Rumor: Pegatron to build 50-60% of 'iPad mini' orders, breaks Foxconn's iPad monopoly

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Comments

  • Reply 21 of 82
    blackbook wrote: »
    The fact isnt't that Apple is "unable to make a $299 tablet."

    Apple is able to do anything. Its more of a question if they would build a unique brand new product and price it far lower than all their other products.

    Google doesn't make a profit on the Nexus 7's hardware at all, Apple on the hand being a hardware company needs to make a profit on their products.

    But it's possible for Apple to make a decently affordable Mini with low specs perform well enough. But don't expect the spec sheet to come anywhere close to that of the Nexus.

    Like I said above think A4, 8GB storage, VGA front cam etc for about $249. They might make a better model, but it'll still probably only be A5, 16GB storage for $349. Does that sound like an appealing tablet to you?

    Actually no. It's seriously outdated and underpowered. Will the scaling down of apps work well?
  • Reply 22 of 82

    Quote:

    Originally Posted by MacVicta View Post




    What way would that be?  Leave out the cameras?  Give us the shittiest screen they can get their hands on?  That isn't the Apple we know.


     


    I just find it incredibly hard to believe that the iPad mini and iPod touch 5G would both start at $299.



     


    I share that incredibility. There is just no space for the 7" iPad in the price lineup with the iPod Touch at it's current prices. Unless Apple is planning on dropping the prices on the Nano and Touch when they announce the 7" iPad, I can't see how they plan on fitting the smaller iPad into the mix. 


     


    If Apple would drop the prices in October it would surely throw a wrench into the competition's holiday sales planning as by then it will be too late for the competition to adjust their production or pricing to protect their profits. 

  • Reply 23 of 82

    Quote:

    Originally Posted by dasanman69 View Post





    Actually no. It's seriously outdated and underpowered. Will the scaling down of apps work well?


    Well those are the same specs as the current entry level iPod Touch and iPhone 4 Apple is still selling, so it seems like a probable expectation especially if we are to expect a sub $300 price. 


     


    Problem may come with the fact it has to push around more pixels than the iPod Touch and iPhone 4 do, but the iPad 1 was fine with an A4 chip.


     


    App scaling should be fine considering app icons and most touch points will be the same size they are on the iPhone and iPod Touch if the rumored 7.85 inch screen is accurate.

  • Reply 24 of 82


    let's think about it,

    - the iPad mini (16GB, wifi only) for $199 (or 249?)


    - if Apple plans to launch a "newer iPad" (16GB, wifi only) in the next 6 months, that could offer at $499.


    (If there were only LTE models of the "newer iPad" that could have a higher price tag)


    - the actual "new iPad" (16GB, wifi only) would lower to $399 and the iPad2 (16GB, wifi only) to $299.

     


    iPod Touch is not in the same category and it has Retina-display, although the iPad mini* still could heart its sales.

    The iPad2 and the iPad mini may have similar specs apart from the screen size that is not so different (2") though. It doesn't worth $100, perhaps $50 for that difference, that's why $249 price tag seems more reasonable for the iPad mini.


     


    After all, I think an iPad mini would only make sense if it had different form factor, e.g. a different screen-tech for easier reading ebooks. It shouldn't be positioned for better gaming if the hardware performance wasn't of the newest tech that the new iPad and the iPod Touch have.


     


    edit:


    *or the iPad2 as well.

    There is one issue here, Apple won't lower the price of each of these until launching a "newer iPad" (probably until next spring).

  • Reply 25 of 82

    Quote:

    Originally Posted by blackbook View Post


    The fact isnt't that Apple is "unable to make a $299 tablet."


     


    Apple is able to do anything. Its more of a question if they would build a unique brand new product and price it far lower than all their other products.


     


    Google doesn't make a profit on the Nexus 7's hardware at all, Apple on the hand being a hardware company needs to make a profit on their products.


     


    But it's possible for Apple to make a decently affordable Mini with low specs perform well enough. But don't expect the spec sheet to come anywhere close to that of the Nexus.


     


    Like I said above think A4, 8GB storage, VGA front cam etc for about $249. They might make a better model, but it'll still probably only be A5, 16GB storage for $349. Does that sound like an appealing tablet to you?



