Wednesday, February 03, 2010

the iPad

As a non-Apple user I’ve watched the iPad excitement from the sidelines with interest. This time round there seems to be a considerable wave of negativity and not just from the anti-fanbois. So what to make of it?

It’s my contention that the negative views are because those commentators and reviewers are trying to see it as a small iMac or a large iPhone/iPod. I think it’s neither.

I reckon Apple have learned some lessons on revenue for the future (especially from the app store) and are thinking differently. Despite not inconsiderable margins on the hardware; I think they are following the Polaroid and the inkjet manufacturers.*

The profit opportunity comes from content. If you marry up the iPad with an always connected world (be it Wi-Fi, 3G or 4G), then the device makes revenue sense, you tie in customers with content subscriptions, iBooks, apps etc and suddenly the sale of the device is merely the start of a long relationship between your bank account and Apple and its partners.

That my two penny worth.

*Polaroid sell films not cameras
*inkjet companies sell ink, not printers.


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