Much like the Kindle Fire HD is focused on Amazon services like books and movies, the Xbox Tablet will clearly be focused on games. That means that not only will it have a strong display, but it likely will have more performance than any other tablet. That also means it should cost more to build, which would suggest Microsoft could make an overpricing error similar to the mistake Apple made.
However, here is where the magic of the Xbox comes in. The profits in a game system come from royalties on the games. Game systems are sold at or below cost as annuities that pay back dividends when owners buy a service or purchase a game. The end result is Microsoft could price this below cost, creating the best tablet value in market with better components and performance than any other.
This would allow Microsoft to create another product that showcased the comparable Apple iPad mini's weaknesses. It would have high, not low, performance; it would have a better motion detectors for games; it would have an aggressive, less elegant, design to emphasize its purpose -- and it would be priced at or below cost. Saying it was well-differentiated from the iPad mini would be an understatement.
I personally think this gadget would be awesome! because of it's beast OS (WiN 8) and as we all know XBOX is a hardcore gaming console and so this tab will be ! - Udbhav Katyal
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