Saturday, August 6, 2011

HP Cuts Price Tag On Tablet


Hewlett Packard has made the executive decision to significantly cut the price of its TouchPad tablet that launched just a month ago; offering an instant rebate of $100 on its homepage. Rebates are available for both 16GB and 32GB models. Now the TouchPad tablets will be available for $400 and $500, respectively.

Pretty cool, right?

Stephen DeWitt, head of HPs' new WebOS business unit, reported one of the reasons for the discounts for the HP tablet is to build a TouchPad user base of sufficient size to make WebOS an attractive target for application developers. I feel like that is a very strategic move, being as though when the TouchPad first launched it was heavily criticized for its lack of compatible applications.

He also said there is speculation that a slow summer technology buying season with the availability of many other lower priced tablets from competitors, has pushed HP to put TouchPad on sale.

However, it is very unlikely HP will pursue further discounts as the cost for manufacturing the device, according to an analysis by IHS supply, which say the total Bill of Materials (BOM) for the 32-GB HP HTouchpad is $318.15. The BOM price for the 16GB model is $296.15. The prices include components, manufacturing costs, and packaging costs, according to the analysis.

Only time will tell…

SOURCE.

SCREAM @ ME!!!

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