CANADIAN SMARTPHONE AND TABLET MAKER Research In Motion (RIM) has cut the price of its Playbook tablet in the US and Europe in an apparent copycat tactic to HP's recent discount on its Touchpad.
Digitaltrends reports that Best Buy in the US has axed $150 off the price of the 64GB version of the Blackberry Playbook and has cut $50 off the prices of the 16GB and 32GB models.
In the UK, Currys reportedly lowered the price of the Playbook by £100 on its Ebay shop to just under £300, according to ITproportal. Since then that listing has been removed, which we guess means either it has been sold out already or the price change was a mistake.
The UK version of Best Buy doesn't show a price cut. Other UK outlets like Amazon, Carphone Warehouse and Dabs are also displaying no discount, with some priced well over £600, more than double the price of the one at Currys. Of course, the Touchpad discounts did not all happen immediately, so it might take some time for other retailers to cut prices.
The move follows the announcement of HP's decision to retire its WebOS powered Touchpad tablet. It cut prices so significantly that many people were able to buy the device for a quarter of its retail value. It's not surprising then that they sold out within hours pretty much everywhere as soon as people became aware of the significant discount.
The timing of RIM's move suggests it's attempting to follow suit, but it's holding back considerably in the extent of its discounts, with the 64GB version still costing $550 in the US and £300 or more in the UK. For some strange reason the 32GB version is also priced at $550, while the 16GB model is priced at $450. This might be designed to sell as many 64GB models as possible, but we cannot help but wonder who came up with the new prices and whether they really think they will be successful.
The problem for RIM is not just slow sales, but a lack of network support, particularly in the US, where it has failed to secure a major network deal. A planned deal with Sprint fell through last month, which certainly didn't help RIM's standing.
While it's still early for the Playbook and its price discounts, given how quickly the price of the Touchpad fell and how even more quickly it sold out, this is one to watch for at all the major retailers. µ
Tags: Hardware