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Alleged iPad UK Pricing Leaks

Gordon Kelly

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Alleged iPad UK Pricing Leaks

Read about the new iPad Air and iPad mini 2

We'll take this with a pinch of salt, but allegedly these are the UK RRPs for the impending Apple iPad...

Obtained by Geeky Gadgets, it claims the entry level 16GB iPad will cost £389 with the 32GB edition running at £439 and the 64GB version costing £489. Unsurprisingly, this compares unfavourably with US prices of $499 (£328), $599 (£394) and $699 (£459) respectively though admittedly Apple has had far worse cross-Atlantic exchange rates in the past.

What is significant, however, is all three of these models are part of a first wave of iPads which will ship in late March without 3G. This is notable because integrated 3G is still a hugely expensive part of any mobile device and in laptop terms tends to add at least £100 (circa $150) onto the cost. This could potentially see 3G enabled iPads (really the only version worth having in my opinion) priced around £489, £539 and £589 which is a long way outside of netbook territory.

Furthermore, iPads don't have USB ports either so it isn't as if you can use your existing 3G dongle meaning you either have to opt for 3G at the point of your iPad purchase or pass it up altogether.

With many already sceptical that the iPad is little more than a 'big iPod touch' these prices - if correct - are unlikely to win it any new admirers...

Link:

via Geeky Gadgets

Steve

February 26, 2010, 7:35 pm

"This is notable because integrated 3G is still a hugely expensive part of any mobile device"





A whole $3 of manufacturing costs per item :)

Gordon394

February 26, 2010, 7:53 pm

@Steve - simply not true I'm afraid.

Paul Dunn

February 26, 2010, 7:59 pm

The non 3g version would be fine if you could tether it to a non jailbroken iphone, imo.

ChaosDefinesOrder

February 26, 2010, 8:00 pm

as far as I'm aware, the vast amount of the cost of implementing the 3G module (and similarly with cellphone radios) comes from the licensing costs

piesforyou

February 26, 2010, 8:04 pm

Oh cool....





...has anyone found a use for this thing yet?

jokersavage

February 26, 2010, 8:07 pm

With use of a 3g wifi or mifi you can save yourself £50, on contract get a mifi for £50 or pay as you go for about £80 with the bonus of it working with everything not just a ipad. Or knowing most people that get this will have an iphone simply enable tenthing and bob's your uncle one would have to assume! If you can't do the latter then "bad apple"..

jopey

February 26, 2010, 8:09 pm

A 3G dongle costs less than £20, I can't imagine it would cost more than one of those for the same components; especially not at bulk costs. Also the ipad must have a USB bus or an equivalent in there somewhere, it can't be that complicated to hook something to it. What are we missing here Gordon?

HarryGlass

February 26, 2010, 8:23 pm

They really should have called it a "touch maxiPad".





Yes it's a ridiculous device, just doesn't compete with netbooks/CULV machines at all. It reminds me of Palms' Folio or the Redfly; a device giving a function nobody really needs.





Tho when you think about it when the Archos 705 was about £350-400 when it came out two years ago, at least we can see how far tech has come in this time.

Andy0d2

February 26, 2010, 8:27 pm

Its not $3 but it is definately no more than $30. I am not making that up but bare in mind thats OEM pricing and that the ipad may have to be rejigged (but shouldn't otherwise thats terrible planning). I will admitt a few years ago it was in the $100 region but how many 3G PAYG phones can be had for under £100. I got a 3G PAYG for about £70 last year and prices can only be coming down.

Max

February 26, 2010, 8:43 pm

Hmm, expensive as well as rubbish now. This has fail written all over it.

Brian Carter

February 26, 2010, 8:54 pm

Are these exc/inc VAT? 17.5% added to £328 is £385. 17.5% added to £394 is £463.





(reading the original article this seems to be what a lot of others are saying as well).





To be honest, I think Apple's is more concerned with getting people to buy the machine so that they'll then buy Apps for them from which Apple will make a lot more money. But I'm neither an accountant nor a product marketer so I may well be wrong :)





Do I want one? Not yet - I'll wait until the 2nd gen and until I've had a chance to play with one.

Gordon394

February 26, 2010, 9:00 pm

@jopey you forget 3G dongles are comparatively huge, the cost kicks in when you scale them down.





@Andrew Violet phones are a completely different kettle of fish and they are heavily subsidised.





I have no doubt 3G connectivity can be installed for less than £100, but that is the current going rate and - as you know - Apple isn't a fan of undercutting prices...





@Brian - it wasn't stated, but I believe it is including VAT. Without and this really would be pricing madness.

Ala Miah

February 26, 2010, 9:05 pm

This is genuinely the first Apple product that i DON'T want and the pricing hasn't changed that.

morsch

February 26, 2010, 9:07 pm

Yep, what Brians said. Not sure what you were expecting, this is the US prize (which doesn't include taxes) + VAT. Were you expecting no VAT on the iPad?





