Saturday, February 26, 2011

MOTOROLA SAYS XOOM WILL GET FREE UPGRADE TO 4G, JUSTIFIES HIGH PRICE TAG

The Motorola Xoom is one of the most anticipated tablets of the year. The device hasn’t hit the market yet, but pricing details are already available. A WiFi-only version will run $600, whereas a 3G-enabled model is priced at whooping $800. That’s the unsubsidized price. The carriers may offer subsidies which could reduce the cost.

Motorola has justified the high price tag by saying that the 3G model will eventually get a free upgrade to 4G. The company is also highlighting many other features that make the Xoom a better tablet (at least on paper) than the iPad. The tablet, for example, has a dual core NVIDIA Tegra processor, 1GB of RAM, a 1280 x 800 pixels display and front and rear facing cameras. iPad lacks many of these features.

Still it is too early to predict whether the market will accept a tablet that costs thrice as much as a typical netbook. After all, the Xoom can’t replace a netbook or a smartphone. It also requires a monthly data plan. The fact that iPad was a huge success doesn’t necessarily mean that there is a huge demand for tablets. A non-Apple company like Motorola or Samsung may not be able script a similar success story if that can’t offer a price that beats the iPad.

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