

What a $99 HP TouchPad does and doesn't teach us. - technologizer
http://technologizer.com/2011/08/22/99-hp-touchpad/

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pedalpete
I too have been questioning what other strategies HP could have considered.

They must have known that at the time of the release the touchpad as is wasn't
going to compete with the iPad or many Andriod pads at the release price. They
also should have realized that a premium product already existed in the
marketplace, and their hardware didn't measure up. They should have looked at
their strengths (webOS) and considered a Micrsoft x-box like strategy to sell
their strengths on a cheaper device, and go upscale as they had more traction
with the OS and were able to create a better hardware solution and had worked
the bugs out.

It is my understanding that the hardware of the touchpad is very competitive
with the iPad and top-end androids, but the feel of it was weak, and the
device definitely had problems.

An initially sub-$200 selling price on 2-million units would have resulted in
a 2 billion dollar loss, but also would have put HP and webOS as a strong
presence in the tablet space. They would get more apps built, making the
ecosystem even stronger. They could have learned from their inexpensive entry,
and come out with higher-end devices. Of course, the hardware in the original
touchpad will get cheaper over time, so theoretically, they could keep
producing the original for a few years, and end up recovering lost $$ on early
sales in two years or so.

