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Pricing of the Newton

daemon@ATHENA.MIT.EDU (Jim Rinaldo)
Sun Oct 18 18:08:40 1992

Date: Sun, 18 Oct 92 18:21:26 EST
From: bcs_jim@MIT.EDU (Jim Rinaldo)
To: bcs-newton@world.std.com

Hi Folks;

I just wanted to throw out this curve ball to everyone.


What should the price be of the Apple Newton?


I think it should cost $397 for the basic model. I derive this price 
from measuring market expectations, divided by Sharp sales, squared by 
the percent likelyhood that the ATT Hobbit in one of its forms will be 
successful, and then throwing this all away.

$397 is the perfect price because that is what an Altair computer cost 
when it was first advertized in Popular Science. It was the founding 
father of the personal computer revolution.

The Newton (or newt for short) will be the founder of the first 
generation pdas. 

I feel this price differentiates the technology from the sharp and casio 
pocket organizers, but keeps it reasonable enough so that ordinary folks 
can buy them.

I realize that Apple has started spinning newt towards some fictional 
"Business PDA" market that will probably have 1/100 the share as say an 
educational or small business market. I have a feeling that this 
scenario will entail "charge per bit" communications, telecomm devices 
more expensive than newt, and other foolishness that will surely kill 
ANY innovations in the wireless communications market.


What do you think? How much for a newt? What would you pay? What would 
it have to do out of the box?


Jim Rinaldo

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