HP to release 2 new iPAQs - one in the $200-$400 range

[Ed Hansberry]

<a href="http://news.com.com/2100-1040-960522.html?tag=fd_top">http://news.com.com/2100-1040-960522.html?tag=fd_top</a><br /><br />HP is going to release a new iPAQ in the $200-$400 range which, according to HP, accounts for 50% of the overall handheld market. It will bear a family resemblance to the current iPAQ but will be much thinner and smaller. It will have an SD slot. That means the sleeves are not supported. They also talked of a $400-$650 higher end device, presumably the 5000. Initially there will be WiFi and bluetooth versions but integrated GSM/GPRS is also in the works.<br /><br />The article also talks of the 29 licensees Microsoft now has and that the low-mid range is a target, citing the Dell and ViewSonic devices as examples. "Ed Suwanjindar, a spokesman for Microsoft. "Attacking the low- and midrange tiers is absolutely a priority for us." Suwanjindar added that with its 29 licensees, Microsoft will seek to address all market niches with several different partners in each." Thanks to Foo Fighter for the link.

[bdeli]

Interesting to note that the high end device will be in the 400-650$ range. That would be really good...seems like HP/Compaq are feeling the pinch from the new competitors like ViewSonic/DELL etc.

[JonnoB]

Interesting to note that the high end device will be in the 400-650$ range. That would be really good...seems like HP/Compaq are feeling the pinch from the new competitors like ViewSonic/DELL etc.

Which would make buying any current 39xx model at the $700+ range silly. I thought it was dumb to do it anyway.

[mrvjtod]

But I'm ready to buy one now. 8O

I've seen the pictures - now I want to play with one.

When are they going to have the all in one - GPRS/Bluetooth/802.11b

[Timothy Rapson]

""Attacking the low- and midrange tiers is absolutely a priority for us." Suwanjindar added"


In other words. When you have tried to sell $500-600 devices for years and still have only 25% or less of the market and they guys who have the lions share are winning by owning the sub-$500 market and now are getting models that are going to trump your whole line even up to that $600 level....and you have no choice but to try to compete marketwide...say, "I MEANT to do that."

[ThomasC22]

In other words. When you have tried to sell $500-600 devices for years and still have only 25% or less of the market and they guys who have the lions share are winning by owning the sub-$500 market and now are getting models that are going to trump your whole line even up to that $600 level....and you have no choice but to try to compete marketwide...say, "I MEANT to do that."

Actually, I'm pretty sure they did mean to do just that. Market share isn't all it's cracked up to be and Palm is by no means "winning" as a matter of fact, and this is in large part because of their high price, Compaq (now HP) has made more money than Palm off their PDA business for over a year now.

So, now that they see the $500+ market is starting to saturate, they're tackling the sub $500 market to make more money. That's just good business.

[van_mierlo]

The Marketing war has started......who's gonna win the x-mas sales increase with the right promises

[st63z]

Will CNet soon have a video clip of the models they were shown in the interview?

BTW, I just realized I don't think I've seen Jason's name lately, is he off working on a secret review of these new iPAQs?

[mookie123]

""Attacking the low- and midrange tiers is absolutely a priority for us." Suwanjindar added"


In other words. When you have tried to sell $500-600 devices for years and still have only 25% or less of the market and they guys who have the lions share are winning by owning the sub-$500 market and now are getting models that are going to trump your whole line even up to that $600 level....and you have no choice but to try to compete marketwide...say, "I MEANT to do that."

actually what is more amazing everytime PPC enters, it wipes out rival product in that price segment. Palm has consistently retreating from segment to segment.

There is practically no $499 Palm now except for the ultra chick Sony NR. I would venture to guess now that PPC manufacturer are entering the $299 price niche, there won't be anything left afterward in that segment. Palm Inc would have to reduce the Tungsten to $299 or less to hold on to market share.

Admitedly PPC hasn't quite reach the critical mass in consumer market beyond tech savvy geeks. (just take a look at apps title being develops) But I think the $299 devices would change that. And the track record is pretty confincing.

[Foo Fighter]

The Marketing war has started......who's gonna win the x-mas sales increase with the right promises

Merry xScale...er, I mean xmas! :x-mas:

[mobileMike]

I hope they introduce a new line of sleeves for these new low end models. It seems these low end models will have at least the features of my "high-end/price" 3850.

/ mike

[Timothy Rapson]

In other words. When you have tried to sell $500-600 devices for years and still have only 25% or less of the market and they guys who have the lions share are winning by owning the sub-$500 market and now are getting models that are going to trump your whole line even up to that $600 level....and you have no choice but to try to compete marketwide...say, "I MEANT to do that."

