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Samsung panics over iPad 2, may cut Galaxy Tab 10.1's price

updated 09:05 am EST, Fri March 4, 2011

Samsung worried iPad 2 will hurt Galaxy Tab 10.1

Samsung was caught off-guard by the iPad 2 and may have to rethink its strategy for the Galaxy Tab 10.1, the company's executive VP of mobile Lee Don-joo said on Friday. The Korean company had planned to charge a premium over the original Galaxy Tab, which already cost nearly as much as a larger, first-generation 3G iPad, but wasn't certain it could do so now that the iPad 2 was roughly matching it in features for the same $499 price. Lee didn't tell Yonhap what pricing was to have been, but a 16GB, 3G Galaxy Tab costs $600 in the US.

"The 10-inch [tablet] was to be priced higher than the 7-inch [tablet] but we will have to think that over," he said.

Lee also explained that the company had felt symbolically beaten by the new Apple tablet. Samsung thought it had outdone Apple by making the Galaxy Tab 10.1 about 10.9mm (0.43 inches) thick, but the iPad 2's 8.8mm (0.35 inches) now left its competitor behind once again. "We will have to improve the parts that are inadequate," he said, adding that the iPad was now "very thin."

The Galaxy Tab 10.1 still has some advantages over the iPad 2, including an eight-megapixel rear camera and a front two-megapixel camera. Although Apple hasn't said how fast 3G will be on the iPad 2, Samsung's device will support full 21Mbps HSPA+ downloads. Some have argued that Android 3.0's deeper multitasking, widgets and looser app policies also work in its favor and turn it into more of a notebook replacement.

Samsung's dependence on carrier sales, however, could leave it at a distinct disadvantage. It has never quantified sales to real customers, but it's believed its real sales of the seven-inch Galaxy Tab were significantly less than the two million shipped due partly to its steep relative prices and the lack of a Wi-Fi only model. A Wi-Fi Galaxy Tab is about to launched in the US this month, but it may ship with an aging Android 2.2 and might not necessarily cost significantly lower than $499 despite now being completely outclassed in performance.

by MacNN Staff



  1. Foe Hammer

    Joined: Dec 1969


    Watch The Prices ...

    ... of Samsung components to Apple go up. :-)

  1. sammaffei

    Joined: Dec 1969


    How coud they be caught off guard?

    They supply some of the iPad's components. Also, don't they keep up on the competition's rumor mill? Give me a break!

  1. Bobfozz

    Joined: Dec 1969


    It's hard to believe that...

    Samsung thought that Apple would just sit on their laurels waiting for the others to catch up. Maybe these people should reread Gallo's "The Innovation Secrets of Steve Jobs." These people try to copy Jobs, but they never, ever really seem to get what he and the Apple Team are about... I also have a feeling we are going to see more weirdnesses with Android 3 as if somehow that is going to save all these wannabes.

  1. mytdave

    Joined: Dec 1969


    off guard?

    Really? I think most people who follow tech already had an idea of what Apple would be doing. Apple always does thinner, faster, cooler. How could you get caught off guard?

    Samsung may feel symbolically beaten by iPad 2, but that's not something you usually want to publicly announce.

    They, and any of Apple's other competitors, are never going to be able to really compete with the iPad, just like there is still no "iPhone killer" and there never will be. They just need to focus on their product and make it as good as possible and desirable in its own right. Competitors need to focus on their own strengths and come up with some of their own unique features and stop trying to catch up with or challenge Apple's products. Forget the "me too" mentality and come up with something unique for a change.

  1. starwarrior

    Joined: Dec 1969


    Counting Beans is a Clue

    Where do they get these CEOs?

  1. qazwart

    Joined: Dec 1969


    Of Course They Were Caught Off Guard

    Who would have known that every year Apple announces new versions of their products which are lighter, faster, hotter, and more or less at the same price?

    After all, Apple doesn't do that with the Mac or the iPhone.

  1. jpellino

    Joined: Dec 1969


    Better faster cheaper...

    I wish Apple had lowered the iPad2 price by $1 just to be the first to hit all three!

  1. climacs

    Joined: Dec 1969


    where's wrenchy

    and ilovestevejobs?

    I guess they are still cleaning up after their scat play encounter at the hotel.

  1. Grendelmon

    Joined: Dec 1969


    Huh, that's funny...

    The reference article (if you actually read it), doesn't mention anything about Samsung being "caught off guard" by Apple. All it says is that the 2nd generation iPad creates "obstacles" for them to compete.

    Oh, and the headline of the company going in "panic" is just precious, MacNN.

  1. cmoney

    Joined: Dec 1969



    If they had no inkling of pricing (who'd have thought Apple would keep the same price points?) or rumored specs, I am not at all surprised by their inability to compete.

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