Battle brews over digital tablet profits

[DMcCunney]

From the Financial Times:

http://www.ft.com/cms/s/2/522772aa-4...#axzz1FGnXPMnU
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Dennis

[RockdaMan]

The Boston Consulting Group study, released before Apple’s expected announcement of a second generation iPad on Wednesday, finds a growing preference for such multi-use tablets over e-readers, but says the “sweet spot” for pricing will be below $200.
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Price would determine which devices succeed more than functionality or integration with digital media stores such as Apple’s App Store, he said: “If I [could] get the Motorola Xoom for $250, it [would not] matter what the iPad 2 is.”

The survey of 14,000 consumers in 16 countries found that 53 per cent preferred multipurpose tablets, while 13 per cent preferred e-readers such as Amazon’s Kindle, Sony’s Reader and Barnes & Noble’s Nook.

They were willing to pay $80-$130 for single-purpose devices. Consumers were prepared to pay “good prices” for content on e-readers and tablets, Mr Rose said, pointing to the survey’s findings that US users would pay $5-$10 for an e-book, $2-$4 for a single copy of a magazine or $5-$10 for a monthly subscription to a digital newspaper.

I love my $60 Pandigital Novel, but it is not a Kindle. No way, no how.

[leebase]

Content free article

Lee