Yes we know iPad is not a “do it all device” as it was expected to be. Yes we know it won’t render flash; like iPhone, iPad won’t run applications in the background; and we know it doesn’t have a video camera, still camera or a webcam. We also know that iPhone users are not fond of AT&T and the only alternative T-Mobile is even worse in terms of coverage. And most likely iPad will have the same choices in terms of their 3G network. We also know that iPad was dressed with an old-school 4:3 screen aspect ratio which is a bit peculiar by today’s standards especially when it comes to watching widescreen movies (I suppose Apple wants iPad users to use the device in portrait mode for the most part.) So we clearly know what iPad is not. However, what we also know is that iPad has revolutionized the way world will operate going forward and here is why.
Imagine entering your house and seeing couple of iPads laying around on your living room coffee table just like books. These iPads are not owned by anyone but are available for common use. You see an iPad in the kitchen streaming Food Network. You see an iPad on your nightstand for some casual light browsing before you catch your zzzz and as revolting as it maybe, you even see an iPad in your bathroom instead of a magazine rack where you can take care of your business and read the latest and greatest instantly. This reality may not sound affordable now at $2000 for 4 low-end iPads but it’s a pretty convincing scenario in 2012 and onwards.
Steve Jobs is a visionary. Sometimes his instant judgment shocks people but he has the ability to plan things out, spot upcoming challenges, craft solutions, and see how his concepts and ideas will work years from now. iPad may not be much right now but we believe a lot of its revolutionary characteristics lie in how it’s being marketed and its price points. What does that really mean?
Let’s take a look at how the pricing can shift an entire industry. Entry level cost of the new iPad is $499. The high end iPad is priced at $829 which for the sake of this article is not relevant. As bare as iPad is, the evidence is persuasive that the price of the iPad makes it unsettling for competitors to offer something with the Apple quality and within the same price range.
Historically speaking, like most manufacturers Apple has always reduced the costs of its products after couple of years. In September 2007, Steve Jobs cut the costs of new iPhone to $399, a $200 discount off the initial launch price. The news of a 33 percent drop in the iPhone's price rose Apple’s market share to another gazillion dollars and the total number of iPhones sold rose to over 42 million (according to Apple’s Q1 Report published this year.)
This means, in 2012 the low-end iPad could potentially sell for $299 and in 2013 it could potentially be selling for $199. At $199, iPad becomes incredibly affordable, accessible and revolutionary. People will buy iPads as casually as they buy iPods and other low-cost devices. As Apple says, “With iPad, you get all our latest innovations. And all our most advanced technologies. In one of the most revolutionary products we’ve ever created. All at a price that’s well within reach.” And although that may not sync in with consumers right now, it will make perfect sense in couple of years. Are you ready for an "iPadded" house? Tell us what you think.
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Credit: TechCrunch
Comments
I think I am ready. I use PC Windows(always have) so am not an Apple fan; but I have seen the presentation of this device and it is awesome, seems portable and I am glad it is affordable. Thanks for this article!
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