Windows 8 Tablet Prices?

As Windows 8 tablets are gaining momentum, there is lot of buzz around its ‘pricing strategy’. A recent survey from ZDNet, tried to capture the optimum price that users are comfortable to spend in owning a Windows 8 tablet. Price range of $200- $399 got the maximum percentage of votes at 38%. 19% of the voted prefer a price tag of less than $199. No prizes for guessing that Amazon’s Kindle Fire selling at $199 made these guys optimistic and demanding. Also there are many entry level Android tablets swarming the market at similar prices. 27% are ready to pay anywhere between $400 to $599.

A 32GB WiFi enabled iPad 2 costs around $599 and only 16% of users are ready to pay more than this for a Windows 8 tablet. At least on this part, the writing on the wall is clear. A price of $599 should give the OEMs a sizable profit margin. A price below $199 would not be feasible as the OEMs need to take a significant cut. ZDNet thinks that $499 is the sweet-spot for pricing a Windows 8 tablet. This is same as the price of an iPad and Microsoft might not be having much leverage in changing this as they are late entrants in the tablet party.

Anything above $500 would not help Windows 8 in cutting Apple’s share of the tablet market. We need not look further than Motorola Xoom and RIM’s playbook to see the consequences if manufacturers become greedy and price Windows 8 tablets exorbitantly. Manufacturers like Dell, HP & Samsung might be pondering over these results in fine-tuning their strategy. Launch of the iPad 3 and Apple giving discounts on iPad 2 might completely alter the picture though.

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5 comments

  1. I think you’re looking at it wrong… I think Win 8 tablets are going to be competing with mac book airs and ultrabooks! The market will overshadow both Apple and Android within a year or two. Because Win 8 scales well on ARM processors, there will certainly be tablets in the $500 price range… but even then I suspect that these will be compared w/ laptops as well. Win 8 is really the first OS to make a tablet a truly viable option to replacing a laptop… I think that will be the appeal.

    1. Very good point you make here im not so sure about overshadowing Apple & Android though, they must certainly have something in the works.

      Replacing a laptop however – i think you are bang on the money with that comment, lets hope so ey :)

  2. The longer Microsoft waits to release a tablet the harder it will be for Microsoft to come back. iPad3 is just around the corner and iPad4 is being released in mid-2012. That’s not the only threat: as soon as the new iPad versions are released, the price of iPad2 will go down to as low as $300, perhaps $200. Now that’s just iPad… what about Android? Ice Cream Sandwich (ICS) is already out and in a few weeks they will ship new ICS tablets that will cost a mere $99 (e.g. RamOS). Faster android tablets with Tegra 3 and other quad core processors are already available and because they are laptop-convertibles there’s a good chance they will rule the laptop market. Then sometime this year, Google will release Jelly Bean, the next dessert. Google and Apple are already serving desserts and coffee… and Microsoft? Well, it’s just serving appetizers.

    1. Haha very well put, yes Microsoft really does need to pull its finger out of its ass. iPad2 prices will drop big time when 3 arrives later this year. For what most people want from a tablet iPad2 meets most peoples demands easily (checking email, browsing etc) so i think lots of people may just go with the iPad2.

      ICS tablets certainly look tasty, cant wait to try those out!

  3. i think you guys are also right, but what I’m looking for in the new tablets is the desktop UI. I want to be able to do computer-like functions on an iPad-like device.

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