As many as 200,000 HP TouchPads on the way

As many as 200,000 HP TouchPads on the way

Summary: As many as 200,000 HP TouchPads will be produced in the final production run the company has recently announced, according to Asian partners.

SHARE:
TOPICS: Hewlett-Packard
32

HP has bounced all over the map with its handling of the HP TouchPad, from dissatisfaction at the launch to cancellation of the product in just a few weeks. Most recently it announced that it was making a limited production run to get the TouchPad in the hands of the thousands who ordered one at fire-sale pricing, but didn't get one due to limited inventory. This run could be significant if information coming out of HP's partners is accurate.

DigiTimes is reporting that those who suspected the new run of TouchPads was HP's way of cleaning out the pipeline of hardware components that manufacturing partners were left holding with the unexpected product cancellation, is correct. Suppliers are reporting that HP had originally ordered the manufacture of 900,000 - 1.1 million TouchPads, yet only took delivery of 800,000 - 900,000. The fire sale of TouchPads at $99 was quite significant if these numbers are accurate.

The next production run of the HP TouchPad will use up the remaining parts inventory, which is 100,000 - 200,000 units, depending on how many HP has already sold. This speaks well for those wanting a cheap TouchPad but who didn't get one in the original sale. It also means over a million TouchPads will be in customer's hands, which is significant for a discontinued product, even at a hundred bucks.

Additional HP TouchPad coverage:

Topic: Hewlett-Packard

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Talkback

32 comments
Log in or register to join the discussion
  • RE: As many as 200,000 HP TouchPads on the way

    Most of the people who bought a $99 TouchPad are gone from the tablet market for at least two years. HP effectively took a million potential sales off the table, most of them probably coming out of the Android segment. By the time demand catches up to the non-HP inventory that's already in the channel, those units will be obsolete, bypassed by better-faster-cheaper things that have come out since. So then we'll see a million first-gen Android tablets going out the door at $99.

    When does anybody in this business (except Apple) get to make any money?
    Robert Hahn
    • RE: As many as 200,000 HP TouchPads on the way

      @Robert Hahn
      I would have to say when another company find the right methods to market there products like Apple has.

      I love Apple. I wouldn't say I am a fanboy (fanboi?) but I love the products and the ecosystem and the customer support. (I also have 2 Winboxes in my computer stable hence my opinion that I am not a Apple Fanboy).

      Apple just "talks" to the consumers... they find a way to present their products in such a way that people out there feel the NEED to get that product.

      Once some other developer finds the way to link to it's customer base and make them all feel that same need... Apple will have some competition on it's hands. But at this point, IMHO, that is why no other tablets have barely touched the sales that have been seen for the iPad.
      Geuseppi
      • RE: As many as 200,000 HP TouchPads on the way

        @Geuseppi Yep, Apple sells an Image! The original Droid started the Android Momentum because it sold an attitude!

        The next company that sells either an Image or an Attitude will also be a success.
        slickjim
      • The key is in the ecosystem

        @Geuseppi Android OEMs are concentrating on how to build the cheapest piece of crap they can sell. They forget that the strength in Apple products is the very solid ecosystem that supports the device.
        wackoae
      • RE: As many as 200,000 HP TouchPads on the way

        @wackoae
        AMEN!!! That is one of the reason that I prefer Mac/Apple to other platforms. A very tight woven eco-system that everything can interact and use parts of the other equipment. (i.e. streaming iTunes through an apple TV/Airport express. Controlling the iTunes library with another mac/iPhone/iPad/iPod. AirPlay... the list goes on and on)
        Geuseppi
      • Your right, but you left out some facts.

        @Geuseppi

        And those facts left out spiral directly out of the fact that accomplishing the feat of finding the right methods to market there products like Apple has is beyond a difficult feat. If one really looks with a critical eye at the situation one could easily conclude that its an impossible task, at least currently. And the fact also exists that its such a difficult task that the longer Apple remains a huge player in the commercial sale computers and gadgets the harder and harder it will become for them to retain what is almost a magical ability to sell snow to the Eskimos.

