With better priced competition entering the tablet market, Apple is going on the offensive by launching an entry-level iPad early next year. According to Ticonderoga Securities analyst Brian White, Apple is looking to launch an iPad in the mid to high $200 range. Of course, this would be in addition to the iPad 3 which should launch in the second quarter of 2012.
This would be a smart move for Apple as higher quality yet lower priced tablets enter the market. Analyst are predicting that the Amazon Kindle Fire will give the iPad a tough fight although our belief is that they are not in the same class. If Apple wants to maintain market share, it would need to lower the price of its iPad. A $250 - $300 iPad may ensure that Apple remains on top. We shall see.