Many Apple fans were shocked by the $329 iPad mini price tag. Mostly because analysts predicted Apple would price the new tablet around $250 to $300 in order to compete with the Amazon Kindle Fire HD and Google Nexus 7. Phil Schiller defended the $329 price claiming shoppers will pay a little more for quality.
"The iPad is far and away the most successful product in its category. The most affordable product we've made so far was $399 and people were choosing that over those devices," Schiller told Reuters
But why did Apple really price the iPad mini higher than all the other 7-inch Android tablets on the market? According to the DigiTimes, the markup had nothing to do with "quality", but had to do with problems manufacturing the touch screen.
"Sources said the DITO film sensor is having mass production issues, which has been a big contributor to why the device is approximately 40-50% more expensive compared to other 7-inch tablets that have OGS or G/G structures.”
It doesn't really matter why the iPad mini is $329, it only matters if shoppers decide to buy the smaller tablet this holiday season. And it's probably a safe bet Apple will move enough minis to justify the price.