledged computer and o/s is mis-directed because this is exactly what makes Apples plan smart. It doesn't compete with any of Apples existing products, which means users are not going to buy the iPad instead of the MacBook Air or an iPod Touch for example!
Netbooks, touch screen laptops, PC style tablets and low end regular laptops are now all effectively competing with each other for sales and users who are stubborn about Apples "not so open system" are left with dilemma's like "should I buy the basic netbook, but for a bit more I can get the regular laptop with more power, but then for a bit more again, I could get the tablet pc, but then I will probably have to buy the keyboard & mouse accessories, hmmm decisions". For those that end up going for the tablet pc product will probably end up with a device that is "jack of all trades and master of none". Sure it will have a full o/s but I fear by not having anything specifically designed for tablet use, they will do nothing particularly well.
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