Wednesday, February 23, 2011
In an earlier post I talked about the new tablets being created that run on the Android OS, and as of then prices had not been announced. Well the first tablet, the Verizon Xoom, has had its price announced as well as how you will be able to get your hands on it. The Xoom will use Verizon's 3G network, cost $600 with a contract, and will require a $20 data plan.
This device seems to be a good competitor for the iPad if, of course, you are planning on getting a tablet that uses 3G. The iPad that has access to 3G is $629 which is only a bit more than this tablet, but the iPad doesn't require a contract. If you want to get your hands on the Xoom without a contract it'll cost you an extra $200 bringing the price up to $800. Some would stop right there simply because of not wanting to get roped into a contract, but if you're going to use a 3G network anyway then the contract isn't much of a big deal. One thing that will make the tablet better than the iPad is the fact that it will be given access to Verizon's 4G network sometime later this year for free. I think that the price point of this product is good to compete with the iPad, but I also think the contract is going to scare people away and really limit the amount of units sold. Even though this tablet will more than likely not be more popular than the iPad, it does take some business away from Apple and makes it so Apple can't charge whatever they want for their product. Apple can't charge whatever they want for their product anymore because they have to make sure they can still beat out these new tablets for consumer attention. This means that Apple will have to keep its prices at or around the Xoom's which is good for us consumers because if anything all the prices will do are fall allowing people to spend less of their overall income. However, for Apple this means that they will most likely start making less money, maybe not much but the amount of money they lose will grow as more and more tablets are introduced into the market because there will be more competition. For a first attempt by Android this is a very strong entry, but if they can't break Apple's hold on the market then this product will fall by the wayside.