Actually, I'm pretty sure they did mean to do just that. Market share isn't all it's cracked up to be and Palm is by no means "winning" as a matter of fact, and this is in large part because of their high price, Compaq (now HP) has made more money than Palm off their PDA business for over a year now.

So, now that they see the $500+ market is starting to saturate, they're tackling the sub $500 market to make more money. That's just good business.



OUCH! That really hurt. You connected right square on target.

Excellent point. We'll see who survives in January.

[Ed Hansberry]

Excellent point. We'll see who survives in January.
I don't think anything will be decided in 4 months.

[mja8105]

In other words. When you have tried to sell $500-600 devices for years and still have only 25% or less of the market and they guys who have the lions share are winning by owning the sub-$500 market and now are getting models that are going to trump your whole line even up to that $600 level....and you have no choice but to try to compete marketwide...say, "I MEANT to do that."

Actually, I'm pretty sure they did mean to do just that. Market share isn't all it's cracked up to be and Palm is by no means "winning" as a matter of fact, and this is in large part because of their high price, Compaq (now HP) has made more money than Palm off their PDA business for over a year now.

So, now that they see the $500+ market is starting to saturate, they're tackling the sub $500 market to make more money. That's just good business.



OUCH! That really hurt. You connected right square on target.

Excellent point. We'll see who survives in January.

just remember, market share is TOTALLY different from revenue share (which pocket pc is gaining)

[Foo Fighter]

just remember, market share is TOTALLY different from revenue share (which pocket pc is gaining)

I would expect PPCs revenue share to drop off significantly as more $299 models continue to displace the expensive models.

IMO, revenue share is an insignificant measurement of the PDA market. It tracks monetary growth, as apposed to unit growth..which directly reflects HOW MANY units are being purchased. PPC still trails FAR behind PalmOS in that spectrum.

[st63z]

All kidding aside, where is Jason tho? Has there been a silent coup and no one told me? Has Ed taken over?

[st63z]

^ Ok yea, I was still kidding there...

[Ed Hansberry]

There is no Jason. Never was. http://www.pocketpcthoughts.com/forums/viewtopic.php?t=1262

I got tired of the charade and just decided to use my own name. :wink: :lol:

[st63z]

Hee

We (the people) need Jason here to keep a rein on Ed, is all I'm saying.

Otherwise it's rumble city, 24/7... :D

[Brad Adrian]

All kidding aside, where is Jason tho? Has there been a silent coup and no one told me? Has Ed taken over?
Before any weird rumors get started, just remember that we all have "day jobs" and responsibilities that sometimes take us away from the joy of all things Pocket PC. Trust me, Jason's still around.

[Timothy Rapson]

Excellent point. We'll see who survives in January.
I don't think anything will be decided in 4 months.


If I'm right and Tosh, Dell, Ipaq, and ViewSonic all have $300 models and they have 2-3 million of them to sell this Christmas, then they are either going to have to sell 5 times as well as they did last Christmas in the $450 to 500 range or someone is going to take a hue loss on them. That is a huge shift. It is possible the will grow that much. But, perhaps Palm sees that writing on the wall and so offers nothing new in the range.

I think at least one of these will be selling for $150 by Christmas just out of oversupply.

If it is Toshiba they will just absorb the lumps and go one. I think Toshiba wants to lead PDA business just as they have regained dominance in Laptops. They have the money to take some losses as they surely did on the $199 e310 sales last month.

If it is HP I suppose they will drop the 2200 series and try to hold the high end with the 5000, dropping the prices of the 3900s-5000s to $350-450 in hopes that people will pay $50 more for a 3900 and no one will buy any of the others low end models at all.

If it is Dell, they may just right off the PDA business and bide their time again. They can afford to stay in and lose money to keep their place or the can get out and enjoy the fact that the still rule the desktop PC arena. They have lots of money and lots of cashflow to absorb a marketing flop or two.

If it is ViewSonic, they will be in real trouble. This is a huge gamble for ViewSonic. Unless Microsoft has somehow indemnified them. (Wow, do I sound conspiritorial sometimes!?)

What I think will be decided by January, is whether the PPC market will have 4 low end players who sold everyone they could make and each made money and they outsold Palm for the first holiday season ever, or one or two these companies will be gone and the rest will be back to $400+ models only for some time. We'll see. Maybe they will all just break even and muddle on. But, I don't think so.

[JonnoB]

We (the people) need Jason here to keep a rein on Ed, is all I'm saying.


Rein in Ed? Nah, we (at least I) need the daily comic relief... sorry Ed, sometimes your rants are funny even if not intended.