     


    From what I've read, the Google Nexus 7 isn't selling well. People are just generally shunning it. While Google doesn't make any money on the Nexus 7, Apple. with it's economy of scale, could make their required margins selling the iPad 7 at the same retail prices. The problem, from my point of view, is where does Apple position the iPad 7 price-wise?? How does it fit in the narrow gap between the iPod Touch and the iPad 2?  


     


    My only guess is that Apple has to market the iPad 7 as a solution for a new purpose that is unfulfilled by the iPod Touch.

  • Reply 26 of 82
    From what I've read, the Google Nexus 7 isn't selling well. People are just generally shunning it. While Google doesn't make any money on the Nexus 7, Apple. with it's economy of scale, could make their required margins selling the iPad 7 at the same retail prices. The problem, from my point of view, is where does Apple position the iPad 7 price-wise?? How does it fit in the narrow gap between the iPod Touch and the iPad 2?  

    My only guess is that Apple has to market the iPad 7 as a solution for a new purpose that is unfulfilled by the iPod Touch.

    So where's the huge market that Apple's missing out on? I just don't get it. We all saw Samsung's dismal sales reports of their tablets and if the Nexus 7 isn't selling well either then where's the big booming market I keep hearing about that Apple absolutely has to address with a new device that has 2-3 yr old tech? With that technology how long can Apple offer updates for it? Will it run a full version of iOS 6 or a stripped down version?
  • Reply 27 of 82

    Quote:

    Originally Posted by Macky the Macky View Post


     


    From what I've read, the Google Nexus 7 isn't selling well. People are just generally shunning it. While Google doesn't make any money on the Nexus 7, Apple. with it's economy of scale, could make their required margins selling the iPad 7 at the same retail prices. The problem, from my point of view, is where does Apple position the iPad 7 price-wise?? How does it fit in the narrow gap between the iPod Touch and the iPad 2?  


     


    My only guess is that Apple has to market the iPad 7 as a solution for a new purpose that is unfulfilled by the iPod Touch.



    That's an idea.


     


    But my primary concern is that any iPad Mini will cannibalize Touch and iPad sales. There's no getting around that fact. So in order for the cannibalization NOT to be a negative for Apple, the profit margins of the Mini have to match those of the products its stealing sales from or else Apple's overall margins will drop significantly.


     


    So the Mini need 30-40% margins in order to even make sense for Apple and that may be achievalbe, but we'll see what happens.

  • Reply 28 of 82
    apple ][apple ][ Posts: 9,233member


    Apple does not need to go down the road of catering to the lowest class denominator. There are already plenty of garbage products which caters to that sort of crowd, and we all know how that's worked out.


     


    Even $500 for a tablet is not too much, and frankly, if somebody can not afford that cheap price, then they have no business buying a tablet. They probably have other, more pressing issues to worry about, like worrying about where their next meal is coming from.


     


    Since we now know that the newest gen iPod Touch is $299, it will indeed be interesting to see what an iPad Mini will be priced at and what features it will have, if such a product even exists.


     


    Even though there will be plenty of whiners and cheap people complaining when and if the iPad Mini comes out, I'd say that $349 is an alright price for the 16 Gb version, and Apple shouldn't price it any cheaper than that. People who think that that is too expensive are not the kind of customers that are worth even having. Let Android deal with the riff raff crowd, they can have them. It's simply not good business or even worth it to cater to that market, where you end up peddling low class, inferior products to people who view price as the main feature, above everything else. That's not Apple's philosophy.

  • Reply 29 of 82

    Quote:

    Originally Posted by MacVicta View Post




    What way would that be?  Leave out the cameras?  Give us the shittiest screen they can get their hands on?  That isn't the Apple we know.


     


    I just find it incredibly hard to believe that the iPad mini and iPod touch 5G would both start at $299.



