Is Motorola Prepping to Cut Production of the Xoom?

You know how we feel about analysts’ predictions around here. There aren’t enough grains of salt to cover them all. In this case we’ve got Peter Misek of the Jefferies Investment Group saying that sales of the Motorola Xoom aren’t moving very well and that Motorola might just be planning to cut production.

Again, grain of salt time here, but this lines up with the reactions and comments from what we’ve been reading from folks who have the device and are using it (and in some cases returning it.) The “not-ready-for-primetime” and “released before its time” labels seem to have stuck. At the same time word is starting to spread that Motorola may finally be prepping its WiFi only version to go on sale for $500, which if true is probably some price-point recognition that is just a little too late in the game. Word is also popping up that Samsung may finally release its WiFi only version of the first Galaxy Tab at around $399. Again, that’s probably a move that should have happened sooner. And not just because Apple seems to have scored another hit, but because Samsung Execs have spent quite a bit of effort pushing the next model (albeit a different form factor) without setting a price on it yet.

  

Comments

  1. Apple FUD says

    All this doom and gloom people are trying to spread about the Xoom is just hilarious. Typical Apple FUD being spread by unknowing bloggers that regurgitate everything without a single thought.

    The $800 Xoom is expected to sell over 300K for this quarter–it was released at the end of the quarter btw. The WiFi version hasn’t been released and won’t be till after this quarter is over. Selling 300K of a first adopter device at a first adopter price that is tied to a carrier is pretty good considering the massive hype around the iPad. So, expect at least 4x that number sold of the WiFi in one quarter. Does that sound like it’s selling poorly for a first gen device?

    The one thing we can learn from all this Apple FUD that’s being spewed on the net is, Apple is *rapping themselves now that they’ve seen Android Honeycomb and they know it makes iOS for the i*ad look very dated and look like a blown up i*od touch. Notice how they moved up the launch of the i*ad 2, and the release of iOS 4.3, and now it sounds like iOS 5 will be released early and possibly another i*ad 3 by x-mass. . . and they want people to believe that Android Honeycomb tablets are doa–hilarious. . . just freaking’ hilarious! Apple is running scared and using every tactic they can to spread FUD and clueless sites like this are their unwitting or willing partners.

  2. Xoomer says

    Poor article. It does not mention why they would halt production. Is it to wait for the software bugs to be fixed? Wait until 4G and the SDD slot is ready? Retool the tiny volume buttons? Replace the screens with ones that are brighter and have more contrast? Halting production will not make them sell more, so leaving out this information makes this article’s value much lower than it could have been.

    • Howardd21 says

      I think that the article does mention why:
      “Peter Misek of the Jefferies Investment Group saying that sales of the Motorola Xoom aren’t moving very well and that Motorola might just be planning to cut production.”

      I am not sure any of this is true, but that is a legitimate reason to slow production. Add to that they expect to sell 300,000 Zooms this quarter and Apple may double that this weekend with a second gen iPad. Seems like they may have over estimated demand.

  3. Xoom Tablet Best Buy says

    Motorola Xoom is an underrated tablet and I don’t understand why people attack on it. iPad 2 is for simple users who don’t want to involve many OS level things while Xoom is a productivity tablet and suits for people who like to engage with Android. Do not lose trust on Xoom such easily. It will be much better after 4G update.

  4. Xoomer says

    After rereading the article I see now that it says ‘cut’ production. I originally thought that meant stop production. I didn’t see how stopping production could help sales of a product not selling…. and I was hoping they were going to rethink and put some improvements / fixes into the product.

    So, the article is not poor. I should have read it more clearly the first time.

    (I’m wanting to love the Xoom, but the display contrast and brightness, volume buttons, and speaker placement make it hard to justify it’s price. I’ll wait for another Honeycomb tablet or two to come out so they can be compared. )

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