Wintel Tablet Prices to Start at $600
While more of a steady smolder than a spectacular blaze when compared to the iPad, the Kindle Fire has shown that consumers are not averse to buying a non-iPad tablet as long as the price is right and the specs not too shabby. Amazon has literally lit up the tablet market, with a number of vendors now taking its lead in releasing affordable Android tablets. All the combustion metaphors aside, this surge in the ranks of decent budget tablets is only going to make the task that much harder for Wintel tablets, especially given Microsoft and Intel’s reluctance to subsidize their products. Everyone wants to know just how the duo would respond. Will the two giants try and enter into a price war with their rivals?
The answer, according to Digitimes’ sources at notebook vendors, is a loud no. While not quite as much as China’s ridiculously overpriced RedPad, these anonymous sources expect tablets based on Intel processors and Windows 8 to cost anywhere between US$599-899. But they believe that the decision to offer discounted prices to tablet vendors won’t be an easy one, should the Wintel duo want to. This is due to the fact that cheap Wintel tablets could “seriously damage pricing in the PC market and bring down their gross margin performance.”
The paper’s sources find Intel’s situation to be a bit more unenviable than Microsoft’s, as a failure to offer affordable pricing on chips to Windows 8 tablet vendors could result in them opting for cheaper alternatives like AMD’s x86 APUs and ARM-based SoCs.
Comments
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Thresher
January 18, 2012 at 3:38pm
The reason MS has never had a successful tablet is because they have been intent on shoveling the Windows "experience" onto a product that doesn't need it. Apple and Android have shown that a limited interface with tightly written apps is the way to go. Even further, Apple and Kindle have shown that having the machine tied into an ecosystem that extends beyond the unit itself is the way to be successful.
A tablet based on the desktop paradigm, even with a better OS, is still going to fail. Tablets are not desktop replacements. They aren't even really competition for a desktop. They are their own format and because Apple understands this, they are successful.
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loozer
January 18, 2012 at 3:58pm
A tablet without awesome desktop features will have nothing to offer against apple and google. Something like that will be doomed to fail like the HP tpuchpad.
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Danno25002
January 18, 2012 at 1:55pm
I don't get it. Windows/Intel has always offered an equal, if not superior product, for %25 or more less cost than Apple. What gives?!?!?!?!
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loozer
January 18, 2012 at 4:00pm
An intel i5 is over 20x faster than an apple A5. Paying slightly more should be expected.
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loozer
January 18, 2012 at 1:42pm
And why do people expect to get an i5 PC for less than $600?
There are already wintel tabs with lower end processors and windows 7. I'm sure they will not be left out of windows 8.
Edit:
http://www.newegg.com/Store/SubCategory.aspx?SubCategory=32&name=Laptops-Notebooks&Order=PRICE
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praack
January 18, 2012 at 10:19am
i think there are two things here- 1) where is win 8 Arm - still promised to Dev but not out yet- vaporware?
2) unsure on the market- they are not afraid of desktop sales as much as loss of laptop sales. the ARM tablet was supposed to be the ipad killer, if ARM WIN 8 does not come out then a wintel 8 tablet would eat into existing notebook and the new Ultrabook sales
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AntonioGarrison
January 18, 2012 at 10:02am
I'll believe it when I see the first tablet. Can't rely on rumors. That's like me starting a rumor that all people who use Apple computers have been exposed to Aids.
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w2ed
January 18, 2012 at 9:43am
I like the prices - and understand why they'd have to be that price.
There is a huge advantage to using an x86-based Windows 8 Platform that simply won't exist on other tablets: true software compatibility. Obviously Office will be ported to any Windows-based machine - as will any other major software product from Microsoft - but do you see Adobe creating a version of Photoshop for Arm-based or Andriod tablets that is the same as the version that shows up in OS X or Windows? What about Illustrator? While it may seem like a ridiculous idea to try to find a way to port something from Avid to the Arm platform, it could become a possibility to make it work on an Intel-based tablet in a few years. Granted, these machines will never do the number-crunching that a higher-end workstation will do, and they'll never play a high-end game to the fullest potential, but there are plenty of industries, such as media creation, medicine, and engineering where the compatibility with the software they use on their Windows-based desktops and laptops will become a big factor for its success. That's not knocking Arm-based Windows 8 or Android platforms, but unless you're programming a game that becomes grossly popular (Angry Birds?), the desire to create your software for such platforms will be based on budget and customer demand - and I don't see the demand for Photoshop on an Android-or-Arm-based machine in the same way it would be implemented on an x86-based Windows Tablet.
Taken from this perspective - that the $600-$900 x86-based tablet would be akin to the $7000+-based desktop and laptop PC's - it's not so bad. Will there be high adoption? Probably not as much as an ARM-based Windows machine or an Android, but with what such a system brings to the table over these machines, maybe it's not necessary. Beside's, Microsoft has another $500 piece of fruit in its targets - and I believe they, like the rest of the industry, would like to see them fall down a few notches.
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chart2006
January 18, 2012 at 8:24am
Well so much for a Windows 8 tablet. This will never make it on the market.
Sounds a little fishy to me. I'm betting there is some anti-competitive practices here somewhere.
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wannabemedontu
January 18, 2012 at 8:08am
This is so stupid. So they will sink there product before it even comes to market. They never learn. They expect us to buy at this high price to maintain there "gross margin performance" rather than what is actually worth in the market place. Looks like I will be buying an android tablet after all.
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