Skip to Content

Tablet Manufacturers Reevaluating Pricing Options in Light of iPad Announcement?

DigiTimes reports that several Asian notebook manufacturers were taken by surprise by the unexpectedly low entry-level $499 price point for Apple's iPad, forcing them to reconsider how they will price upcoming tablet models.

The vendors originally planned to offer prices pegged at 20-30% lower than the Apple iPad, while they generally expected the device to cost as much as US$1,000. The US$499 entry-level price has caught vendors by surprise and means they will now need to adjust their price scales even lower to attract consumers, the sources pointed out.

The report notes that manufacturers are reluctant to undercut the iPad price and start a pricing war for fear of eliminating profit margins even before the industry can really take hold. The fears seem justified in light of plunging netbook prices, which have reduced profits in that segment to razor-thin margins even as unit sales have exploded.

Reports as long ago as last August claimed that tablet manufacturers were holding off on new designs for their products until they could see what Apple's contribution to the market would be.

Popular Stories

Apple Event Logo

Apple Released Seven New Products Today

Wednesday March 11, 2026 7:05 am PDT by
Starting today, the seven new Apple products that were announced last week are available at Apple Stores and beginning to arrive to customers. The colorful MacBook Neo and all of the other new products are on display at most Apple Store locations around the world starting today. Apple Stores have inventory of the new products for both walk-in customers and Apple Store pickup, but...
iOS 27 Mock Quick

10+ New Features Coming in iOS 27

Friday March 13, 2026 2:13 pm PDT by
We're only three months away from Apple's WWDC 2026 event, which will see the company unveil iOS 27. With the fully revamped version of Siri possibly delayed until September, iOS 27 is shaping up to be the update we wanted iOS 26 to be. There will be new Apple Intelligence features, updates for the iPhone Fold, and more, with the latest rumors summarized below. Foldable iPhone Features...
Apple 50 Years of Thinking Different

Apple Announces 50th Anniversary Plans

Thursday March 12, 2026 6:10 am PDT by
Apple today announced that it will celebrate the company's 50th anniversary over the coming weeks, but it has yet to reveal any specific plans. Apple was founded on April 1, 1976, so the company will turn 50 on April 1, 2026. "While Apple is known for looking forward, this milestone offers a special moment to reflect on the journey that has brought the company here, to celebrate the...