Samsung's Galaxy to cost a whooping 699/799 Euro

[karlwig]

http://www.engadget.com/2010/09/02/samsung-galaxy-tab-reported-to-retail-at-699-and-799-in-europe/

As it there was any doubt the iPad would still be king, I think this is the nail in the coffin for Samsungs 7" Galaxy device. Starting at 699 - that's Euro by the way, in dollars it could possibly be even more expensive - I think it will fail hugely, save for perhaps in a small enthusiast market.

This expensive, it can have as many bells & whistles it likes - it won't tap into the large consumer base needed to compete with the iPad.

What do you guys think?

EDIT: Never mind, i was kidding. This is the final nail in the coffin for the Galaxy:

...it seems the company has already announced a suggested retail prices of SEK 9,000 in Sweden including VAT, which works out to about $1,240 (or $930 without VAT).

I have no idea what Sumsung are thinking, but this thing can't sell too well if true.

 

[Macpowered]

Bahahaaa!

 

[kdarling]

Prices seem comparable after factoring in the extra Galaxy features. The Samsung will also no doubt get discounted by retailers.

In Germany:

• iPad 16 GB WiFi + 3G: € 599.00
• iPad 32 GB WiFi + 3G: € 699.00

• Galaxy 16 GB WiFi + 3G: € 699.00
• Galaxy 32 GB WiFi + 3G: € 724.00 by adding 16GB microSD (€25)

Galaxy:

• Can make phone calls via speakerphone or Bluetooth.
• Front and rear cameras for photos, video calls and augmented reality.
• Smaller form factor with half the weight.
• Flash support.

 

[fivenotrump]

whopping price indeed

iPad launch date for Sweden still hasn't been announced, so there's no competition. Perhaps are preparing a 4G model for the Nordic countries where it's been rolled out in major cities. Or perhaps not.

 

[barkomatic]

iPad launch date for Sweden still hasn't been announced, so there's no competition. Perhaps are preparing a 4G model for the Nordic countries where it's been rolled out in major cities. Or perhaps not.

Indeed, I'm starting to think that the first iPad that is officially available to you will be the iPad 2. I really enjoy mine, but if I didn't already have one I'd be waiting for the next one at this point--even though they are readily available here.

 

[karlwig]

kdarling, your post makes a lot of sense and if your numbers are correct the gap isn't as huge as originally thought.

I do think, however, that people tend to remember the entry price - "what is the minimum i have to pay to get my hands on this?".

That's how advertisement works, it's always the "starting at" price that's displayed. Apple is doing this very cleverly, with the $499 tag being cited everywhere even when you have to pay $829 or whatever to get a fully charged version with plenty of storage and 3G.

Notice I never claimed the Galaxy wasn't worth it or anything like that, for the things you get. But people have a tendency to not compare apples and apples. The iPad is starting at $499, and even stripped down, I think that makes for a huge market. $799 or whatever? Not so much.

Perpahs Samsung should consider making a "bare bones" version to compete with iPad's entry price.

EDIT: You cited "smaller form factor with half the weight" as being one of the advantages for the Galaxy, explaining the price. This is somewhat far-fetched. The iPad has a larger screen with more resolution and I think most people would think that a smaller device with smaller screen should be less expensive - not more.

If Apple released a 7" iPad with the same specs/features as the current I think most people would be dissapointed if the price got increased. Even if you think it's worth it because it got smaller and ligther.

We'll see how well the Galaxy does. I think it will flop.

 

[bullseyetech]

what was Samsung thinking?! I mean people will already know what iPad do and probably knows about its integration to iTunes etc. and Apple is now know basically as a 'cool' brand of tech plus the price is another factor to this being failure

 

[kdarling]

Perpahs Samsung should consider making a "bare bones" version to compete with iPad's entry price.

Yep, there are people asking for a WiFi-only version.

EDIT: You cited "smaller form factor with half the weight" as being one of the advantages for the Galaxy, explaining the price.

I deliberately avoided labeling those as advantages, because they wouldn't all be such to everyone. I should've called them "differences", but I was distracted at the time and couldn't think of that particular word. You know how it is when you get older

We'll see how well the Galaxy does. I think it will flop.

Supposedly both Sprint and Verizon will be getting their own versions of the Galaxy Tab.

--

For myself, I want to see if it's a viable replacement for the iPad I bought my mother. The cameras, Flash support, lower weight, and lack of need for tethering or for iTunes, are all a plus in our case.

Frankly, the Android Back button is a big draw as well. I hate trying to explain why she can't more naturally back up to say, a search result list under iOS, whenever the web browser or YouTube gets launched.

"Well Mom, when you clicked on the 'Reviews' button for that restaurant, it started the web browser. To get back to the list again, you have to hit the Home button and go restart the search app again. Yes, Mom, it's silly. Alas, iOS has no concept of keeping a user's action path.

