Apple is widely speculated to be announce the new iPad Mini tomorrow and could be hitting stores as soon as Friday Nov. 2 just ahead of the holiday shopping, and analysts are speculating the price will be starting at around $329.
Amazon and Google's tablet offerings start around $200, about half the price of a new iPad. It's not Apple's style to compete on price, however, and the company isn't shy about tacking on a healthy premium.
"We do not believe Apple needs to price as low as $199 to match Google's Nexus 7 and Amazon's Kindle Fire HD," Sterne Agee analyst Shaw Wu said. Instead, Wu believes the iPad mini will fit somewhere between the $299 iPod Touch and the $399 Wi-Fi only iPad. In other words a "a price point of $299 or $349."
"The key question is whether Apple decides to price in-line with its margin model or does it get aggressive to 'go for the kill' against competitors. Regardless, we continue to believe iPad mini is the competition's worse nightmare."
This range matches the rumors of $329, reported by 9to5mac. Pricing for more memory and cellular coverage will likely mirror iPad models in the past: $100 extra for more storage and a $130 premium over similar memory models for 3G or LTE capabilities.
Apple has increased competition in the tablet market since it first rolled out the iPad. Google launched its Nexus 7, which features a 7-inch screen in July and retails for $199. Meanwhile, Amazon introduced its latest version of the Kindle Fire HD in September for $159. Amazon's new tablet is offered in 8.9-inch and 7-inch models.