        Apple gained a reputation among the general population of creating the best of the best of high tech gadgets once the iPod took off. The iPhone solidified that, not just being a great product, I own one so I know, but the iPhone brought touch tech to the masses and it was seen as ground breaking, the public seen it as far more "magical" then it even actually was. Make absolutely no mistake that Apple was then in one of the most unique positions of any company in history. They had gained the reputation of a company who was bringing high quality almost magical futuristic products to the market, and no other company in the market place was close to that kind of rep.

        Apples position in the market was so high and solid it provided them with a very very unique opportunity no other company could hope to accomplish, or therefore have a reason to risk trying. That opportunity was to be able to promote a new product as being of a "groundbreaking" nature based almost entirely on Apples say so. The product could be relatively expensive and didn't actually have to be even as "magical" as the iPhone was, Apple was now in a position where if they said the product was magical they would be believed. And that is a unique position indeed.

        This of course was the iPad. And interestingly enough the only relatively unique thing about the iPad was its form factor. And of course that was just striking enough to give credence to Apples claims that the iPad was the next big thing, it was a new looking thing and Apple made high quality innovative gadgets so the promotion was credible. And it worked. Big time.

        The problem for other companies in the IT business is that most of their products don't even lend themselves to the kind of self aggrandizement that the iPod and iPhone were able to generate. And we have seen in the starkest of recent examples that when it comes to tablets that the reason the iPad is outselling all other tablets is not because its worth way more value then the competition, its largely because the iPad is a product nobody needs but they want it, they specifically want the iPad, Apples new "groundbreaking magical" product. For the most part thinking about competitors products for Mr. Average just makes him/her wince because they don't actually need a tablet but they want an iPad. If anything, thinking about the competition is only more likely to wake them up to the fact of how little they need a tablet at all.

        Apple made a couple brilliant moves. First was noticing how the public was moving in a very trending way toward listening to mp3's on mobile players and leaving CD's behind. The huge leap forward in portability was a groundbreaking advantage and Apple was smart enough to see just how huge a leap forward this was. They came up with a fantastic comprehensive plan which involved iTunes to supply the music and then to build a piece of high quality hardware to mate up with that. A very smart "one two" punch that anticipated the great significance of an early trend.

        The iPhone came about following the same pattern. Apple took very strong notice of the prevalence of smart phones creeping right throughout western society. They probably first of all recognized the potential of high end large capacity smart phones from other manufacturers stealing away everything they built up with the iPod. After all, a smartphone with large storage could play mp3's as well as any iPod. They were already doing touch so it was time to make one slight slide to the left and out came the iPhone. Great marketplace perception and a great result for Apple as a result.

        But the iPad is different. It was something new, it wasn't following up on the early notice of a new trend like the iPod and iPhone were.

        I don't care what anyone says, if you look on paper exactly what an iPad is and is not and how much it cost, on paper it looks like a white elephant that cant sell at the price. And as many manufacturers have found out, thats largely true. Unless your Apple.

        So ya, other manufacturers haven't been able to find a way to market like Apple does but in all fairness thats because Apple can market, promote and sell their products as Apple products, magical, and unless your Apple thats not an option.

        So while its true that Apple, as you said, makes people feel the need to own their products, thats a very rarefied status that even Apple is going to have some difficulty hanging onto indefinitely the longer and longer that more and more of their products are in the publics hands because even the public eventually comes to notice when there really isn't any true magic in the trick. Even if they are good products, right now its the magic thats doing the selling.
        Cayble
      • A few more facts

