Don’t fancy paying so much for an iPhone or iPad? If you’re not too fussed about the operating system, there are plenty of cheaper alternatives out there that run on Android or Windows Phone. For example there are companies like Xiaomi and Huawei and OnePlus, all of whom have created great value for money handsets.
HP themselves have also attempted to compete purely on price by launching low-end tablets like the HP Slate 7, but it seems that the company’s strategy of competing on price alone is at an end. In an announcement made by David Coughlin, HP’s president of Personal Systems, it seems that the company will stop focusing on low-end tablets.
Coughlin was quoted as telling PC World, “We are going to focus where there is profitability and growth and will not chase the low-end tablet market. We are focusing on business mobility to deliver tablets built for field service, education, retail and healthcare.” At the moment the division at Coughlin leads apparently earns a revenue of under 4% from “other” devices like tablets, something that they’re hoping to increase by offering higher-end products.
Will this strategy work? Right now as far as tablets are concerned, Apple’s iPad still has the market cornered. However Microsoft’s Surface tablets have been making waves as of late, so it looks like HP will have some pretty stiff competition.
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