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  • 1 Post By tasogare
  1.    #1  
    Hi all,

    This is pretty interesting. See link.

    take care,

    Jay

    HP TouchPad already catching Android tablets in ad revenue
    By James Kendrick | August 29, 2011, 1:31pm PDT

    HP TouchPad already catching Android tablets in ad revenue | ZDNet

    Summary: The HP TouchPad in ten days is generating almost as much ad revenue as all of the Android tablets combined.

    Update: The HP TouchPad is the little engine that could, except it got shut down. The online frenzy about the dead tablet has been amazing to watch, as the special $99 price HP put on the TouchPad made it the tablet to own. While there is no question that HP has sold thousands of TouchPads at the ridiculous close-out pricing, it seems that one unexpected result of all these HP tablets hitting consumerís hands is that it is making money for companies (not HP).

    Mobile ad agency Jumptap just sent me a chart that is mind-blowing as it shows that
    Please Support Research into Fibromyalgia, Chronic Pain and Spinal Injuries. If You Suffer from These, Consider Joining or Better Yet Forming a Support Group. No One Should Suffer from the Burden of Chronic Pain, Jay M. S. Founder, Leesburg Fibromyalgia/Resources Group
  2. #2  
    More evidence that HP has no business sense. They could have had an ad-subsidized, loss-leader TouchPad and built market share immediately. Instead they priced an iPad1 competitor against the iPad2, and gave up after one month without much marketing.

    Thanks. Interesting read.
    ilovedessert likes this.
  3.    #3  
    Quote Originally Posted by tasogare View Post
    More evidence that HP has no business sense. They could have had an ad-subsidized, loss-leader TouchPad and built market share immediately. Instead they priced an iPad1 competitor against the iPad2, and gave up after one month without much marketing.

    Thanks. Interesting read.
    Hi and Thanks for your extremely astute point....They could have cleared them out by selling them off this way, without killing the next model of the TouchPad.....

    I read somewhere that the higher ups pressured Ruby and the webOS group to use a slightly updated 2 year old design for the TouchPad...when all of of the webOS engineers and designers told Leo that webOS had already outgrown the design, before it was put in production.

    Computers are outdated the minute you open the packing material...however, it's another thing that you knowingly use outdated hardware when your told the software has evolved beyond that hardware and you haven't even contracted to have the computer put into production!

    take care,

    jay

    take care,

    jay
    Please Support Research into Fibromyalgia, Chronic Pain and Spinal Injuries. If You Suffer from These, Consider Joining or Better Yet Forming a Support Group. No One Should Suffer from the Burden of Chronic Pain, Jay M. S. Founder, Leesburg Fibromyalgia/Resources Group
  4. #4  
    Quote Originally Posted by tasogare View Post
    More evidence that HP has no business sense. They could have had an ad-subsidized, loss-leader TouchPad and built market share immediately. Instead they priced an iPad1 competitor against the iPad2, and gave up after one month without much marketing.

    Thanks. Interesting read.
    Uhh keep in mind all it talks about is ad revenue in comparison to Android tablets. It doesn't mention anywhere how much that ad revenue actually adds up to in real dollars. So it's VERY presumptuous to say that they could have subsidized the touchpad with those profits in a large enough amount to make a dent in the hardware profit losses.

    If you're going to run a subsidized business model then all your other ducks have to be in a row at the time of the hardware sale. That means apps, big developers licensed and already in the process of creating MORE apps, your online music store up and running (with loads of content), your online movie store up and running (with loads of content). HP failed on every single aspect of that. Basically there's only a handful of companies that could pull that off in the tablet market. Apple, Amazon, Google. Apple and Amazon already have their stuff in place. Google is still building theirs. HP barely has an app store /movie store. No music store. The key to subsidizing is you have to try and capture not only the ad revenue but the sales made through the device. HP was never close to being able to do this.

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