What Did HP’s TouchPad Fire Sale Do To The Australian Tablet Market?

Gizmodo AU

All the TouchPads are gone, gone, gone. So what happens in the Australian tablet market now?

More:
- Where Will All The TouchPads Go?
- Will HP’s TouchPad Be $98 From 2pm Today?
- The $98 TouchPad: It’s Chaos At Harvey Norman Right Now!
- Where Will All The TouchPads Go? To eBay, Of Course

Fewer than 6000 people got their hands on a cheap TouchPad yesterday. I say fewer without access to specific figures, but if the comments across the articles that ran yesterday are any indication, some stores were sticking to the one-per-customer-rule with rigidity, while others allowed customers to buy them seemingly by the dozen.

What does this do to all future Tablet sales? It’s probably good news for Apple, who get to retain premium status with the iPad 2, while those vendors whose tablets are priced pretty much identically to the iPad 2 — which is to say, most of them — look even more expensive. Sure, it’s annoying that scalpers pounced on TouchPads and are now looking to get $200-$400 on them on eBay, but even at that price they’re a solid tablet for the money.

Equally, the vendors of actual budget Tablets — Huawei, Kogan and ZTC being the most obvious examples — will be in a tough position. Cheap tablets have been able to get by on the price rather than the features they offer. After all, if it’s under $300, does it matter if it’s not an iPad? It does now, because while the scalpers might be morally dubious, if the choice is between something with a bodgy resistive screen or older, non-upgradeable version of Android and the really rather good screen and speakers of the TouchPad for the same money, even if it’s second-hand, savvy buyers will have a quandary on their hands.

I doubt that the fire sales will put much of a fire under HP to revitalise the WebOS brand. HP will have lost a lot of money on the TouchPad, and it’d be a brave CEO who’d face the shareholders and offer to lose even more. Equally, the low numbers of folks who flocked for a dirt cheap TouchPad aren’t likely to energise the WebOS developer community much to speak of.

On the very minor side, yesterday would have been a lousy day to duck into Harvey Norman at lunchtime for some printer cartridges, or even a light browse, as my own experience showed. I’ve got to wonder — if HP’s footing the bill for Harvey’s cheap TouchPad sell-off, will it also be reimbursing for lost sales, because there’s no way that anything other than a TouchPad (or TouchPad accessory) sold in Harvey Norman stores yesterday afternoon.

What do you think? Did the TouchPad fire sale show off a desire for cheap tablets in the Aussie marketplace, or was it just opportunistic bargain hunting?

Discuss

(20 Comments)
  • [–]

    Peter

    Tuesday, August 23, 2011 at 10:07 AM

    Bought an Asus Eeepad Transformer (16Gb, no keyboard dock) last week. Don’t regret it one iota. Sure there’s rumblings of Android to jump on the device for people who want more functionality than a media player and web browser, but I’ve got exactly what I want and any fears I had for the device turned out to be completely unfounded.

    • [–]

      olearymo

      Tuesday, August 23, 2011 at 10:56 AM

      You’re really under the impression that webOS is just a browser and media player?

      Where have you been?!

      • [–]

        Steve

        Tuesday, August 23, 2011 at 9:25 PM

        Considering that the Touchpad you unpack from the box is basically what you get. With essentially no more support or added features…. Yeah. There really isn’t all that much you can do with it.

        • [–]

          webOS fanboy ;-)

          Wednesday, August 24, 2011 at 10:33 AM

          I got a 32gb touchpad on monday from HN – it runs flash v10.1 in its browser very well … also have found there is no limit on how many browser tabs (called cards) you can have open. Suck on that iPad ;-)

  • [–]

    lambomann007

    Tuesday, August 23, 2011 at 10:20 AM

    Any news about HP reducing the price on their online store? The touchpad isn’t listed on there anymore. Have they already lowered the price and sold all their stock?

  • [–]

    Matt

    Tuesday, August 23, 2011 at 10:21 AM

    I have been waiting (and planning) to buy an iPad3 when they are release after using various tablets. I managed to get a 32gb TouchPad yesturday, and frankly… I still want an iPad. Playing with it last night, I just didnt find it a “joy” to use. I can’t wait for those guys at TouchDroid to get a release out, but I still think I will be selling this and changing to an iPad3 when it comes out.

    • [–]

      Akash

      Tuesday, August 23, 2011 at 10:47 AM

      I’ll take it off your hands if you live anywhere near Sydney, it’ll make a good present for mum. :-) and you can out the cash back towards your iPad!

    • [–]

      klaw81

      Tuesday, August 23, 2011 at 10:53 AM

      Seriously, you expected “joy” from a tablet? It’s just a big 3G-less smartphone, after all. Maybe you’re visiting the wrong websites :-)

      More seriously, the Touchpad is roughly equivalent in speed, hardware and functionality to the original iPad at launch. Despite the fast processor, it’s sluggish (there are easy performance tweakes though) and the app selection is quite limited.