And the radical naysaying this product is getting among geeks is pathetic. Hell, I'm not buying one either, but saying that it has no uses and/or no uses anybody needs is just absurd. Especially since it's often coming from the same people who can't stop salivating over Archos products which do similar stuff in a less attractive package and with a stab-my-eyes-out-broken interface. The only thing worse than Apple fanboys is anti-Apple fanboys who refuse to see any positive features of Apple products despite the overwhelming evidence.

Gordon394

February 26, 2010, 9:17 pm

@morsch "The only thing worse than Apple fanboys is anti-Apple fanboys who refuse to see any positive features of Apple products despite the overwhelming evidence."





I'd say about the same ;)

Andy0d2

February 26, 2010, 9:17 pm

@Gordon read my comment thats for a PAYG phone! (BTW thats unlocked no carrier). I'm sorry the parts won't cost even £20 and yet they charge over £100. A 3G dongle is not that big when you consider the fact that it will be just the silicon (1 one layer no doubt). The statement that it is a an expensive 'part' (at OEM end) is simply not true. To put it in content the upgrade from 16GB to 64GB will be easily more than the cost of 3G and yet the end user expensense is supposidly the same. I'm not saying it won't be £100 more though.

RazorA

February 26, 2010, 9:33 pm

Don't you see people, you've got it all wrong! This isn't for the ordinary folk here in good old Blighty. It's for the Investment Bankers who have recently received their wonderful bonuses, that will be the focus market for Apple UK. If you really want one get elected as an MP this year and claim it as a work expense.





But seriously. This is quite a mark up, even with the bad exchange rates. I guess I'll wait for when we have such similar products using instead electronic paper or holograms.

GoldenGuy

February 26, 2010, 9:43 pm

So $499 excl. tax becomes $595 incl VAT? Hmm, maybe other people can confirm that. I know US Sales Tax varies from region to region but I don't think anywhere reaches 17.5%.





I do take issue with Gordon's contention that 3G is the only version worth having. This still doesn't seem like a particularly mobile device to me, and even less so if typing. The image that still sticks out in my head is of the light family computer anyone can pick up off the sofa or bring into the kitchen, where only Wi-Fi is needed. $130 for 3G is expensive though, which is why I can see there being a market for Wi-Fi use only.





I know they've been pushing the iWork applications so it works as a light productivity suite on the go but I can't quite imagine people delving into their bags to work on those documents. In the end the market will decide what it wants to do with it, just like the iPod Touch and it's sway towards gaming.

Gordon394

February 26, 2010, 9:46 pm

@Andrew Violet - they're loss leaders - Apple wouldn't be prepared to do that.

lifethroughalens

February 26, 2010, 9:54 pm

This product already feels so, yesterday.

HarryGlass

February 26, 2010, 10:54 pm

Come on there's always been a £ to $ issue, i don't think this is any worse than normal; I don't see what all the fuss is about. That's about the only thing that isn't a problem with device.

Martin

February 26, 2010, 11:12 pm

A huge part of a 3G-less first gen is the fact that Apple know fine well they can get away with naked planned obsolescence.

Vectorious

February 26, 2010, 11:25 pm

Gordon - I think I am missing something.





Who are you saying is subsiding unlocked phones as loss leaders? The Networks? Not if they are unlocked. The shop? I cannot see how, as people don't tend buy lots of phones at once, unlike groceries for example. The handset manufacturer? The idea to build customer loyalty on the cheap handsets before they graduate to more expensive ones? Possible, but seems unlikely. I cannot see where the money comes from to subsidize unlocked phones.





What am I missing?

Drazisaurus

February 26, 2010, 11:31 pm

I totally agree with GoldenGuy. I can't really see that this is a take out the house mobile device, and certainly not a replacement for a netbook. I'd need a bag to take this out the house anyway, so why not then put a laptop or indeed a netbook in it? All this makes 3G totally pointless imho. Rather have an iphone instead of this so i can have a computer in my pocket out of the house.





No - what makes this device have a point is that it is a simple lightweight thing to hold lounging on the sofa, reading the internet - maybe booking tickets or something that takes your fancy whilst you are watching the tele - just pick it up off the coffee table, no need boot up, and then off you go! Maybe, make some notes about something you want to do later, or check your calendar while on the phone to check if you are free or share some photo's with friends. I don't actually rate it as an e-book reader as it doesn't have e-ink or whatever its called.





With this in mind, i don't see the point of 3g or indeed having a memory size higher than 16gb. You certainly don't need the extra memory for music as you'll have access to your music through your laptop/ desktop/ hifi system in the home anyway. This device might be good for watching things such as youtube vids, but not anything longer than that as you would then use your tv and dvd/ apple tv or whatever. So more than 16 gig is pointless.





I can see that this product will be popular with people who have cash to spare and those people will see the benefits inside the house, not as a laptop replacement, but to make things such as the above tasks a bit easier. If you don't have the spare cash, then you really don't need anything more than a laptop and smartphone. In other words, its a useful luxury device for inside the home. Why waste the money and buy a 3g 64gb version?





For me, if i have the spare cash id happily pay £389. Seems reasonable to me.

Ironduke

February 27, 2010, 12:10 am

LOL at you lot





show me any app on the appstore or on any phone that is as powerful as iwork on the ipad.





By this time next year MS Office and a multitude of desktop apps will be available on the ipad.

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