HTC’s New Tablet: Doomed to Fail

  • Posted: 31 August 2011 11:42 AM

    And they’ve done it again! Another Android tablet doomed to fail. This time HTC’s newest 10-inch tablet for the modest price of $699 on a two-year contract.

    http://www.engadget.com/2011/08/31/htcs-10-inch-puccini-tablet-gets-official-as-jetstream-brings/

    When will they learn?

    [Title edited by DT]

    [ Edited: 01 September 2011 01:31 AM by DawnTreader ]      
  • Posted: 31 August 2011 12:22 PM #1

    And another contender for a future firesale. This one due to its design (take a look at the last picture).

    http://www.engadget.com/2011/08/31/sony-tablet-s-preview/

         
  • Posted: 31 August 2011 01:41 PM #2

    Not about a tablet per se but with the increasing hype surrounding Microsofts renewed attention to tablets and mobile a piece showing why there isn’t much to be concerned about.

    http://techcrunch.com/2011/08/30/we-need-an-invert-selection-button/

    In an unrelated topic I thought I’d post this quote of the day.  (okay…,so it’s the small me that loves it.)

    MacDailyNews Take: It is intensely satisfying to see that Apple?s tremendous successes have driven certain types of people absolutely batshit insane.

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    Posted: 31 August 2011 01:58 PM #3

    The pricing of these iPad clones reveals just how important Tim Cook is to Apple.

         
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    Posted: 31 August 2011 02:52 PM #4

    Apple would not be anywhere near where it is today without the genius of Tim Cook.

    That known fact, aside, that tablets dare sell for more than the iPad is stunning.  Maybe they think that because tablet sales for Android are relatively anemic, they may as well try the “luxury” route and get max profit per sale?  And look crazy expensive even when the tablet is carrier-subsidized?

    Not gonna work in this competitive environment, guys…

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  • Posted: 31 August 2011 03:23 PM #5

    I think one factor on pricing is that they are not able to commit to or source parts for high volume production. The management think will be: “lets commit to making a small batch to get ourselves media coverage and a place on the starting line; we can start expensive if we only commit to making a few, and re-evaluate as the market develops”.

    Needless to say, this is guaranteed failure against Apple’s huge and precise logistics and relentless evolution of products.

         
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    Posted: 31 August 2011 03:28 PM #6

    I’m not so sure.  I think the Thundering Herd is just out for profit if they can get it - and then, once the clearly overpriced tablets don’t sell, the hilarious Let’s Lower the Price(tm) (and undermine our product by admitting it was overpriced to begin with) phase begins.

    One problem - only Apple has ever been able to get away with that, and only because the first iPhone was (1) quite popular, and (2) well, it turns out Apple did kinda screw up by taking that action, which it’s never repeated.

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  • Posted: 31 August 2011 05:01 PM #7

    Earlier this week I saw an item reporting that an HP executive was hinting that the TouchPad might not be canceled after all. Now that they have a large user base (for a $99 tablet) the sky is the limit.

         
  • Posted: 31 August 2011 06:49 PM #8

    The Thundering Herd may have to start being called “The Replacements”

         
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    Posted: 31 August 2011 10:16 PM #9

    I think they’re more appropriately named “The Blundering Herd.”

    I’m particularly amused by HP’s possible second production run at fire sale prices (try selling from $199 and up, you’ll hear crickets) and huge losses (I’d be happy to help you lose money, HP!), while stealing tons of sales from anyone remotely interested in an Android tablet.

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    Posted: 01 September 2011 04:44 AM #10

    Mav - 01 September 2011 01:16 AM

    I think they’re more appropriately named “The Blundering Herd.”

    I’m particularly amused by HP’s possible second production run at fire sale prices (try selling from $199 and up, you’ll hear crickets) and huge losses (I’d be happy to help you lose money, HP!), while stealing tons of sales from anyone remotely interested in an Android tablet.

    Mav, I think that last sentence is key to this whole thing.  All these TouchPads are going to be bought by people who thought they didn’t want a $500 iPad, but at $99, heck, they’ll try it out.  After they become disenchanted with it, because not even HP cares about it anymore, guess what’s going to happen to all the Android tablets out there?  “Oh, it runs Android?  I had a tablet (or saw a tablet) like that once ... it sucked”

    I think HP has, without knowing it, completely undermined the Android tablet ecosystem. Especially the upcoming Amazon tablet.  Even very cheaply priced at, say, $300, who’s going to be interested?  Most of them probably got a TouchPad “just to try it out”.  The rest of them already have iPads anyway.  And if you really want an iPad, but can’t afford the $500 entry fee?  Get a 1G refurb from Apple, for as low as $300.

    Amazon will probably sell a few hundred thousand of these loss-leading tablets, especially if they advertise it heavily on their website.  But at what point do they stop bleeding money on them?  Remember, AMZN only manages ~3% net profit margin in their business, vs AAPL’s 25%.

    I don’t think Apple has anything to worry about for at least another year.  The halo effect of an iPad + iPhone + iCloud is just too strong.

         
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    Posted: 01 September 2011 05:16 AM #11

    mjuarez, don’t worry, I wasn’t even attempting to put forward some bold new insight or original thought with that TouchPad (a zombie tablet, no less!) beating Android deal.  All of us here at AFB just can’t stop grinning, and I’m sharing my amusement with everyone.

    I _do_ wanna coin “The Blundering Herd” though.  It even rhymes! smile

    For $99, I’d like to try the TouchPad out…even if I don’t really like it, I’ll forgive a heck of a lot more for $99 than I will at $499.

    [ Edited: 01 September 2011 05:18 AM by Mav ]

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  • Posted: 01 September 2011 11:43 AM #12

    Do you buy a 3DS for 129 or a TouchPad for 99? Hum… Let’s get Johny the iPad nock-off pre-christmas and hide it for a while. He’ll be the most popular kid in school, “isn’t we proud parents *durp*”.

    My point with the TouchPad at a lower price then the 3DS you may actual see a few show up as birthday and holiday gifts for kids instead of that 3DS they want. *slight satirical* As we all know tablets are great for school and education.

    [ Edited: 01 September 2011 11:47 AM by Dorje Sylas ]      
  • Posted: 01 September 2011 11:51 AM #13

    Methinks Android OEMs are engaged in a marketing version of the Bushido code of seppuku to atone for these offerings, killing their tablets off on arrival.

    Tanto and sword, please.

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    Posted: 01 September 2011 12:05 PM #14

    LOL at this quote:

    Update: It’s going for $849 outright, which is even more silly. Why not just price it at $2,000, guys? Might as well milk the most from the four folks that’ll accidentally mash the “buy” button.

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  • Posted: 01 September 2011 01:12 PM #15

    I thought Apple’s competitors fell all over themselves to say “Me Too!” after the iPhone came out. The iPad seems to have driven them all mad! Calling Apple a Serial Disruptor isn’t enough. What’s next? When they come out with the Next Big Thing? will their competitors instantly try to merge together into a Voltron-like tech behemoth to try and vanquish Apple or just immediately sell their companies and give the money back to the shareholders?
    It’s getting silly to see them falling all over themselves in a frothy mess because they simply don’t have the brains to come up with anything new.

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    Less is More (more or less).