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All posts tagged "$$$"


Wednesday, May 12, 2010

Microsoft and Verizon Defend Kin Plan Pricing

Posted by Jason Dunn in "Windows Phone News" @ 02:12 PM

http://www.computerworld.com/s/arti...75&pageNumber=1

"Microsoft's new Kin phones are not truly smartphones, but Verizon Wireless is charging users a minimum monthly $70 service fee anyway -- $30 alone for data -- over a two-year contract. Microsoft and Verizon representatives defended the fee on Tuesday, partly because of the Kins' automatic cloud-based backup of video, pictures and other data."

I've been critical of the reality distortion field that accompanies Steve Jobs every time he presents, so I can't be any less critical when I see Microsoft and Verizon doing the same thing. Both Microsoft and Verizon are standing arm in arm and together defending the pricing plan they've come up with for Kin. Ultimately, technology pundits such as myself saying the pricing plans are too expensive only count for so much - which isn't much - and what really mattes is what the market says.

In a few months we'll be able to see how popular the Kin is - or isn't - and make some conclusions from that. I maintain that the sweet spot would have been somewhere in the $40 to $50 pricing plans for both voice and data, and even lower if it's part of a family plan, not the $70+ realm that Verizon has chosen. Price matters - it always has, and it always will. Time and time again, consumers will accept "good enough" technologies if they intersect with a price point that makes sense; netbooks are a good example of this principal in action. The technologies in Kin are interesting, but not unique, and only someone who doesn't know any better is going to pay $70 per month for a Kin voice and data plan. Microsoft blew a prime opportunity to capture an important slice of the market...


Wednesday, April 28, 2010

HP Buys Palm for $1.2 Billion. Yes, Seriously.

Posted by Jason Dunn in "Windows Phone Competition" @ 02:13 PM

http://www.engadget.com/2010/04/28/hp-buys-palm/

"HP and Palm, Inc. today announced that they have entered into a definitive agreement under which HP will purchase Palm, a provider of smartphones powered by the Palm webOS mobile operating system, at a price of $5.70 per share of Palm common stock in cash or an enterprise value of approximately $1.2 billion. The transaction has been approved by the HP and Palm boards of directors."

Of all the companies I was thinking about buying Palm, HP wasn't very high on the list - but now that I think about it, it makes quite a bit of sense. Palm has a lot of expertise in mobile devices, and by all accounts, their new generation of WebOS devices are pretty good. HP on the other hand has deep pockets and really struggled in the mobile space since PDAs became phones; they're never managed to have a very successful mobile device. They need people will skills and vision in the mobile phone space, something they've lacked for many years now. I wonder what this means for Windows phone 7? HP was a launch partner, and I was expecting them to release a Windows phone 7 device...I kind of doubt that will happen now. So, what are your thoughts on this? Engadget has a liveblog of the conference call as well.

Tags: hp, acquisition, palm, $$$

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