The new iPad2 sports front and back facing cameras, more memory, and a faster processor, but despite the upgrades, the iPad2 comes in at the same price points as the previous model.
Experts view this as a major hurdle to the likes of the Xoom and RIM's Playbook. Apple's new device starts at $499, while Xoom tablets will run between $599 and $799. The price will prove to be a difficult barrier for rivals to overcome as Apple's cost advantages are inherent to its vertical integration.
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While iPad2 sports a dual-core, speed processor, the design is handled in-house instead of contracted out. Moreover, the company can leave out retail markups as it can sell directly online or in its own brick-and-mortar stores.
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