        @Cayble<br>You said: "I don't care what anyone says, if you look on paper exactly what an iPad is and is not and how much it cost, on paper it looks like a white elephant that cant sell at the price."<br>According to "Business Insider" which you can Google easily enough. They estimate that the iPad 2 costs Apple $326.60 just for the parts. Their conclusion when figuring all of the other factors involved in the cost of the iPad 2 (shipping, inventory, retail, marketing and R&D) is that Apple must be close to just breaking even on the device. So if your argument is that the iPad2 is too expensive for what it's parts are, I don't think the facts back it up. When Apple first announced the original iPad and that it's starting price would be $500, I remember reading articles from the tech industry on how amazed they were that Apple would sell it so cheap.<br>However if you are arguing that it is not worth it because of it's lack of usefulness that would only be true from a tech-heads point of view. For many people out there that are not tech heads, these simplistic tablet devices are a dream come true. Having worked with many clients as well as family and friends who can't stand their normal computers, to them having a simplistic device that let's them do 99% of the stuff they would ever do on a computer without an overwhelming amount of menu choices is their answer. The iPad and similar devices provide the user with a basically worry-free, trouble-free user experience. Everything that makes them dread going to a normal computer, is now removed with the iPad. Thousands of menus to go through just to do something simple, gone. Wait time for the OS or Apps to boot up, minimized or gone. Concern that they might accidentally mess something up, minimized or gone. Weird notices popping up constantly about updates or possible virus issues (whether legitimate or not), gone. As a tech-head, I would agree with you that iPads are an over-priced paper weight compared to what I can do with a normal computer. But I managed to get one of the $99 HP Touchpads for my parents, because for them, it is way more useful than a laptop would ever be. They will actually use it, while their computer collects dust. To me the biggest reasons that the competition has a hard time competing with Apple, is that Apple is selling the iPad 2 cheap enough that it is hard for them to undercut, and also because Apple has a mature ecosystem. After playing with the Touchpad, I have to say that there are definitely things I like about webOS over iOS. But priced similarly, I would choose iOS every time, because of the fact that there truly is App for everything. WebOS hardly has any apps compared to iOS. Android's market is so fractured with Android 2 vs Honeycomb vs Ice Cream Sandwich, I think it's hard for both developers and consumers to take it seriously yet. Basically it comes down to price and ecosystem that is hindering the competition.
        7stringdude
    • RE: As many as 200,000 HP TouchPads on the way

      @Robert Hahn This came from everybody's pocket including Apple! Crud, it is more likely to have come from Apple's pocket because that Tablet is the most well known and the average Joe bought one after realizing they could save $400 over buying an iPad 2.
      slickjim
      • RE: As many as 200,000 HP TouchPads on the way

        We'll all find out in October when Apple releases its quarterly results.
        Robert Hahn
      • RE: As many as 200,000 HP TouchPads on the way

        @Robert Hahn How will that tell us? All it will show is that maybe Apple or Android could have sold another million tablets but it will not actually say for sure, one way or another.

        Besides, that Apple ordered 20 Million more iPads shipped and now there are more than ever sitting on Best Buy Store Shelves but Apple will claim 20 Million shipped as Sold and nobody will question it.
        slickjim
    • RE: As many as 200,000 HP TouchPads on the way

      @Robert Hahn "Most of the people who bought a $99 TouchPad are gone from the tablet market for at least two years."

      Yes, but many of those would not have bought a full-price tablet anyway, so they constitute an extension of the table clientele. Arguably, if their experience with the cheap taster is positive they may be more willing to pay more next time and, thus, HP's firesale has actually expanded the market.
      csomole
    • impact on table market

      @Robert Hahn "Most of the people who bought a $99 TouchPad are gone from the tablet market for at least two years."

      Yes, but many of those would not have bought a full-price tablet anyway, so they constitute an extension of the table clientele. Arguably, if their experience with the cheap taster is positive they may be more willing to pay more next time and, thus, HP's firesale has actually expanded the market.
      csomole
      • RE: As many as 200,000 HP TouchPads on the way

        It's true that many of the TouchPad buyers wouldn't have bought a full price tablet, but it's also true that many of those <i>would</i> have bought a $250 or $199 tablet. I think HP has really poisoned the well with this fire sale, and it will cause additional fire sales by other vendors as we march down the calendar and The Other Guys see their channel inventory getting wrinkles and gray hair.
        Robert Hahn
  • With a potential of a million WebOS tablet users, HP might

    Be able to unload WebOS to somebody and recoup some of there loses associated with their WebOS acquisition.
    kenosha77a
    • RE: As many as 200,000 HP TouchPads on the way

