Will we see ~$300 tablets for Christmas?
Most people agree that the iPad costs too much. Could we possibly see competitors drop their prices to ~$300 for the Christmas season, as they try to expand marketshare at the cost of profitability? As long as Apple controls the majority of tablet sales through the iPad', no competitor has been able to gain as much positive attention as Apple.
Answers
Well the Amazon Kindle Fire is out now and it's around $199, I think. So we're already seeing tablets that are a lot lower than the price of the iPad. Of course it doesn't match the iPad's specs either though. So you'll have to figure out if it's still worth paying for. I think the Fire works well if you are plugged into Amazon's content ecosystem. Not so much though if you are not.
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Will it be $300 or less? There's no way to know right now. I suspect that Apple is going to make sure that they aren't undercut in the market by cheaper tablets. So it makes sense for them to keep the iPad 2 available at a lower price while still offering the more expensive iPad 3 to higher end customers.
So stay tuned. If the iPad 3 comes out in March or April, we'll know for sure.