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  #1  
Old 07-31-2002, 12:21 PM
Ed Hansberry
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Default Dell contracts with Acer for Pocket PC - $299

http://www.theinquirer.net/?article=4685

The rumors are over. Dell has contracted with Wistron, a subsidiary of Acer, for a Pocket PC. Wistron has agreed to produce 1.1 to 1.5 million units in time for the Christmas season. There is more information here. Little is known about the device specifications. At $299 for the end consumer, I'd have to guess 32MB and a single expansion slot. But then again, you should not underestimate what Dell will get in the device for that price. Source: Brentnyc.



Regardless of what this device comes with, it will have certain minimum specs, so count on audio, voice recording, an ARM processor, etc. This will really drive prices down from other vendors. I also doubt Palm is looking forward to a $299 competitor from the Pocket PC camp this Christmas.

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  #2  
Old 07-31-2002, 12:31 PM
ipaq-PHD
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Price War !!!
 
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  #3  
Old 07-31-2002, 12:46 PM
Timothy Rapson
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Great job breaking this story in the broader press (compared to Digitimes insider only reporting)

We already have reports that the new Ipaq 2200 will seek the $300 price point. The Toshiba E310 seems to have the same configuration. We may have three models by Chrismas that sell for less than Palms top models and offer more Ram, better screens, and full multi-media.

As I see it, the big difference between all of them is Dell's ability to make money at that level. HP, Toshiba, Palm, and Sony all have to allow a profit for their retailers. The retailers know that they will have a lot of service and time involved in returns, shelf demo units, and other costs. Dell has little or none of that expense and can make money at that $300 level.

This may also mean that Palm's OS 5 Oslo will have to be priced much lower than expected.

At this price level (this is Royal price territory....by the way, wasn't the new Linux Royal DaJunky supposed to be out by now) the number one question facing the consumer may be whether it will boot at all when you get it home. What kind of warranty will be included for when it falls apart?

Whatever else comes from this, it is going to be a great Christmas for cheap, PDA junkies like me.
 
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Old 07-31-2002, 12:48 PM
vetteguy
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Quote:
I also doubt Palm is looking forward to a $299 competitor from the Pocket PC camp this Christmas.
I'm a little confused at this statement, since there has been both the Maestro and the e310 as competitors at that price level.
 
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Old 07-31-2002, 12:55 PM
Ed Hansberry
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Quote:
Originally Posted by vetteguy
Quote:
I also doubt Palm is looking forward to a $299 competitor from the Pocket PC camp this Christmas.
I'm a little confused at this statement, since there has been both the Maestro and the e310 as competitors at that price level.
The 310 is $399 though can be had for less if you dig around pricewatch. The Maestro was actually successful, but I am not sure Audiovox made any money off of it. Dell selling $299 direct has no middleman, so even if it costs them $298, they make money excluding advertising and overhead. Audiovox had to sell that thing around $210-220 for the retailers to make their cut.

I know when the Maestro hit the the streets at $299, they were being snapped up by people her, at PDABuzz and on the NG like hotcakes, but it was a limited run unfortunately.
 
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Old 07-31-2002, 01:01 PM
vetteguy
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Quote:
The 310 is $399 though can be had for less if you dig around pricewatch. The Maestro was actually successful, but I am not sure Audiovox made any money off of it.
I didn't think making money had anything to do with it, as you were talking from a price competition standpoint. Palm isn't interested if Audiovox made any money, they're interested in the fact that there is a full-featured PocketPC available at $299. That forces them to make some critical decisions in both pricing and operations, as anyone who is the least bit educated in handhelds while shopping for one will see the difference between a $300 Maestro and a $300 Palm m105.
 
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  #7  
Old 07-31-2002, 01:08 PM
Timothy Rapson
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And you can see a copy of that current model here:



http://www.wistron.com.tw/Mobile%20S...bile%20Systems
 
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  #8  
Old 07-31-2002, 01:11 PM
Ed Hansberry
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Quote:
Originally Posted by vetteguy
I didn't think making money had anything to do with it, as you were talking from a price competition standpoint. Palm isn't interested if Audiovox made any money, they're interested in the fact that there is a full-featured PocketPC available at $299. That forces them to make some critical decisions in both pricing and operations, as anyone who is the least bit educated in handhelds while shopping for one will see the difference between a $300 Maestro and a $300 Palm m105.
You are right. But the fact that it was a limited availablity device meant there were no long term implications. Whole new ballgame now.
 
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Old 07-31-2002, 01:15 PM
vetteguy
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So what do you think Dell's target market will be? Corporate? Small business? Students? I guess at that price they could shoot for anything they wanted to. It'll definitely be interesting. (And since this is Dell-branded, does this mean we'll finally get a BLACK Pocket PC???)
 
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Old 07-31-2002, 01:28 PM
spg
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Quote:
Originally Posted by vetteguy
Quote:
The 310 is $399 though can be had for less if you dig around pricewatch. The Maestro was actually successful, but I am not sure Audiovox made any money off of it.
I didn't think making money had anything to do with it, as you were talking from a price competition standpoint. Palm isn't interested if Audiovox made any money, they're interested in the fact that there is a full-featured PocketPC available at $299. That forces them to make some critical decisions in both pricing and operations, as anyone who is the least bit educated in handhelds while shopping for one will see the difference between a $300 Maestro and a $300 Palm m105.
I agree with you on most of those points. It will put some more pressure on Palm. But, umm... how many Palm m105s have you seen for $300? Current price on them is $99.

But back to the Dell at hand, I think this a semi-good thing for the Pocket PC market. One thing I am worried about though is that if most people want to go cheap and go with the lower end handhelds, we may not get as much innovation on the higher end. But is good in the fact that there is now going to be a handheld that can compete with Palm from a price standpoint as well as from a features and performance standpoint.

Sorry I just can't resist anymore, "Dude you're getting a Dell (Pocket PC)!" :lol:
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