Motorola Xoom Pricing May Be Its Downfall

Motorola's upcoming Xoom tablet may come packed so full of features it would embarrass even the most impressive of Swiss Army knives, but its price tag will ultimately determine its success.

According to a leaked Best Buy internal document seen by Engadget, the Xoom is set to come with a hefty $800 price tag - some $300 more than Apple's iPad and Samsung's Android-powered Galaxy Tab. The document also revealed that the device is set to be launched towards the end of February.

Since the leak, consumers have unleashed a torrent of complaints against Motorola over the Xoom's pricing, eWeek reports.

Even if the Xoom is just plain better than the iPad, Apple's device has set the tablet price bar quite high enough for consumers, and with all the kudos associated with owning anything from Steve Job's toy factory, its likely that only the most die-hard of anti-Applistas would be happy to throw so much money at the gadget.

Forrester Research analyst Charles Golvin, said in a statement to eWeek: “This is very aggressive pricing in the face of consumers' clear willingness to treat Apple products as the 'gold standard' and worthy of a premium, with competing products representing some kind of compromise, which is typically reflected in pricing.”