    Actually, I don't find it incredibly hard to believe.  The iPod Touch 5G @ $299 includes 32GB of storage and the 4" in-cell 326ppi Retina screen.  Currently, that screen in the iPod Touch 5G is expensive to produce.  Considering Apple's scale & advantage in manufacturing, an iPad Mini @ $299 is doable;


     


    16GB of storage


    A5 processor (from iPhone 4S)


    512MB of RAM


    1024x768 163ppi 7.85" screen (same resolution screen as iPad 2)


    iSight camera @ 5 megapixel (same camera in the iPhone 4S or iPod Touch 5G)


    FaceTime HD camera


    1080p Video recording


     


    I don't see Apple doing a $199 iPad Mini.  It would require too many shortcuts and wouldn't make for a compelling product.  At $299 with the above specs, I'm confident it can sell well.  The big question is, will produce a retina version of the iPad Mini this fall, and if so what will they price it at? With their entire device line-up utilizing a retina screen, it makes no sense to not have one.

  • Reply 30 of 82

    Quote:

    Originally Posted by herbapou View Post


     


    People who cant afford a 500$ tablet but still want to get into the Apple ecosystem...   To parents that want a cheaper tablet for there kids.  To people who wants something more portable.


     


    That thing is going to sell like hotcakes, especially just before Christmas



     


    Since when does Apple care for these people at the expense of their values?  Apple pushes the envelope with high quality products.  They don't release new tablets with two year old inferior technology to gain higher market share. 


     


    If their aim is more access to the iPad, then they can accomplish that by leaving the iPad 2 on the market next year for $299 while "iPad 3" drops to $399 and "iPad 4" arrives to fill the $499 space.


     


    The only reason Apple would deviate from that and release a new 7 inch tablet is if they feel that they have an attractive alternative that could benefit its customers, but that product must be of the same high standards as everything else they make.  Creating the best product comes first; price is secondary.  That product cannot be had for $299.  The iPad mini you envision would be the first product that tosses aside everything Steve Jobs represented and possibly begins a slide into the mediocre world of generic consumer electronics.

  • Reply 31 of 82
    herbapouherbapou Posts: 2,228member

    Quote:

    Originally Posted by Shameer Mulji View Post


    Actually, I don't find it incredibly hard to believe.  The iPod Touch 5G @ $299 includes 32GB of storage and the 4" in-cell 326ppi Retina screen.  Currently, that screen in the iPod Touch 5G is expensive to produce.  Considering Apple's scale & advantage in manufacturing, an iPad Mini @ $299 is doable;


     


    16GB of storage


    A5 processor (from iPhone 4S)


    512MB of RAM


    1024x768 163ppi 7.85" screen (same resolution screen as iPad 2)


    iSight camera @ 5 megapixel (same camera in the iPhone 4S or iPod Touch 5G)


    FaceTime HD camera


    1080p Video recording



     


     


    This is the kind of spec I am expecting for the mini too.


    Note: the 4s use a 8 megapixel camera, not a 5MP


     


    I don't see how those specs would represent a lower quality product that is not in line with Apple values.  Those are good specs for a smaller size tablet and it will offer more choice to the consumer.

  • Reply 32 of 82
    jragostajragosta Posts: 10,473member
    macvicta wrote: »
    Since when does Apple care for these people at the expense of their values?  Apple pushes the envelope with high quality products.  They don't release new tablets with two year old inferior technology to gain higher market share. 

    If their aim is more access to the iPad, then they can accomplish that by leaving the iPad 2 on the market next year for $299 while "iPad 3" drops to $399 and "iPad 4" arrives to fill the $499 space.

    The only reason Apple would deviate from that and release a new 7 inch tablet is if they feel that they have an attractive alternative that could benefit its customers, but that product must be of the same high standards as everything else they make.  Creating the best product comes first; price is secondary.  That product cannot be had for $299.  The iPad mini you envision would be the first product that tosses aside everything Steve Jobs represented and possibly begins a slide into the mediocre world of generic consumer electronics.

    What's with everyone throwing out strawman arguments against the iPad mini?

    Of course Apple isn't going to sell a crappy product. But there's no reason they can't sell a 7-8" high quality iPad. Some people actually prefer that size and Apple could offer a premium product for that size without cutting corners. Selling the outdated iPad 2 does not meet the requirements of those wanting a smaller iPad.

