updated 12:55 pm EDT, Wed July 6, 2011
Xoom Wi-Fi gets price drop to $499, free case
Motorola announced over Twitter that it has dropped the price of its Wi-Fi-only Xoom tablet by $100 to $499. The company isn't saying why the price drop happened, but poor sales may be to blame. In the last quarterly report, the company said it shipped 250,000 Xooms.
Several tablet makers have already outsold the Xoom on launch. Acer shipped 800,000 Iconia Tabs in the spring, while even beleaguered RIM moved 500,000 BlackBerry PlayBooks between April and May. Much of Motorola's slow performance has been pinned to its belief it could repeat the success of the original Droid by once again tying a flagship device to Verizon. The mandatory $800 price and pressure to get a 3G contract hurt its chances and were compounded when the iPad 2 shipped just two weeks later with faster performance, a slimmer body, and lower prices.
The Xoom has a 10.1-inch display with a 1280x800 resolution, a 1GHz Tegra 2 processor, 1GB of RAM and dual cameras. Those who buy the Android 3.1-powered tablet from Motorola's site will get a free Portfolio Case.