By now you’ve heard. iPad 2 is here. With a price increase.
Apple’s raised the price per pound of the device. There they go, taking advantage of the consumer again.
The original entry level iPad, a $499 product, gave us wifi and 1.5lbs of cool technology. For that same $499, the iPad 2 still gives us wifi, but now we only get 1.3lbs of cool technology.
The original iPad cost $333/lb, while the iPad2 has that jacked to $384/lb. That’s over a 15% price increase!
Don’t you see what they’re doing?

Categories: Technology


david how do you feel about the price per pound of ink ?
The internets have made ink free
Hummmmm.
I speculate at what they’re doing. But first I remember that when they brought out the original iPhone, it came out at $399 for six months, and then Apple dropped the price to $299. They caught the premium buyers at a higher price and then lower the price to catch the Christmas run.
I speculate that they are playing a similar game with the iPad 2. There is a gadget loving group that will pay $499 for the iPad 2. Then, they bring out the iPad 3 in September with some “must have” feature at $499 and drop the price of the iPad 2. All the gadget heads will spend $499 again and the Christmas rush crowd will either buy the new model or get the iPad 2 at a reduced, mass market price.
I have no data to back this up, it’s just speculation that Apple thinks they can repeat their double bite.
P.S. I also think the iPad 3 will be visually identical to the iPad 2.
Andy,
I try not to speculate about Apple, as I don’t trust the rumors. Personally, I do wonder if they’ll shift release to hit the holiday rush over time. Who knows.
I always thought they’d have more product extensions for the iPhone — like they eventually did with the iPod. Looks like they’re starting to keep the year prior’s model as a cheaper alternative.
I think the most interesting part of Apple is the supply chain dynamic, and the overall experience they can deliver as a result.
By the way, I’m not updating my iPad, though I did just buy a MacBook Air 13″ which I love second in this world only to Vanessa.
Cheers.