iPhones are 10 times more expensive than other cellphones out there, but they're still selling like hot cakes wouldn't you say?
It's about the perceived value. I literally want a bigger version of my iPhone so I can do work on the fly. $700-900 is a steep price, but I am really considering it.
iphones are not 10x more expensive than any other competitor. compared to the pre, g1, blackberry storm, HTC touch series, sony experia, the iphone is actually the cheaper alternative.
Indeed, I never did understand the complaints about the iPhone's price. Sure, it was a lot more expensive than your average run-of-the-mill consumer phone, but it was in the same price range as comparable smartphones from Nokia, HTC, SonyEricsson, Blackberry and now Palm.
When calling any product cheap or expensive, the question should always be: Compared to what?
Why a bigger iPhone and not a smaller macbook? Unless your job is almost 100% read-bound (or sketching, I guess) I can't see this being a good replacement for "doing work"...
The majority of the market this is targeting doesn't "do work" on computers, they consume media.
I remember after first getting my iPhone 2g, and playing with it for a day straight, when I went back to my laptop I wanted to manipulate the UI by touching the screen. When I say "wanted" I mean I uncousciously reached for the screen on a couple of occasions. I got over that quickly, but it made me consider what this form factor would be good for and whether it would sell.
I agree that this machine won't replace the laptop as a work machine. I do think that it may be a better solution, from a UI standpoint, than the current netbooks on the market. Have you seen people at coffee shops typing on those things? I know it will be better than a netbook in bed or while laying on a couch, which is were I find myself using my iPhone and not my laptop.
Also, $700 isn't that much when you consider that the Kindle is $300 and used to be $500. Think how much more you will be able to do on an iTablet, or whatever you want to call it.
I don't think this theorized tablet is for coding your giant Ruby on Rails site with a massive Textmate project list on a memory consuming Safari debugging session. (Actually I don't even think the Macbook Air with non-upgradable 2GB fits for that either.) If you're doing "real work", which usually means Photoshop, all kinds of coding, and other heavy duty activities, this probably isn't for you. The sheer thought of anybody doing those things on a tiny, slow netbook with a 9" screen is just insane to me.
The tablet is probably meant for surfing websites, sending emails (take a pick between built-in MobileMail, GMail app, or GMail through Safari), SaaS website apps, and most likely some games.
Think Crunchpad competitor, not netbook or full sized laptop competitor.
This is a case where I believe there is a tablet coming out, but this is simply another unsubstantiated claim about a conversation with some dude who's playing a dude who's playing another dude. Unless someone has an actual freaking picture of one of the damn things, its all bunk and blog bait.
What I would really be interested in seeing are the log leaks that directly revealed the first versions of the iPhone. I forget which site did it, but essentially some smart admin looked through their web server logs and saw a handful of user agents that matched up to the then unreleased mobile Safari. Or maybe this was for the unibody Macbooks, I forget.
I find it interesting that someone, assumably high up enough in the pecking order, is sourcing information like this. I've always been interested in the psychology of it. What's the motivation? The cheap thrill to see your handy work through a third party on a popular website? Cashing in on a rise in stock (+3 today)? Or maybe it's false information being planted and this is all sanctioned by marketing?
In a company like Apple which has a careful crafted brand image and huge marketing clout, I the leak might not be unintentional.
The thing is, speculation will happen, so it makes sense to manage it by controlling the most credible speculation (thereby ruling out the more wildly speculative stuff that could reflect negatively).
If it is released as a leak then Apple has no obligation to live into it if things change, but they get to co-opt the chatter so it's the best of both worlds.
That's always been one of the most ironic things about Apple. They go after leaks without mercy but they clearly leak information themselves when it suits them.
The best example of this I can remember is the leak that Apple would be using Intel processors. Word got leaked the Friday before Jobs' Monday keynote and it almost certainly came from Apple. It's a very basic PR strategy: leak shocking news up front so people get the shock and anger out of their system and are then somewhat open minded when you make the announcement.
The big question for me is whether it can mix simulateous reading and typing, as well as a traditional hinged laptop does (with one surface for typing and one for viewing).
Otherwise, it might prove awkward as a remote-getting-stuff-done unit -- in libraries, cafes, airplane seats, etc.: if flat for typing, it's hard to read; if angled for viewing, it's hard to type.
A symmetrical hinged dual touch display, as in the next-gen OLPC2 prototypes, might do the trick. (Could lens/optical tricks make the seam nearly invisible when flat? I wouldn't put it past Apple.)
Trick optics or a flexible display might make it sexy enough. "Look, there's no seam!"
But also running with your idea -- what if the unit contains an ultra-thin detachable wireless keyboard, achieving surface-angle diversity even better than a hinge?