HP Touchpad Discontinued

Published: August 23, 2011

HP Touchpad Discontinued, Tech analysts were stunned late last week when HP announced it would abandon its WebOS devices, including the newly released TouchPad, but retailers were even more shocked when a reduced price to $ 99 have seen thousands of people line up to get their hands on the device.

Sales of fire – which saw all the shares are sold in Australia last week – has also raised questions about whether such a price level could be a blow to the dominance of the Apple iPad.

Telsyte analyst Alvin Lee said there is certainly a place in the market for a price of less than 500 tablets and to undermine the iPad.

“Our estimate for the end of 2011 will be that of the IPAD retains about 71% market share, with other platforms that make up the rest of the market. We expect that the tablet devices arriving late in the market will need to undermine Apple prizes behalf of the consumer. ”

“We believe that a sub-$ 500 rooms will be successful in the Australian market. I think a device that costs this amount of basic features such as browsing and emailing schedules makes sense for the consumer. ”

There is certainly a demand for such a device, with retailers selling all the HP touchpads in the last days. Harvey Norman has confirmed this morning that he had sold, while reporting a profit on eBay have emerged as customers try to sell the devices more than double the discount.

While many users bought the TouchPad due to the announcement that he would no longer be manufactured, delivery to $ 99 cannot be bad, analysts say.

However, Ovum analyst Tim Renowden said to mount a challenge for the IPAD at this price is a major challenge.

“It is very difficult or impossible to produce a tablet that is competitive at this price. The reason why the TouchPad yesterday was so popular was because it is a tablet, which is basically $ 500 for sale a lower price. ”

“It is untenable, because the manufacturing costs would be several hundred dollars. There have been some attempts to make pills at low cost, but they have not sold anything like the iPad or generated the kind of enthusiasm. ”

Although Renowden said that manufacturers may be able to reduce quality to cut costs, which is not necessarily a sustainable strategy.

“People are going to compromise on quality, but there is a limit to how far you can push it.”

HP’s announcement that it would cease WebOS products stunned analysts, some of the software should be to mount a challenge to Apple and Android.

However, the TouchPad is abandoned challenges entrants compressed, especially around the creation of attractive features, and a critical mass of applications and developers.

HP’s future is in question after the company hinted that it would spin off its PC business.

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