    I would envision:
    IPad 3 - $499
    iPad 2 - $399
    IPad Mini - $299-349

    Next year, it would be:
    iPad 4 - $499
    iPad 3 - $399
    iPad Mini 2 - $299-349
    iPad Mini - $229-249

    None of those numbers are impossible to hit.
  • Reply 33 of 82

    Quote:

    Originally Posted by Shameer Mulji View Post


    Actually, I don't find it incredibly hard to believe.  The iPod Touch 5G @ $299 includes 32GB of storage and the 4" in-cell 326ppi Retina screen.  Currently, that screen in the iPod Touch 5G is expensive to produce.  Considering Apple's scale & advantage in manufacturing, an iPad Mini @ $299 is doable;


     


    16GB of storage


    A5 processor (from iPhone 4S)


    512MB of RAM


    1024x768 163ppi 7.85" screen (same resolution screen as iPad 2)


    iSight camera @ 5 megapixel (same camera in the iPhone 4S or iPod Touch 5G)


    FaceTime HD camera


    1080p Video recording


     


    I don't see Apple doing a $199 iPad Mini.  It would require too many shortcuts and wouldn't make for a compelling product.  At $299 with the above specs, I'm confident it can sell well.  The big question is, will produce a retina version of the iPad Mini this fall, and if so what will they price it at? With their entire device line-up utilizing a retina screen, it makes no sense to not have one.



     


    Quote:

    Originally Posted by herbapou View Post


     


     


    This is the kind of spec I am expecting for the mini too.


    Note: the 4s use a 8 megapixel camera, not a 5MP


     


    I don't see how those specs would represent a lower quality product that is not in line with Apple values.  Those are good specs for a smaller size tablet and it will offer more choice to the consumer.



    According to component cost analysts the non-retina iPad 2 display cost more than TWICE as much as the retina iPhone 5 display. So don't expect savings for the Mini over the Touch because the display is non-retina. The display is still gonna be twice as large!


     


    http://appleinsider.com/articles/12/09/14/16gb_iphone_5_bill_of_materials_estimated_at_168


     


    http://appleinsider.com/articles/12/03/09/components_for_4g_lte_ipad_estimated_to_cost_310_netting_apple_51_margins

  • Reply 34 of 82
    jragostajragosta Posts: 10,473member
    blackbook wrote: »
    That's an idea.

    But my primary concern is that any iPad Mini will cannibalize Touch and iPad sales. There's no getting around that fact. So in order for the cannibalization NOT to be a negative for Apple, the profit margins of the Mini have to match those of the products its stealing sales from or else Apple's overall margins will drop significantly.

    So the Mini need 30-40% margins in order to even make sense for Apple and that may be achievalbe, but we'll see what happens.

    I'm sure Apple would be happy to see a $299-349 iPad Mini cannibalize sales of the $229 Touch.
  • Reply 35 of 82

    Quote:

    Originally Posted by Shameer Mulji View Post


    Actually, I don't find it incredibly hard to believe.  The iPod Touch 5G @ $299 includes 32GB of storage and the 4" in-cell 326ppi Retina screen.  Currently, that screen in the iPod Touch 5G is expensive to produce.  Considering Apple's scale & advantage in manufacturing, an iPad Mini @ $299 is doable;


     


    16GB of storage


    A5 processor (from iPhone 4S)


    512MB of RAM


    1024x768 163ppi 7.85" screen (same resolution screen as iPad 2)


    iSight camera @ 5 megapixel (same camera in the iPhone 4S or iPod Touch 5G)


    FaceTime HD camera


    1080p Video recording


     


    I don't see Apple doing a $199 iPad Mini.  It would require too many shortcuts and wouldn't make for a compelling product.  At $299 with the above specs, I'm confident it can sell well.  The big question is, will produce a retina version of the iPad Mini this fall, and if so what will they price it at? With their entire device line-up utilizing a retina screen, it makes no sense to not have one.



     


    Let's remember that this iPad mini must be a profitable item.  There is no reason to hit the panic button and begin sacrificing profit margins in a mad dash for tablet market share (which they've only gained over the past year).


