When Apple unveiled their new 7.9-inch iPad Mini last week, the shaved apes on Wall Street immediately began criticizing the company's $329 price tag for the entry-level 16GB Wi-Fi only model — citing that the price was “too high” compared to the inferior Amazon Kindle Fire and Google Nexus 7.
Only 35 hours after preorder availability began, the 16GB iPad mini stock has been depleted — preorders for the White model sold out within hours on Friday. Apple's website is now quoting a two week delivery time for the entry level tablet. So suck it Wall Street!
“We were hoping the price would be at least a little lower given its competition is situated as low as $99, with many starting in the $199-$249 range,” Barclays Capital analyst Ben Reitzes told Reuters.
What analysts ought to be hoping is that Steve Jobs doesn't climb up out of the grave just to slap their collective heads on All Hallows' Eve.
iPad mini will begin to dwarf sales of Kindle Fire and the Nexus 7 at staggering speeds through the Holiday season. So instead of focusing on price these finance nerds need to be reminded that Apple leads the tablet market for one simple reason, the iPad is an amazing hunk of unrivaled innovation.
It's not about cheaper. iPad is leading the competition because it's a superior device. Period.
Topeka Capital Markets analyst Brian White is convinced that the iPad mini will be an “absolute homerun” for Apple — selling 5 million to 7 million units before the end of this year. I would agree with his estimates and imagine that preorder weekend sales are only a small indicator of the real demand for a 7.9-inch iPad.
When the iPad mini cellular models begin to ship in mid-November I'm expecting a huge spike in sales for Apple. Anyone who believes otherwise is delusional — with a very short memory when it comes to the power and swagger of the Apple brand.
An iPad you can palm with one hand? Are you friggin' kidding me? That's pure fantasy coming true. I'll take two!
“The iPad is far and away the most successful product in its category,” Phil Schiller told Reuters.
“The most affordable product we’ve made so far was $399 and people were choosing that over those devices,” Schiller added. “And now you can get a device that’s even more affordable at $329 in this great new form, and I think a lot of customers are going to be very excited about that.”
That's right Phil — throw those shaved apes a big fat banana they can go suck on. Somebody has to.