"But don't worry. Whenever Apple gets unfragmented and gives your iPad 4.x, you'll be able to 'naturally' double-click the Home button and then pick the original app if you remember its name. Yes Mom, that's silly too.

"Oh wait, never mind, Mom. I forgot that iOS doesn't have over-the-air OS updates, so without me flying down to see you with my laptop, you can't get 4.x. Okay, okay, I know it's a good reason to come see you!."

 

[agkm800]

Samsung is at its best when it enters a new market created by someone else.

The success of any android tablet will only help us iPad buyers.

 

[lilo777]

Samsung price policy is totally different from APple's. They said they would allow providers to set the price. Right now providers are simply trying to profit from high initial demand. Justr look what happened to Samsung Galaxy S phone. Samsung Captivate (on ATT) started at $200 (on contract) and in a few weeks it was sold for $0 on Amazon (for a new contract) and for $50-$100 elsewhere. I doubt that Galaxy Tab will cost more than iPad. Most likely it will cost less even being a superior device in many aspects.

 

[gatearray]

Samsung price policy is totally different from APple's. They said they would allow providers to set the price. Right now providers are simply trying to profit from high initial demand. Justr look what happened to Samsung Galaxy S phone. Samsung Captivate (on ATT) started at $200 (on contract) and in a few weeks it was sold for $0 on Amazon (for a new contract) and for $50-$100 elsewhere. I doubt that Galaxy Tab will cost more than iPad. Most likely it will cost less even being a superior device in many aspects.

Doesn't the fact that the price dropped to "ZERO" a few weeks after release tell us that it bombed? If you're predicting a similar fate for the Galaxy it doesn't bode well for Samsung, even if it is "a superior device in many aspects," whatever that means.

In my opinion, consumers do not choose a tablet based on the specs, they choose based on the OS, i.e. usability and available software.

 

[tallyho]

• iPad 16 GB WiFi + 3G: € 599.00
• iPad 32 GB WiFi + 3G: € 699.00

• Galaxy 16 GB WiFi + 3G: € 699.00
• Galaxy 32 GB WiFi + 3G: € 724.00 by adding 16GB microSD (€25)

Is that actually 32GB though? I hear that the new version of Android can use the SD card to store apps, but earlier versions did not, which is very limiting if you like lots of apps, some of which take lots of storage (sat nav apps etc)

At least with iOS devices you can use the storage as you see fit...

 

[lilo777]

Doesn't the fact that the price dropped to "ZERO" a few weeks after release tell us that it bombed? If you're predicting a similar fate for the Galaxy it doesn't bode well for Samsung, even if it is "a superior device in many aspects," whatever that means.

In my opinion, consumers do not choose a tablet based on the specs, they choose based on the OS, i.e. usability and available software.

No, it does not. Samsung sold 1 million Galaxy S phones in 45 days in US alone. That's a big success for a totally new line of phones.

 

[kdarling]

Doesn't the fact that the price dropped to "ZERO" a few weeks after release tell us that it bombed?

You'd have to define "bombed". For example:

The Galaxy has sold over a million just on T-Mobile and ATT in less than two months... with very little public hype compared to the iPhone.

The iPhone sold only about a half million the first year it was in Japan. Later, it was given away for free and ownership jumped.

In my opinion, consumers do not choose a tablet based on the specs, they choose based on the OS, i.e. usability and available software.

I dunno. I think the common consumer has no real concept of those things. They buy devices they hear about from news, friends and family.

 

[poloponies]

Doesn't the fact that the price dropped to "ZERO" a few weeks after release tell us that it bombed? If you're predicting a similar fate for the Galaxy it doesn't bode well for Samsung, even if it is "a superior device in many aspects," whatever that means.

In my opinion, consumers do not choose a tablet based on the specs, they choose based on the OS, i.e. usability and available software.

I do love the "price drop to zero as proof of success" argument. It's like that commercial for the herbal memory enhancer that they're "giving it away". One "bystander" comments "they're giving it away? Then it must be good." Always makes me laugh.

 

[kdarling]

Is that actually 32GB though? I hear that the new version of Android can use the SD card to store apps, but earlier versions did not,

The Samsung has the later OS version (Froyo).

Similar to iOS4's requirement to rebuild apps for multitasking, Froyo requires apps be rebuilt with an option flag allowing them to be stored on the SD card. (My Incredible received a ton of app updates today for that and to allow automatic updates. Finally!)

which is very limiting if you like lots of apps, some of which take lots of storage (sat nav apps etc)

I thought it would be limiting, but it turned out it was not so in real life, because apps can store all their heavy media files on the SD card.

For example, a game or GPS navigator could be only a few MB of executable in internal storage, but download hundreds of MBs of graphics and sound and data to the SDcard.

At least with iOS devices you can use the storage as you see fit...

That's very true, although once we decide on the initial storage amount to buy, we're stuck with it on that device.

I suspect that a lot of people with iOS devices would love to be able to pop in an extra memory card.

