If the latest teardown wasn’t enough to dissuade you, Google Glass is open again for business. You can join the Google Glass Explorer program for $1500. Last month, Google hosted a one day sale for the wearable tech. Demand was so overwhelming that some models sold out over the course of the day. Google has restocked, and is ready to add more users to the Explorer program.
The question remains, are you purchasing at the right time. For one, there is no way this hits retail at $1500. Use the Xbox One model. The console barely made it eight months into its lifecycle without a price cut. $499 to $399. You think the masses are going to part with $1500 for what amounts to a tablet on your head?
The next issue is Google Glass is in beta stage. Consumers are being asked to pay a premium to field test Google’s entry into wearable technology. I will give the company props. It takes a special company to convince thousands of users to pay more for the opportunity to work out the bugs. Development kits for apps sure, but just your average Joe? That’s marketing on a whole new level.
Google has plans to release a retail version of the product at a later date. If you’re not an app developer or someone with a lot of cash just lying around, it pays to wait. The price will come in well under $1500.
If the beta tag doesn’t scare you off, the newest teardown might. After Teardown.com calculated the cost of Glass at $80, IHS Technology is out with their teardown – pegging the price around $152.47. Now that’s a margin. Google is quick to push back on the analysis.
“While we appreciate another attempt to estimate the cost of Glass, this latest one from IHS, like Teardown.com’s, is wildly off. Glass costs significantly more to produce.”
We won’t actually get the company breakdown until it hits retail status. Then it will be incorporated into Google’s earnings reports. Investors and observers alike will be able to see the costs of Google Glass. Still, if they have managed to get a wearable tech item down to $150, that’s a huge win. They can price it at double that amount with ease.
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