RIM's PlayBook Tablet in Desperate Need of a Price Cut
Research In Motion has put itself in a bit of a pickle with its BlackBerry PlayBook tablet. RIM launched the device before it was fully cooked and it jumped into the mobile fray missing critical features like native email, calendar, and contacts support. In our review of RIM's tablet, we concluded that "unless and until RIM finishes fleshing out the PlayBook, there's no reason to buy it." Turns out we weren't the only ones who felt that way.
A report in the U.K.'s Guardian suggests that RIM may be sitting on as many as 800,000 unsold PlayBook tablets. Let's put that number in perspective. According to RIM's second quarter financial report (PDF), it shipped 200,000 tablets in Q2 and 500,000 in Q1. Demand isn't yet at a standstill, but it's certainly slowed to a craw and now RIM is sitting on as many as 100,000 more tablets than the total shipped to date.
The situation presents a dilemma for RIM. An upcoming software update will address many of the PlayBook's shortcomings, but will it be enough to turn the tide? RIM is competing in the 7-inch tablet category, a category that's about to be fiercely fought with aggressive price points. It's rumored Amazon will release a $250 tablet, and Velocity Micro is getting ready to sell updated Cruz tablets for $240 (8 inches) and $300 (10 inches).
A price cut would go a long way in RIM's ability to compete with these and other moderately priced tablets, especially after it rolls out a software update and adds basic functionality that should have been included at launch. If we've learned anything from HP's TouchPad fiasco, it's not that there's no demand for non-iPad tablets, it's that the demand is there, if the price is right. That's not to suggest RIM should slash the PlayBook to $99, but at $300 (marketed at $299) or even $350 (marketed at $349) the PlayBook becomes a compelling buy. It's a decision RIM needs to make quickly, because if it waits too long, the PlayBook will become just another overpriced, last generation tablet instead of an overpriced, current generation slate.
Thoughts?
Comments
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Brad Nimbus
September 22, 2011 at 10:48am
I'm not a fan of the playbook at all. It just seems pointless to me RIM really needs to step their game up
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Holly Golightly
September 22, 2011 at 9:03am
I really, really want this tablet. I am willing to pay $700 they are asking for with the 64GB version. It is just, as a college student, this money does not come out of thin air. If I am going to get a tablet. Any tablet... It would only be the Blackberry Playbook. It is nice and small, fits in my purse, and feels good to hold. It is also easy to type on. Overall, no other tablet comes close to design and build quality of the Playbook. Yes, the price is a bit high though... But I feel it is well worth it solely based on hardware.
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Jorsh
September 22, 2011 at 9:52am
With all the missing features and lack of 3rd party support, why get this tablet over an android or ios tablet? Even still, why pay MORE than those other alternatives?
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Holly Golightly
September 22, 2011 at 10:19am
I have an Android phone that is almost incompatable with anything. Most of the time, when I install a new app, they just force shutdown... Rendering the app useless for the version of Android I have. Indeed, Android is by far the most fragmented OS out there. I know iOS is popular... But I do not like the design of the hardware. Curved in the back, the glass is at the very corner of the bezel. It seems very fragile, and I really do not feel like carrying a tablet of that size when a 7" can fit in my purse just fine. The Playbook just feels easier to hold and type with. Yeah, it is expensive, but it offers the quality hardware I desire from a tablet. When they do cut down the price, I am more likely to get it. But for now, I know everyone want gigantic 10" tablets with rounded backs.
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big_montana
September 22, 2011 at 11:02am
The Android "fragmentation" has more to do with the manufactureres slapping their own UI's on top of Android causing the incompatibility issues you face, Motorola is the biggest culprit as their Motoblur is just unstable to say the least. Google should have followed suit with Apple and Microsoft and allowed no changes to the OS, native Android only. The stock Android phones happen to be the most stable ones. Also, Lenovo does have a series of tablets in the size you are looking for coming our shortly running stock Android starting at $200, plus they add about 30 useful applications to them including a print app(so you can print to any printer), among others, not to mention they have what the Playbook is lacking, an email client, address book and calendar. Playbook may not get those until next year when they iron out the wrinkles with BES and QNX.
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DasHellMutt
September 22, 2011 at 3:29pm
I was beginning to think I was the only one who understood what a terrible thing this android skinning stuff is. You're absolutely right that its the cause of all the fragmentation. If not for all of the customization that OEMs are doing, they would have been able to roll out updates to newer versions of the OS as they appeared. Instead they just made new devices rather than do all the work to customize a new version of the OS for old hardware. Google needs to take back control over its OS to mandate compatibility with a standard driver library and prevent any changes to the UI by OEMs. Then OS updates can roll out when Google says so rather than OEMs or carriers.
Imagine if PC manufacturers were allowed to completely rework the Windows UI for each new model. Imagine if you had to wait on Dell or HP to decide when your machine got a Windows service pack It would be absolute chaos!
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Zoandar
September 22, 2011 at 7:21am
It's about time one of these manufacturers reap their deserved rewards for rushing half-baked products out the door. They are getting what they deserve, thanks to sources like MaxPC who tell consumers up front when a new product is lacking in basic features most buyers would assume are always going to be there.
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Jorsh
September 22, 2011 at 6:50am
It's appalling that they're trying to sell the thing for $499 - $699.
http://store.shopblackberry.com/Product/Product/PRD-38548-002
What's this tablet doing that would set it apart in the market?
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