In this case, peer pressure is both a wonderful and a horrible thing

Jul 8, 2013 15:06 GMT  ·  By

When it comes to cutting prices, it takes more than a simple push, because there are a whole bunch of suppliers involved in the making of one.

For tablets, for example, one company makes the processor, others make the display, others the memory, others the PCBs, etc.

Then there are the ones that assemble everything, with or without supplies they acquire on their own.

Tablets, though, depend on the prices of the processing units and displays more than on most of the other, smaller parts.

That's why the possibility of a cut on panel prices might help lead to a cut on general tablet pricing as well.

That's right, it looks like panel makers are being pressured into dropping the price for displays.

Nevertheless, this might, ultimately, not affect tablet prices at all. There are many panel makers, and this movement towards lower prices is their way of trying to score more contracts for themselves. Brand vendors can only stand to gain if they keep slate prices where they are.