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Will Apple sell 2 tiers of iPad in future? ie. iPad 2 and iPad 3

PracticalMac

PracticalMac

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Original poster
Jan 22, 2009
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Is it possible Apple may continue to sell older versions of iPad at a lower price much like they do with iPhones?

Obviously it is to appeal to people with limited funds looking at cheaper alternatives.

The only factor for this possiblity is screen supplies. If their is spare manufacturing capacity to make the older screens.

Thoughts?
 
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poloponies

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May 3, 2010
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Doubtful, but it's conceivable that they'll be able to hit a variety of price points in the future. My guess is that the iPad will grow to be more computer-like in the next couple (few) years and they'll have a low-end/higher-end version. The secondary market already has 40 million plus iPads, so there's always going to an active used market.
 
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porcupine8

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Mar 2, 2011
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Right now, there are eighteen different models of iPad, if you count the two colors separately. Apple hates offering too many models at a time, this is an absurd number for them; no way will they double it to 36. The only way I see this happening is if they can get AT&T and Verizon into one model. That would take them down to 12 iPad 3 models, so they might have some wiggle room to offer, say, one size or one color of iPad 2 simultaneously.

But I'm also betting they would only do this if they can't offer the base model of 3 at the $499 price point. If the 3 had to start at $549 or $599, I could see them maybe offering the 32GB 2 for $499 or something. With growing competition, I don't think they want to raise their lowest price point right now (but being Apple, it's doubtful they'd lower it, either).
 
Sandman1969

Sandman1969

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Nov 5, 2007
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I can see them possibly doing what they have done with the 4s and continue selling the previous model.

Especially, if the new model has a Retina Display. I am not sure they can keep the price the same like they always do. So I could see them doing it.

If you want to consider colors being different models, they have been doing that with the iPhone for awhile. So, it isn't unlike them. Especially, since they branched out to Verizon. Though guess the 4S slimmed it back down since it is the same hardware now.
 
PracticalMac

PracticalMac

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Original poster
Jan 22, 2009
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porcupine8 said:
Right now, there are eighteen different models of iPad, if you count the two colors separately. Apple hates offering too many models at a time, this is an absurd number for them; no way will they double it to 36. The only way I see this happening is if they can get AT&T and Verizon into one model. That would take them down to 12 iPad 3 models, so they might have some wiggle room to offer, say, one size or one color of iPad 2 simultaneously.
Click to expand...

How is that different then an iMac?
It has 4 base models, and quite a large variety in options!

iPad is much simpler the iMac as it is, basically 3 options:
Capacity (16, 32, or 64)
Color (black or white)
3G w/ GPS (yes or no)

And it will stay 3 options with a consolidated 3G (4G?) service.
 
thewitt

thewitt

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Sep 13, 2011
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You can expect the combination radio in the iPad 3, eliminating the Verizon model. You can expect the iPad 2 to be dropped completely, with the iPad 3 price points being maintained as the same as the iPad 2.

They are still selling 200,000 units a day. There is no pressure to lower the price.
 
P

poloponies

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PracticalMac said:
How is that different then an iMac?
It has 4 base models, and quite a large variety in options!

iPad is much simpler the iMac as it is, basically 3 options:
Capacity (16, 32, or 64)
Color (black or white)
3G w/ GPS (yes or no)

And it will stay 3 options with a consolidated 3G (4G?) service.
Click to expand...

How is it different from the iMac? For one thing, Apple doesn't expect every one of thousands of retail outlets to carry every permutation of the iMac. Retailers do have to carry the spectrum of iPads or run the risk of disappointing customers.
 
wrinkster22

wrinkster22

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Jun 11, 2011
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porcupine8 said:
Right now, there are eighteen different models of iPad, if you count the two colors separately. Apple hates offering too many models at a time, this is an absurd number for them; no way will they double it to 36. The only way I see this happening is if they can get AT&T and Verizon into one model. That would take them down to 12 iPad 3 models, so they might have some wiggle room to offer, say, one size or one color of iPad 2 simultaneously.

But I'm also betting they would only do this if they can't offer the base model of 3 at the $499 price point. If the 3 had to start at $549 or $599, I could see them maybe offering the 32GB 2 for $499 or something. With growing competition, I don't think they want to raise their lowest price point right now (but being Apple, it's doubtful they'd lower it, either).
Click to expand...

I agree completley. If iPad 3 is like the iPhone 4s and works with any carrier I see the possibility for the cheaper iPad. Remember all the rumours about how there would be an all new iPhone 5 and then an iPhone 4s? Perhaps it got mixed up with the iPad... An all new one with a retina display and a cheaper budget model.
 
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MallCop

macrumors 6502
Jan 7, 2011
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While I don't think they will continue to sell the old version I do think they will create a smaller one at a cheaper price.
 
thewitt

thewitt

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Sep 13, 2011
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MallCop said:
While I don't think they will continue to sell the old version I do think they will create a smaller one at a cheaper price.
Click to expand...

Why? They have identified the sweet spot in the market. No other device is selling even 5% of the volume of the current sized device. There is no need to fill a gap in the product line when one does not exist.
 
M

MallCop

macrumors 6502
Jan 7, 2011
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thewitt said:
Why? They have identified the sweet spot in the market. No other device is selling even 5% of the volume of the current sized device. There is no need to fill a gap in the product line when one does not exist.
Click to expand...

That could be because ever other device in a smaller form factor offered no where near the functionality of the iPad and were selling for the same price. The kindle fire seems like it will sell well along with the nook tablet which I plan to purchase. What tablet sold well before the iPad? The iPod was selling more than anything else so why make the iPod Mini or Nano? The MacBooks sold well so why make the Air?
 
thewitt

thewitt

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Sep 13, 2011
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The Kindle Fire is still 100% hype - nothing shipping, and no pre-order volumes disclosed.

If its selling 10,000 a day after three months, I'll be surprised - but that will still only be 5% of the sales of the iPad.

I just don't see a market for a $499 smaller tablet, and the only way you sell cheaper than that is to try to make all your money on content like Amazon is going to try to do.
 
M

MallCop

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Jan 7, 2011
253
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thewitt said:
The Kindle Fire is still 100% hype - nothing shipping, and no pre-order volumes disclosed.

If its selling 10,000 a day after three months, I'll be surprised - but that will still only be 5% of the sales of the iPad.

I just don't see a market for a $499 smaller tablet, and the only way you sell cheaper than that is to try to make all your money on content like Amazon is going to try to do.
Click to expand...

For $499 I don't see a market either. If Apple can come in at $349 or less in the 7 inch form factor I can see it being a success.
 
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