Re: Just posted: Apple iPad 2: Tool or Toy?

Started Mar 18, 2011 | Discussions thread
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Re: Just posted: Apple iPad 2: Tool or Toy?

princewolf wrote:

Steve Jobbs is a genius. But he is not an engineering genius. He's a marketing genius. Indeed, promoting such a low performance tool for such a price calls for some exquisite marketing skills, and Apple seems to have them. There are items that cost a lot but deserve them(like some Leica or Mamiya cameras-but not all), but in this case material value is far exceeded by the price. Still, I will never judge people on what they spend their money on, so if I offended some I apologize for that.

In terms of price, people tend to forget that unsubsidized smart phones cost about just as much (proportionally) to an iPad, if not more (proportionally speaking). Furthermore, competing tablets are struggling to compete with the low cost of the iPad. The Motorola Xoom was initially priced much higher than the iPad, showing just how difficult it is to hit the iPad's low price point. But realizing that they would have difficulty competing with the iPad, Motorola was forced to lower their price down to the iPad's price point. Also keep in mind that when the first-gen iPad was introduced, its price was well below the expected price for such a tablet device. Industry experts were expecting such a device to have an initial introductory price hovering around $1000. Like it or not, a lot of this is due to smart engineering on Apple's part. And we, the consumer, all benefit from this because what many people consider to be "expensive" devices are actually several hundred dollars less expensive than most experts expected them to be, thanks to the low price bar Apple set with their first iPad.

The irony is that Apple has actually become the price leader in certain devices. Strange but true. Take, for example, their MacBook Air. Samsung recently came out with a competitor to the Macbook Air. But Samsung's Macbook Air competitor, the 9 series, is $300 more expensive than the Air.

http://blogs.forbes.com/briancaulfield/2011/03/17/samsungs-macbook-air-competitor-costs-300-more-than-the-macbook-air/

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