PC makers are hustling to get into the ultrabook market. Those already in the market for the ridiculously thin notebook computers are promising to slash prices, fast. How can this end well?
Acer president Jim Wong told Taiwanese trade publication DigiTimes this week that he's planning to to drive prices for its super-thin notebooks to less than $500 in 2013.
Intel began talking up the idea of thin and light computers built around low-voltage versions of its processors earlier this year following the success of Apple's MacBook Air, which pairs a low-voltage processor with an ultra thin chassis stripped of an optical drive.
The catch: Apple's machines sell for more than double the cost of the perfectly adequate notebook, such as the Dell Inspiron 15. Makes sense: a premium product deserves a premium price.
Not for long. Wong said Acer’s prices will fall to between $799 and $899 in the second quarter of 2012, down from about $1000 currently. Acer expects to move 300,000 ultrabooks by the end of 2011. It’s now selling them at a rate of 100,000 a month, Wong said.
Odds are, Apple will respond by finding a way to cram more premium into its premium product. It will have to, because it looks like everyone else plans to compete on price. Whee.
