Comment Re:Amazon did it (Score 1) 338
If the iPad hardware could be produced for less than $500 then everybody would be making iPad competitors for sub-$500, probably for sub-$400.
Well, according to isuppli the iPad 2's hardware costs $326.60.
To be fair, you still have to factor in Apple's own costs (hardware design, software, licensing costs and so on). There's no word on whether that would then exceed the $500. Some costs are shared across other devices, particularly the iPhone.
They're propping up one business arm with another, and that stinks of a monopoly.
It stinks of common business practice. Lots of businesses will use a stronger part to assist a weaker part - usually because the stronger part would suffer without other one.
Abusing a monopoly position to enable aggressive pricing in another segment would certainly be considered anticompetitive, and presumably illegal. What monopoly is it that you think Apple is abusing to prop up the iPad?
Steve