Xoom tablet for $799 – Is Moto crazy?

    Perhaps the Xoom is a victim of over-engineering, and is trying to please too many over-seers.

    Moto Xoom rocked CES in Vegas.
    Moto Xoom rocked CES in Vegas.
    Moto Xoom rocked CES in Vegas.
    Moto Xoom rocked CES in Vegas.

    If the rumored price for the upcoming Motorola Xoom tablet of $799 proves true then consider it DOA. That’s too bad. The Xoom is the first major product that can possibly give Apple a run for the money. But the iPad only starts at $499. What is Moto thinking here?

    Perhaps the Xoom is a victim of over-engineering, and is trying to please too many over-seers.

    Apple kept it simple with iPad. The early versions even had crippled functionality (non-Apple email support was weak out-of the gate) and even missed major must-haves (built-in cameras). Regardless, the formula worked, because the iPad is sexy and there is plenty of content thanks to iTunes and the app store.

    But — again — $799?

    Well there’s always a chance the rumor will flame out like the New York Jets did in the playoffs. You know, long on talk, short on the result.

    I found it somewhat odd that eWeek had to come up with ten reasons why the Xoom is overpriced. There’s only one reason needed:

    The Apple iPad is only $499.

    That’s 38% less!

    And Apple already owns the market, and offers the proven product. So others will either need to compete on price, or offer a very sweet alternative — some kind of rockin’ differentiation.

    Android made a splash in late 2009 thanks to the Motorola Droid. Price ($199) was a key factor for the inroads it has made against Apple — well, OK, yes AT&T exclusivity might’ve had something to do with that too, but still!

    Nevertheless, I’m not about to cry in my beer. Ultimately, I’m optimistic for Android tablets. The road will initially be rocky, but they’ll get there. I’m just not so sure if people still care about tablets?

    In case you missed it, here’s the Super Bowl ad for the Moto Xoom — kind of lame if you ask me, but then again a lot of people seem to love it.

    Oh one last thing… but, why of course: I want one!

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    • Chris G

      If that video was the commercial (didn’t watch the game) i would think its pretty good. Most people in the android world rightfully believe most apple buyers are lemmings. So that Moto and Google are using this to advertise to that base makes sense.

      As for your argument about price, you are 100% correct. I would not pay 800 for a tablet when i can get a laptop for less or (not that I’d buy one) an ipad for so much less.

      I would think they can charge 100 more than ipad and still have decent sales. But not 300 more.

    • :)

      The xoom tablet offers a lot so I don’t think the price is that bad. However I get your point. The market that moto wants to tap into aren’t concerned with specs, they want cool. The iPad – crippled though it may be (I personally believe it’s just fine) – is cool. It’s hot. It’s fill in your choice of awesome word here. It’s (can I say) Apple? Maybe people are sheep. But they’re not Mororola’s sheep. We’ll see if the king can stay on the throne with iPad 2 hitting the market soon. Personally I don’t think Apple should start worrying yet.

    • The only problem with your writeup is that the model that most matches the function is the ipad 3g 32 gig, which is over 700 bucks. There is not that big a price difference when you spec the 2 machines. I do wish the xoom came in multi flavor like the ipad, id like a wifi only model but your price argument does not add up when you take that into account

    • I thoroughly agree that when you compare the Xoom specs against the high end iPad, the price seems fair. But I doubt that’s a good argument to convince most consumers to purchase it. Even the tech-saavy early adopters were hoping for a $599-$699 price tag. Personally, I’m going to wait and see what the Samsung, Asus, Toshiba, and HTC tablets offer in features and price.

    • Mooem

      While I agree it’s not relevant to compare the 499 iPad to the 799 Xoom…the fact still remains that Motorola is only bringing out one high end option to the table when they should have come out swinging with a WiFI/lower storage model at a competitive price. People looking for a tablet NOW are going to be comparing price when it comes to these tablets. The average consumer is going to see the cheaper iPad vs. an ‘untested’ Xoom…and then go with the iPad.

      I’m sure the Xoom will sell a number of units to grab early adopters and I’m 100% positive they will lower their prices when competition from other manufacturers heats up, but the the price plus the WiFi activation requirement is only going to hurt their entry into the market.

      I want this device badly but not badly enough to cough up nearly a grand on something that will be cheaper in a few months.

    • Anonymous

      Enough with the “crippled functionality” blather already. When you buy apple you get the functionality that apple wants to give you.

      It’s a controlled user experince, just like eating at mcdonalds.

      • TheWickedClown

        Unless Your Jailbrokin’… He he…

      • TheWickedClown

        Unless Your Jailbrokin’… He he…

      • TheWickedClown

        Unless Your Jailbrokin’… He he…

    • Stutheim

      $799 for a tablet????? That does it – I was waiting for XOOM – I was in two minds whether to go in for XOOM vs IPAD2!! IPAD2 wins HANDS DOWN!!
      Too bad – xoom looked like a neat product