The Higher Cost of the iPad

There are a lot of posts and articles about the iPad, which is understandable. However, I feel that all of the stories have overlooked one important trend: total cost of ownership.

Let me set this up.

When the Apple Remote was introduced, it was Apple's first app available through the App Store. It set a precedent in the minds of everyone who would visit the Store from that point on: If Apple is giving an app away, why should I pay for other apps? Obviously, things changed, and many people have purchased apps, but the trend for almost all apps has been a downward spiral, getting very close to, if not hitting "Free".

Apple tried to counteract this downward trend by introducing other apps that cost money, though they could have just as easily been free. For example, they released the Keynote Remote at $0.99 to show developers that they could stand firm on pricing. While they didn't market it that way, that was the distinct impression that I had.

Many others have written about this, so I'll leave the setup and talk about the iPad. Apple has again set the standard and the developers will follow suit. They have priced the iWork apps at $9.99. I expect that most apps that are designed for the iPad are going to cost at least $9.99. There will of course be free apps, and there will be cheaper apps, but Apple is telling developers and consumers that developing a quality app is expensive, and they are setting the bar.

I am predicting that based on Apple's iWork suite selling for $9.99 each, the average cost of apps on the iPad store will be higher than the current ~$2.50. I predict it will close to double that amount.

By the way, there is an app that says that I have spent around $255 on apps. That is pretty reasonable. I have found some great deals on apps using this web site.

Have a Good Life.


    You've spent how much on apps?

    I just downloaded the WetFish app and it lied about how much I have spent on apps. I know for a fact that I've only spent $4.97 on apps (three total purchases) but WetFish puts me at $12.93. It doesn't know that I'm a cheapskate - especially when it comes to iphone apps - and that I've purchased several apps when they were on sale for free.

    Still, interesting ideas about the ipad. Here's to the hope that those apps can also be purchase on the cheap - 'cause $9.99 just idn't gonna cut it for me. :)

    I haven't actually spent that much, either. I also bought a lot of apps when they were free. I do know that I have spent way more than $4.97, though. I am impressed that you kept it so low.

    Thanks for all the info. Good blog