      @kenosha7777
      I doubt HP will" unload" WebOs after investing soo much to acquire it. Most likely, they will simply keep it on the back burner of development and wait until the Android market and Windows 8 (for touch ) has settled down. Meanwhile, many touchpad users will find an Android port and install that on the hardware and abandon WebOs due to lackluster Application availability. I know I will.
      Jaytmoon
      • HP Still using WebOs

        @Jaytmoon
        Agree, I doubt they will unload it as well. As I understand it they are still using it on other devices, like their consumer printers.
        TexasJetter
  • Bak &Auml;&deg;&Atilde;&sect;ime G&Atilde;&para;r Beni

    Apple just "talks" to the consumers... they find a way to present their products in such a way that people out there feel the NEED to get that product. <a href="http://www.hayalin.com" title="sohbet, chat" target="_blank">chat</a>
    <a href="http://www.kraldost.com" title="mirc indir, mirc" target="_blank">mirc</a>
    <a href="http://www.kizlarkulubu.net" title="liseli kizlar, kizlar" target="_blank">liseli</a>
    <a href="http://www.chatiz.net" title="sohbet, chat" target="_blank">chat</a>
    <a href="http://www.hayalin.com" title="sohbet, chat" target="_blank">sohbet</a>
    <a href="http://www.kraldost.com" title="mirc indir, mirc" target="_blank">mirc indir</a>
    <a href="http://www.kizlarkulubu.net" title="liseli kizlar, kizlar" target="_blank">liseli kizlar</a>
    <a href="http://www.chatiz.net" title="sohbet, chat" target="_blank">chat sitesi</a>
    <a href="http://www.hayalin.com" title="mirc, mirc indir" target="_blank">mirc</a>
    <a href="http://www.kraldost.com" title="mirc y?kle, mirc " target="_blank">mirc</a>
    <a href="http://www.kizlarkulubu.net" title="liseli kizlar, kizlar" target="_blank">liseli</a>
    <a href="http://www.Chatsitesi.gen.tr" title="chat, chat sohbet" target="_blank">chat</a>
    <a href="http://www.Chatsitesi.gen.tr" title="chat sitesi, chat" target="_blank">chat sitesi</a>
    <a href="http://www.Chatsitesi.gen.tr" title="chat siteleri, chat" target="_blank">chat siteleri</a>
    <a href="http://www.kraldost.com" title="sohbet, chat" target="_blank">chat</a>
    <a href="http://www.kraldost.com" title="sohbet, chat" target="_blank">sohbet</a>
    <a href="http://www.kraldost.com" title="sohbet odalari, chat" target="_blank">sohbet odalari</a>
    <a href="http://www.kraldost.com" title="sohbet odalar? , sohbet" target="_blank">sohbet odalar?</a>
    Sizleride Bekleriz
    SpOoNeRR
  • HP is selling them at a loss due to supplier commitments

    HP and the iHaters are trying to spin this as some kind of 'victory'.<br><br>shoot: HP got burnt with his WebOS Palm purchase fiasco and management is in FULL SPIN mode to try to obscure they made a complete billion dollar botch up. (HPQ shares have fallen off a cliff and is now 24 bucks from a high of 49) <br><br>they've got a ton of supplier commitments on tablet parts purchases and now they have to make more money losers and try to spin it as some kind of 'success'.<br><br>get a grip iHaters, Apple isn't troubled, it's just HP digging itself deeper into the financial hole selling more stuff at a loss (which cripples it further to compete in apple in the tablet and PC arena: they already want to sell off the PC branch) and it'll hurt Apples other rival tablet makers (who cater to the bargin bin cheap PC demographic consumer) a lot more than apple - apple customers (from sales data) just want the best .
    Davewrite
    • RE: As many as 200,000 HP TouchPads on the way

      @Davewrite Nah, if HP made money off of Apps, this might not be a loss.
      slickjim
      • RE: As many as 200,000 HP TouchPads on the way

        Do the math. They're losing $200 per unit. Average app is around $5 (actually it's probably less) and HP gets 30% (same as Apple). Need to sell 133 apps per TouchPad to make up the hardware loss. Space aliens will attack first.
        Robert Hahn