Shift in iPad Pricing May Change Tablet Marketing Competition
Market watchers would usually expect Apple to follow its pricing strategy for its next-generation tablet device that are likely to start from $499, while the present iPad 2 is likely to drop to US$399. However, if Apple is to release two versions of the new iPad, the company’s pricing strategy may change.
Sources from Apple’s supply chain confirmed that there will be two versions of the new iPad, one targeting the mid-range, while the other is on the high-end segment . The two new iPad models is believed to have the A6 processor with high-end model coming with 2048×1536 resolution panel, while the mid-tier model featuring the 1024×768 panel similar to iPad 2.
With the existing iPad 2, the Apple tablet series may cover all price segments – from entry-level to high-end. Apple’s pricing strategy for its iPad series is crucial to the tablet market. It remains to be seen at what price level Apple will set its entry-level iPad. For Wi-Fi only models, US$299, US$349 or US$399 may all be possible.
The non-Apple vendors are currently in control of the US$199-399 price range. If Apple drops its iPad price to US$299, it could definitely affect other tablet manufacturers pricing strategy, including Amazon’s Kindle Fire.