Analyst: Apple to be 'nimble' on iPad pricing, athletic on pommel horse
Apple's $499 starting iPad price tag is already lower than many people -- and a few competitors -- expected, but apparently Steve and company have left themselves a little wiggle room: Credit Suisse analyst Bill Shope says that Apple told him it'll remain "nimble" when it comes to iPad pricing, suggesting that the price could drop if sales don't meet targets. That's not a hugely surprising thing to say, considering Apple's trying to be the first to achieve real success with a 'tweener device and strong pressure from netbooks, laptops, and smartphones threatens to collapse the space entirely, but a lot of people are taking it to mean some kind of drop is a done deal -- particularly since Apple cut the price of the first-gen iPhone by $200 just a few months after it launched and saw already-solid sales triple. We're honestly not so sure, though: Apple always tells investors that it's confident in how its products are priced but responsive to market changes, and it's not like a smaller price cut boosted the Apple TV into hit product territory. We'll see what happens after the iPad actually goes on sale -- we doubt we'll see any changes for another few months at least.




















most people expected the price to be higher because they thought it would be an actual tablet, not a large iTouch.
after seeing most of the polls around the internet, they're going to have to cut prices to get people to buy the 1st generation iPad. i suspect most people will be waiting for v2.
@mrhammerstein
I'm sure Apple's seen the less than stellar reaction of the general public to this product (despite journalists and bloggers pushing it hard) . Even Apple is not immune to all the criticisms.
Definitely wait for V2 or V3.
@mrhammerstein
agreed - I can see the price lowered to $399 easily, perhaps $299 if things begin to tank.
@mrhammerstein
I'd rather see Apple add multitasking and keep the price the same.
Guess what Apple, this time your problem isn't about price!
@mrhammerstein
Anyway to install Ubuntu or something useful insteal of the iPod touch OS to make this POS worth the $500 clams they want?
@bondsbw
You guys all forget that this story isn't finished, yet. (Actually, it hasn't even begun yet!)
If there's one thing we've learned about Apple's portable devices, it's that they're proactive with the updates. It's not like you have to worry about your 1st gen iPad not being able to multitask, after the functionality is intruduced with OS 4.0.
That said, I'm absolutely waiting for a price drop and functionality boost. As are most people. I've grown wiser and I can do without paying the early adopter tax.
All I know is that, come June or whenever they decide to unveil the new iPhone OS, if it ain't multitaskin', I ain't buyin nothin!
@bondsbw I Agree Add Multitasking & GIVE US SUPPORT FOR FLASH!!!
@mrhammerstein
statements telling people there is room for the price to go down do not help sales...
@NAME
I would expect it to be FREE with activation... I wouldn't pay $199 for this... even the Wii can do more
@Eugene Action
Buy a Wii then
@mrhammerstein
This is why it's no fun being an early adopter.
I'll wait until it gets a web camera and we see developer support and iPad friendly websites (if not flash).
@Eugene Action You're right on! I can take my Wii with its gorgeous 9.7" LCD and 10 hours battery life and surf the web anywhere. Oh wait...
@crawdad689 "If there's one thing we've learned about Apple's portable devices, it's that they're proactive with the updates." That is true to a point, but really how long will it take for Apple to give users updates they actually want? It took how many updates/years for Apple to proactively provide users with desired features like copy and paste? If multitasking is in the cards for the iPad I wouldn't hold my breath on it being included in the OS 4.0 update.
@mrhammerstein
Na, I doubt that Apple will add stuff that people really wanted in V2/V3 iPad (they can't even add a simple fm radio to an iPod until well, forever). Why wait when there are many possibilities out there. Apple is milking people 1 generation at a time.
@LGH
Why wait for V2 or V3 when someone else can come up with a better implementation of the tablet/iPad/netbook concept in say what: 6 months in this environment?
Just cause the iPad maynot be what the general community wants doesn't mean you need to wait for Gen2/3 when chances are another vendor (think: Amazon Kindle3, Sony ????, MS Slate/Zune phone, etc...) will likely come out with what you want within the year--they've all learned from the iPhone strategy if they want to compete.
