The big reason the iPad 1 wasn't $800-$1000 is because the adoption rate wouldn't have been nearly as big as it was. For one thing - many people were trying to figure out what it could or would do and what the real benefits were. The iPad (albeit arguably) at the time it was introduced didn't really solve any problem people were actually having. You could argue netbook vs .... but when the iPad first came out - it was hardly a very productivity-based machine. That didn't come until a bit later. And even now - many people would argue that although things are much much better - there are still parity issues when working on documents on both the iPad and computers which make using the iPad not entirely productive.
$499 (to start) was low enough for many to take a chance knowing at the very least, they were getting a great media consumption device. For 800-1000 expectations would have been far far greater and the iPad would have failed (in my opinion) to win over customers at that price point when it was launched.
$499 (to start) was low enough for many to take a chance knowing at the very least, they were getting a great media consumption device. For 800-1000 expectations would have been far far greater and the iPad would have failed (in my opinion) to win over customers at that price point when it was launched.