      If you’re after a cheap, portable touchscreen web browser/media player/ebook reader, the fire-sale Touchpad can’t be beat. Obviously the iPad 3 will be better….but it will also be 6 times the price, and it STILL won’t do Flash video, which the Touchpad does with aplomb.

  • [–]

    Andy

    Tuesday, August 23, 2011 at 10:41 AM

    I saw the HP tablet on the HP online store but when you add it to the cart it adds a freakin’ printer instead of the tablet …totally screwed

  • [–]

    Dimitri

    Tuesday, August 23, 2011 at 10:44 AM

    I am beating myself up as I wasn’t able to get a tablet in time. Are HP still going to sell the remainder on their web store for $99?

  • [–]

    David

    Tuesday, August 23, 2011 at 10:47 AM

    I lined up at Harvey Norman in Canberra for a 32 gig HP Touchpad for $148.
    Regard in as one of the best tech bargains I’ve ver seen.
    A quality product below Chine junk prices.
    Already people around the world are developing an Android version to load on the HP Tablets.
    WHeile the numbers in Australia may have been relatively low Best Buy in USA had 270,000 in stock.
    To me it does show that there is huge demand for a sub $300 quality tablet. (There were people who missed out yesterday begging for people in the line to sell them theirs for a quick profit).

  • [–]

    woodsdog

    Tuesday, August 23, 2011 at 11:17 AM

    The guy at HN said it was the fastest selling device at HN ever… So, I’m guessing their must be a fair old demand for Tablets, however I agree the market just shifted and about 6,000 people that were going to buy one soon, probably wont now, cause they all got a freakin Bargin…
    I admit, I wanted an iPad, but I will settle for my $148 touchpad. Its great, does everything I need and it works with flash. The whole quick profit I dont think will eventuate, and most people will probably see $300+ on a dying system as a bit over the top. Their is no gaurentee of Android working or even getting on their at all…

  • [–]

    Johnny P

    Tuesday, August 23, 2011 at 11:25 AM

    What nobody seems to have touched on is a large portion of people who purchased the touchpad weren’t even considering any tablet. To alot of people a tablet is a ‘like’ rather than a ‘need’. Personally, I have a nice little netbook, an ipod touch and a samsung galaxy s II. I have no need for a $700 ipad/android. But a $98/$148 decently built tablet entices a whole new group into the market. You know its a bargain and it would make a good christmas/birthday present.

    • [–]

      Thorbjørn

      Tuesday, August 23, 2011 at 11:42 AM

      Yeah. I wasn’t ever considering a tablet… until this bargain price. I have my MacBook Pro and iPhone 3GS. It covers my need for a quality smartphone with mp3 player and an actual work station (read: computer). Now if I could get a decent tablet priced at $100-200 I would definitely go for that. I wouldn’t use a tablet too much. Probably mainly for some easy accesible couch entertainment or a quick browse. Something my iPhone can do, but can’t do in a great way.
      I keep looking at iPads every once in a while, but then when I have a think about it. The amount I’d use it would just not be worth the $500+ price tag. And that’s why I’d like an HP Touchpad at a price like this… I did however miss out.

    • [–]

      Thorbjørn

      Tuesday, August 23, 2011 at 11:44 AM

      And I’d have to admit. I know a lot of people won’t like me for this… But I have been looking at eBay. Even here they go for $250+ and that’s just too much for me.

  • [–]

    Todd

    Tuesday, August 23, 2011 at 12:29 PM

    It’s to much knowing that they were had for 98$ I would have got one for $250 and been happy.

  • [–]

    BenDTU

    Tuesday, August 23, 2011 at 1:58 PM

    I’d say the Touchpad fire sale will get people interested in that other 9.7 inch 4:3 tablet on the market. Can’t remember the name right now though.

  • [–]

    red t-rex

    Tuesday, August 23, 2011 at 2:52 PM

    This is a great example of how Microsoft can get back in the game as they are one of the few companies who could afford to lose this much with a longer term view of turning a profit. It worked for the Xbox. Obviously the demand is there. Even if they just provided limited volume for a special intro price it would get people lining up iPad style to get one. It would help generate the media buzz to get it off the ground. They will have to ensure the release version is kick-arse though so it doesn’t do the opposite and generate negative media coverage.

  • [–]

    Greg

    Tuesday, August 23, 2011 at 6:21 PM

    It made no difference to the tablet market. Just like if it was still available, because there was no developer interest in the platform, it is/was largely irrelevant.

  • [–]

    Jonathan

    Tuesday, August 23, 2011 at 8:20 PM

    Of course it was opportunistic bargain hunting, of course there is desire for LOW PRICED, HIGH QUALITY tablets in the Aussie marketplace…

    I don’t think WebOS & Dev support need come into it for many people, look beyond the App store and at the product, first.

    This is a well made, capable device that was selling for a fraction of the price of competing machines.

    Apps are nice, obviously. Although, not everyone needs the choice overload of 30,000 (or whatever amount of) Apps, many of which are niche or garbage or functional copies…

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