I just hope they (the MS, Google, Sony's of the World) are listening to the consumers 'complaints'.
@bondsbw
How much Ram does the iPad have, enabling Multitastking can produce problems and makes the simple device more complicated. I don't think they disabled it yust to torture their customers. ;-)
@mrhammerstein I actually don't there's much room to reduce the price of the iPad; I think there's more of an incentive to put more into what the consumer gets at a given price, like a dock, more storage capacity, a case, etc. And/or maybe a reduced price for the 3G option. The iPod used to come with a case, for instance.
People were guessing $800 to $1000 because there was an expectation that Apple would not sell something for less, but that it would have to be priced under the Macbook in order to fit in with the rest of Apple's products. Anyone who was expecting a full OSX tablet even at $1000 was ... not having very realistic expectations, let's say.
@LGH Less than stellar responses on tech sites.
That really doesn't have anything to do with how it will sell.
@bondsbw
You have made a compelling statement. I have NOT heard one person complain about the price. its the functionality that is lacking. its not the hardware, its the lack of multitasking and lack of flash thats going to kill this device. android, web OS, Maemo, and Symbian are on board to get flash on the current hardware. and currently support multitasking from inception.
you can not sell a mobile device with out those features.
the hardest people to sell a ipad to are the folks with iphones and macbooks. this is not looking to good for apple.
and for the 1st time apple buyer 500 bucks is still to high. any mom or dad would buy there kid a ipod touch for 200 before they even looked at a ipad.
The Ipad needs a killer feature or program. they need to have another press event to show off the unique features if any exist. If developers start making apps that are just bigger counter parts to there iphone iterations no one with a iphone will be convinced to buy one.
@Eugene Action The Wii? Those are two completely different things all together what are you talking about?
@mark78
I want Pandora running behind Pages. That's my use case.
I can see your point though. This isn't a window-based OS, so there's no use keeping two apps in memory that are only useful in the foreground. For instance, there's no use keeping Keynote in the background while playing a game... the current slideshow and state can be saved for later.
Apple needs to allow for pure background applications. Music, GPS navigation (with voice-over), VOIP, instant messaging... there is so much potential here. API usage can be extremely limited, and the OS could artificially limit the CPU cycles and RAM it uses. But please, Apple, find a way. Some way.
@Alexandertron
Regarding flash and multitasking, you said: "you can not sell a mobile device with out those features. "
Have you heard about this mobile device called an iPhone that is outselling every other single smartphone in the entire world? Saying you can't sell a mobile device without those features is basically denying the iPhone's existence. You're welcome to try again though.
@cobaltage If by anywhere you mean anywhere outside of NYC and any other data intense city.
@mrhammerstein Yes, After reading many of the ‘day after the launch’ articles – I have had time to reflect on why I would want this device. I am a heavy iPhone user – mostly the apps. – so to now have the opportunity to go for a major screen size increase – with all the familiarity of the iPhone – well that becomes the ticket I will buy for sure. However,I wish they would have included a web camera for Skype.
Details: http://bit.ly/apple-tablet-under-fire
I guess most of us will wait for the 2g model.
@mrhammerstein
Most tech spec reading geeks and/or tight wads will want to wait for the 2nd generation, but if Apple gets the user experience right, $499 will be a low price for those who fall in love with the device.
Remember iPod and iPhone started as premium products but Apple aggressively updated features and lowered price.
@mrhammerstein Does a 3G module really cost 120$?
@mrhammerstein Quit calling it an iTouch! That sounds like an innovation for a tech savvy pedo. There's a good reason they called it the iPod Touch.
Athletic, you say.
If this thing means death to flash for video websites, and therefore advertising (because no-one will install it otherwise)..
I say hurray!
I still won't buy one though :/
Have you never heard of a browser extension? Please, answer for everyone who keeps making this complaint. From where I'm sitting, it isn't even a genuine problem. Allow me to recommend, for one, No Script for Firefox. Other than ignorance of what's available, there is simply no reason to deprive yourself the wonder of Hulu and a million other things out of some petty grudge against flash banners. Another might be a slavish devotion to Safari and/or Apple's propaganda. Safari might be faster at loading pages, but raw speed alone does not an efficient browser make. Disclaimer: I'm writing this on a MacBook.
