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The benefit is mostly to reach a bigger market without cannibalizing the existing market too much. It would be awkward to sell a cheap 10" tablet that is really
by jsz0 14y ago
The benefit is mostly to reach a bigger market without cannibalizing the existing market too much. It would be awkward to sell a cheap 10" tablet that is really 'good enough' to most people along side an expensive 10" tablet. How do you explain the differences and justify paying 30-50% more? The only reason they can get away with selling the same sizes of iPhones is due to carrier subsidies. They can make money on the low end devices. If a consumer was walking into a store to buy a 3GS off contract they would likely not pay more than $200 for it. Apple is getting more like $350-$400 from the carriers for a 3GS.
- bradmccarty 14y agoGreat point here. I think that the Mini (if it happens, if that's the name, etc) will be another gateway drug just like the iPod touch. I remember Steve smiling kinda smugly about people who wanted the OS and the apps but didn't want the phone. The touch was how Apple got them in the door. Now translate that to a tablet. For $200 you can get a device that has, inarguably, the best apps marketplace, at its disposal. Android tablets will have an especially difficult time keeping up with that, except for the ones that are purchased by people who simply don't like Apple and its ecosystem.