     


    So Apple has released the iPod touch 5G at $299, which they obviously expect to profit from, and you think that a larger product with a larger screen and battery can make them money at that same price?  You believe that the 4" Retina display and 16GB of flash memory makes that big of a difference?  Call me a skeptic until it actually happens.  If this were Amazon or HP or some other company that doesn't mind selling products with razor thin margins or at a flat out loss then I might be on board.  But we're talking about Apple and unless Tim Cook plans to embark on a new course for the company I don't see how they release an iPad mini @ $299 that makes them a lot of money.

  • Reply 36 of 82
    apple ][apple ][ Posts: 9,233member

    Quote:

    Originally Posted by jragosta View Post





    I'm sure Apple would be happy to see a $299-349 iPad Mini cannibalize sales of the $229 Touch.


    Not sure which $229 Touch you mean.


     


    The new iPod Touch is $299. The previous gen is now $199.

  • Reply 37 of 82

    Quote:

    Originally Posted by MacVicta View Post


     


    Since when does Apple care for these people at the expense of their values?  Apple pushes the envelope with high quality products.  They don't release new tablets with two year old inferior technology to gain higher market share. 


     


    If their aim is more access to the iPad, then they can accomplish that by leaving the iPad 2 on the market next year for $299 while "iPad 3" drops to $399 and "iPad 4" arrives to fill the $499 space.


     


    The only reason Apple would deviate from that and release a new 7 inch tablet is if they feel that they have an attractive alternative that could benefit its customers, but that product must be of the same high standards as everything else they make.  Creating the best product comes first; price is secondary.  That product cannot be had for $299.  The iPad mini you envision would be the first product that tosses aside everything Steve Jobs represented and possibly begins a slide into the mediocre world of generic consumer electronics.



     


    Completely agree. If Apple pushes out a so-so product just to boost the bottom line... time to sell. So, I don't think they'll do it.

  • Reply 38 of 82
    mstonemstone Posts: 11,510member


    The iPad mini should start around $399 in my opinion. The iPad 2 is a different device for a different target market as is the iPod Touch. I'm prepared to pay $599 for a cellular 32GB iPad mini.

  • Reply 39 of 82
    Actually, I don't find it incredibly hard to believe.  The iPod Touch 5G @ $299 includes 32GB of storage and the 4" in-cell 326ppi Retina screen.  Currently, that screen in the iPod Touch 5G is expensive to produce.  Considering Apple's scale & advantage in manufacturing, an iPad Mini @ $299 is doable;

    16GB of storage
    A5 processor (from iPhone 4S)
    512MB of RAM
    1024x768 163ppi 7.85" screen (same resolution screen as iPad 2)
    iSight camera @ 5 megapixel (same camera in the iPhone 4S or iPod Touch 5G)
    FaceTime HD camera
    1080p Video recording

    I don't see Apple doing a $199 iPad Mini.  It would require too many shortcuts and wouldn't make for a compelling product.  At $299 with the above specs, I'm confident it can sell well.  The big question is, will produce a retina version of the iPad Mini this fall, and if so what will they price it at? With their entire device line-up utilizing a retina screen, it makes no sense to not have one.

    Answer me this. How much ridicule would a competing device get on this forum if it had those specs and was announced tomorrow?
  • Reply 40 of 82

    Quote:

    Originally Posted by dasanman69 View Post





    Answer me this. How much ridicule would a competing device get on this forum if it had those specs and was announced tomorrow?




    I'll answer that, but let's set the context.   Apple first releases an iPad mini that fits their standards.  It's a 7.85in Retina display, the A5X chip with 1GB RAM, a 5mp camera with FaceTime front cam, etc.  Essentially a smaller, lighter, thinner version of the iPad 3.  And Apple brings it in at $399.


     


    Then next year HP releases a 7.85in Android copycat tablet with the specs listed by that previous poster for $299.


     


    Once you frame it that way, you can see how the battles would play out around these parts.  We'd be chiding HP for skimping on quality for the sake of market share and proud of Apple for releasing the best product they could make, even if it meant a higher price tag.  For creating a brand new product because it makes us look at tablets a little differently, not to lower the iPad price floor.   If Apple releases a smaller tablet then this is how it should play out; anything else and it's the start of Tim Cook taking Apple into the generic electronics abyss. 

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