“Various interlopers have taken on Apple with lower price points and failed largely because the Apple design is the most compelling. This may end if the Taiwan based MSI has any say. With a range of X2 branded MP3 players. The company is matching prices with the Apple hard disk offerings but adding a video component. This is something Apple has been reluctant to do and others who have tried have not achieved the price points of the X2 brand handheld hard-disk-based MP3/MPEG4 combo player,” John C. Dvorak writes for CBS MarketWatch.
“I have used the new MEGA view $399 device and I’m impressed. I’m not easily impressed, either. This device, which does everything the Apple iPod does, also allows you to use its PVR (personal video recorder) capabilities to record and play video. You can also drop your digital photos into the unit to create a slide show for friends. It also incorporates an FM radio (which you can also record from) and a digital voice recorder… To me this concept replaces the various video ‘Walkman’ devices such as the one I once owned shown in this picture. I suspect that this device will be something children will love to have on long car drives,” Dvorak writes. “I chatted with X2 President Rex Wong about the device and price-points and specifically asked about the apparent reluctance of Apple to move into video on its iPod. Wong believed that Apple was too enamored with its price points and margins and would have to price the video iPod at $499 or higher which is impractical. Indeed, others have tried to sell $500 devices such as this with no luck. He believes that $399, the same price as the highest price iPod will trigger sales.”
MacDailyNews Note: The iPod with the highest price is the iPod photo 60GB which goes for US$599 and is selling briskly along with its US$499 sibling, the iPod photo 40GB, according to anecdotal reports from MacDailyNews sources.
Dvorak continues, “The other factor regarding the iPod is the fact that Apple also sells content for the device with its iTunes initiative. I’m guessing that it’s trying to come up with a video equivalent iMovies initiative to rationalize a video iPod. Having used this device, there is no question that Apple and all the others will have to consider video in this mobile media market. For the short term X2 is the leader.”
Full article here.