Quote:
Originally Posted by Pony99CA
But both Pete and you mentioned the $500 dollar price. As I pointed out, they had dropped it to $400. (The Web site even says, "Now you can own REDFLY at 50% off the MRSP of $399 for a limited time.") I consider a 20% price cut "pretty significant" (although, to be honest, I wouldn't consider the RedFly even at $400).
Remember that lots of people say "Why spend $700 (or whatever) on a smart phone when you can get a laptop for less?" As you seem to have a smart phoen, I assume you can see the difference in intended audiences and usages; if they can't, that's their problem, right? This is a similar situation, I think.
Finally, who cares if the $200 price is temporary? That $200 is in the price range I'd consider paying. If you don't think your usage justifies even that, that's cool -- different strokes and all.  But, if you think $200 is a fair deal, why not buy one? Would you not buy a $100,000 Porsche for $40,000 just because the price cut was temporary?
Steve
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Really, I'm not disagreeing with you. However, I think we're talking about different things. I believe your point is that there is a valid use for the Redfly, and I fully agree. My point is that the netbook overlaps
most of that market (and does it for less), which affects Redfly's viability.
Most people, I think, would look at this and say "For $400 I can get a keyboard and LCD and extra storage (that I have to purchase separately) for my phone, or for $350 I can get a complete laptop in the same form factor. I'll take more for less, thanks!" Again, I'm not saying there isn't a market, but I'm not sure it's sustainable now that netbooks are priced less than the Redfly.
If Celio keeps the $200 price point,
then I think they've carved out a space. At $400, I just don't see them generating the sales they need. The only exception to this is the maintenance costs that r@dimus mentioned (TCO and security, which you also mentioned).