How low iPad pricing , Apple?
The iPad’s lower than expected that the price drop in May even more if the device does not perform as well at market as Apple hopes. Recounting his recent meeting with some executives of the company in a statement released yesterday evening, Credit Suisse analyst Bill Shope said Apple is evidently quite willing to get even more aggressive with the iPad’s $499 to $829 pricing.
“While it remains to be seen how much traction the iPad gets initially, management noted that it will remain nimble (Pricing may change if the company is not attracting as many customers as expected),” Shope wrote.
Now it is a truism that most companies are open to lower prices of any product, if they need to increase their sales. Howeve, thi’s an interesting disclosure coming from Apple execs, particularly so far in advance of the iPad’s actual debut.
Without doubt, it calls to mind the company’s decision to slash the price of the iPhone by $200 two months after it went on sale and the early-adopter rebate it was forced to issue afterward.
It seems odd then that Apple executives allusion to the possibility of an early price cut lest they give folks already on the fence about buying the first iteration of the device more reason to stay there. Unless they’re planning a prerelease price cut to really juice sales. Remember, Apple reportedly stands to make about a 42.9 percent margin on the iPad, presumably so much for the company reached a price level even more aggressive than actually put the device in the range of Netbook.