@patches66
Yes! It's like people think your only options are putting up with Flash or no Flash period. I use the Flashblock add-on (like Apps but FREE) on Firefox which lets me pick which sites I want Flash in (YouTube, Hulu) and which I don't want.
There's also the AdBlock to kill all annoying banner ads period.
@geekthree I'm not going to be an early adopter for the iPad, it was obviously over-hyped and I think it's being over-bashed currently, but that's beside the point.
I have no love for Flash at all. It's a closed system. I honestly think we should be glad Apple isn't forming a deep DRM-laden partnership with Adobe to bring content to their devices.
In my view, if content creators are given increased compatibility by switching to html 5 to the point where it becomes financially viable for them, we all will be better off.
If the iPad performs as Apple hopes, in a few years it seems entirely possible that we could have a market dominated by non-flash video delivery systems. This would be a fantastic thing for everyone I think.
Frankly, bashing Apple products seems to have pushed some towards championing Flash and that seems misguided to me.
@aelder
you realize that the ipod and itunes constitute a closed system? and that's why there's no flash on the ipad?
@patches66 Sure, I realize that. I don't like that much.
My point is simply that having Apple, a company that has a history of setting trends, moving closer to open standards and cutting off closed systems is a net positive. Regardless of what their motive may or may not be.
...except Apple isn't "moving closer to open standards". It's merely reinforcing it's own single vendor, single device standard. At least Adobe's proprietary standards are available on multiple platforms.
Apple isn't "moving towards open standards", it's trying to recreate the 80s but with itself as the monopoly this time.
@patches66
What? No. The closed ecosystem is not WHY there is no flash. You might as well say the closed ecosystem is why there is no Google Maps, except that there is Google Maps. There is no flash because flash SUCKS. It drains your battery, eats your memory, monopolizes your CPU and slows down the entire phone.
And you want that on your phone (or iPad) why, again? You don't need it for YouTube, and HTML5 covers most of the video playing needs that most people want flash for.
I think its a start. For apple this is much better than before.
@MoonWalkerCTE
Better than before, maybe, but they are asking for $200 for less than 40 gbs. That's kinda insane in 2010.
they make it so that the affordable unit is gimped solely for stratification. I don't want $14 books and I don't want unexpandable locked in devices that won't be supported in 5 years.
It's just hard to understand this business model. The iPad is like a stereotype of what Apple haters have been dreaming about for years. It's ridiculous. It's a bigger iphone for twice the price of a nice netbook that does everything better. It even has a douchey name.
Apple continues to make tons of money, so I guess they know what they are doing, but man I don't get this one.
@(Unverified)
Well said.
@MoonWalkerCTE
$250 (half the price of the iPad as you state) isn't going to get you a very good net book. $300-$350 is more like it.
@(Unverified)
So the iPod isn't supported anymore? You're saying the iPhone won't be supported in 2 years?
@Kid Red
yeah, that's pretty likely, wouldn't you agree? the original iphone is scheduled to not be included in OS 4.0 because of chip requirements (and hopefully because of the amazing new multitasking...) In any case, yeah, in 5 years time we'll be on version 5 of the ipad, i'd say it's pretty likely that apple won't give a shit about original version owners. snowleopard cut out power pc users didn't it? the whole point is that you go buy a shiny new device twice a decade, in each category.
disclaimer; written on my mbp.
@(Unverified)
But $500 isn't going to get you a very good iPad either (16GB and no 3G)
Maybe if these had a golden bezel I would pay $500 for it.
@tklr08
really!? is that all it takes!?
@iroq d mullet
what they meant to say was gold bezel + swarovski
Lower the price I will think about it otherwise no thank you.
Maybe the iPad will be like the Apple TV......just a hobby in the eyes of Apple.
@mailbox01:
"Our most advanced technology in a magical and revolutionary device..."
@Kirtay
I think steve said something about this being his most important contribution...
http://www.macobserver.com/tmo/article/jobs_claims_tablet_is_the_most_important_thing_hes_done/