Heck, I started with the stock 2GB SDCARD on a Droid, but now that I know I'm going to be using it more often, I'm going to be able to cheaply upgrade it.

 

[kevinof]

These are Expansys prices? Everything on Expansys that's pre-release is always hugely expensive. My last phone was marked at 599 euros on expansys and when finally they got product it dropped to 399. I'd wait until retail prices are released before judging.

http://www.engadget.com/2010/09/02/samsung-galaxy-tab-reported-to-retail-at-699-and-799-in-europe/

As it there was any doubt the iPad would still be king, I think this is the nail in the coffin for Samsungs 7" Galaxy device. Starting at 699 - that's Euro by the way, in dollars it could possibly be even more expensive - I think it will fail hugely, save for perhaps in a small enthusiast market.

This expensive, it can have as many bells & whistles it likes - it won't tap into the large consumer base needed to compete with the iPad.

What do you guys think?

EDIT: Never mind, i was kidding. This is the final nail in the coffin for the Galaxy:



I have no idea what Sumsung are thinking, but this thing can't sell too well if true.

 

[gatearray]

You'd have to define "bombed". For example:

The Galaxy has sold over a million just on T-Mobile and ATT in less than two months... with very little public hype compared to the iPhone.

Hmmm, I honestly don't follow smart phone sales very closely, so you'd now have to define "sold"...

If the price dropped to FREE in a few (3) weeks, yet the phone "sold" over a million in less than two months (8 weeks), what happened exactly? Are we counting free phones as "sold" in this equation?

Still, it seems to me at the end of the day, if your product totally rocks and is in high demand, typically you don't need to give it away for free, yes?

 

[kevinof]

Nope. Froyo brought in using the SD card to store apps. However all versions of Android allowed you to store the data on the SD card. So if you were installing a sat nav the app went in memory and the maps went to the sd card.

Is that actually 32GB though? I hear that the new version of Android can use the SD card to store apps, but earlier versions did not, which is very limiting if you like lots of apps, some of which take lots of storage (sat nav apps etc)

At least with iOS devices you can use the storage as you see fit...

 

[toxic]

this article says $300... I want to know if they actually put an IPS screen in, or if they cheaped out to VA or TN.

http://finance.yahoo.com/family-home/article/110577/samsung-unveils-tablet-to-compete-with-ipad

 

[ZBoater]

I'm buying one...

 

[al2o3cr]

kdarling, your post makes a lot of sense and if your numbers are correct the gap isn't as huge as originally thought.

I do think, however, that people tend to remember the entry price - "what is the minimum i have to pay to get my hands on this?".

That's how advertisement works, it's always the "starting at" price that's displayed. Apple is doing this very cleverly, with the $499 tag being cited everywhere even when you have to pay $829 or whatever to get a fully charged version with plenty of storage and 3G.

The funniest part will be watching the Android fanboiz cite this - despite the fact that there's a significant overlap with the "Apple tax"-hating crowd. It'll be almost as funny as watching MS try to get away from it's own "we have more apps so we must be better" gimmick when WP7 comes out.

 

[doboy]

It seems Samsung missed the price point; HOWEVER, I think Galaxy tab will be sold with contract through carriers for a subsidized price. So that may bring the price below iPad, but with a contract. Not interested.

 

[Ciclismo]

Galaxy:

• Can make phone calls via speakerphone or Bluetooth.
• Front and rear cameras for photos, video calls and augmented reality.
• Smaller form factor with half the weight.
• Flash support.

You forgot to add

• Max 8 hours battery life (possibly considerably less depending on use)

 

[gnasher729]

Samsung price policy is totally different from APple's. They said they would allow providers to set the price. Right now providers are simply trying to profit from high initial demand. Justr look what happened to Samsung Galaxy S phone. Samsung Captivate (on ATT) started at $200 (on contract) and in a few weeks it was sold for $0 on Amazon (for a new contract) and for $50-$100 elsewhere. I doubt that Galaxy Tab will cost more than iPad. Most likely it will cost less even being a superior device in many aspects.

What a nice and positive post. I didn't expect that from you. Of course it is not about an Apple product. What would you have said if Apple had made this product?

The real question is: Will Apple put the knife into their competitors by making a 7" iPad before the Christmas season ? And how far will Samsung have to drop prices to sell anything?

It seems Samsung missed the price point; HOWEVER, I think Galaxy tab will be sold with contract through carriers for a subsidized price. So that may bring the price below iPad, but with a contract. Not interested.

You mean something like $199 plus $50 per month, 24 month contract? That would put up the price to about $1400. But here is what Viewsonic's European marketing manager says about Android tablets: ""We recognise many users may be transitioning from a netbook but will possibly struggle with the learning curve of a new OS, even for simple tasks as uploading photos or using a VPN. " That from a company who is preparing an Android based table for sale should convince anyone to go with an iPad instead.