Carrier subsidized iPads coming to the U.S. market?

Parallels Desktop 6 for Mac “The UK carriers are taking an agressive approach, bring iPad to the masses for around £199, with a two-year subscription,” Mark Reschke blogs for Three Guys and a Podcast. “But in Japan Softbank’s approach is nothing short of stunning, offering the iPad for free, with a two-year contract.”

“Regardless of the UK’s low £199 carrier pricing or Softbank’s free solution, neither offer can be matched by Apple’s competition,” Reschke writes. “Yet Apple is pushing this subsidized direction forward without any serious players in the market, thus it reveals how important Apple believes tablets are to their future. Subsidizing tablets as the best way to lure consumers probably isn’t that relevant to Apple, but it does accomplish the task of locking out a new entry point for the competition, while leaving iPad in a commanding position.”

Reschke writes, “If you don’t get the big picture yet, let me spell it out for you: Apple is dead serious on dominating the tablet market space… The subsidy model is quickly launching in other regions across the globe, so this begs the obvious question: When is it going to happen in the US?”

Full article here.

24 Comments

  1. Verizon should just do it with the current iPad and their WiFi hotspot (whatever they call it). Then you wouldn’t need to buy the 3G iPad, and you have a WiFi hotspot that any device you or four of your closest friends want to use anywhere.

  2. The problem is why?

    I’ve had my iPad 3g since day one.. While i love it, it’s not the “on the go” device that my iPhone is.. 95% of the time I use the iPad on my home wifi network. Why would i want to lock into a two year $50-$60 a month 3G contract for a device that i use mainly at home?

  3. You probably wouldn’t need 3G+GPS, but for business travelers, and people on the go (sales types), students, etc… having data, GPS anywhere, it makes sense.

    It’s about use case, and your use case does not require data everywhere, but I would venture to say 1 in 4/5 use cases do.

  4. Ultimately, it’s not “carrier subsidized.” It is subsidized by the collective customer-base, including a lot of the people who paid full-price for an “unlocked” device.

  5. It seems like this is a carrier decision. Not much reason for ATT to do this now. Where else are they going to go? With multiple carriers in the mix it might make sense. I assume the payment to Apple for an iPad would be the same.

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