Linked by Thom Holwerda on Mon 22nd Aug 2011 21:19 UTC
PDAs, Cellphones, Wireless Last week, HP killed its webOS devices unit. Over the weekend, the company slashed the prices on the TouchPad. The result? The TouchPad sold out completely in a matter of hours. This confirms what I've been hearing from friends and family: "I'd love a tablet, but I'm not paying laptop money for one."
Permalink for comment 486386
To read all comments associated with this story, please click here.
RE[2]: Bummed to see this now
by kristoph on Tue 23rd Aug 2011 06:01 UTC in reply to "RE: Bummed to see this now"
Member since:

You obviously know nothing about economics.

Most products retail for at least 10-20 times the manufacturing cost.

Those $500 phones almost certainly have a unit manufacturing cost of

You do understand that the reason why HP is getting out of the TouchPad and the desktop PC business (which they currently dominate) is because the margins are like minuscule (5% at best).

Sure, premium clothing and accessories might sell for 10-20 their manufacturing cost but consumer electronics never had these type of margins.

Reply Parent Score: 4