From the start the promise of building a large touchscreen tablet for $300 was simply impossible. Either they were naive or dishonest. The 12" LCD touch panel alone is likely $200-$300 in bulk or even more. How can you price a product at retail below the cost of an individual component? As the price crept up to $400, then $500 and probably more realistically $800-$1k I think Mr. Arrington needed an end game that didn't make him look dishonest or naive. An IP dispute solves that problem nicely. Of course he could be telling the truth but based on the pricing fib/naivety I'm skeptical.
I've seen large "touch panel" layer parts for various devices for well under $100 and 1080p 22" TN LCD screens with built in speakers for $100-$150, so a 12" touchscreen panel would likely be nowhere near $200.
I was involved in a similar project ten years ago. At the time we had no problems getting to ca. $500 with a 10.9" LCD/touch combo, obviously otherwise with very modest specs (a NS x86 clone, 32MB RAM, 16MB flash) but enough to get Opera running on a stripped down Linux with a number of other apps. Sourcing a reasonably priced touch screen was definitively not what killed that project.
I'd be very surprised if $300 would've been impossible today, even with a larger screen, though of course that depends on the rest of the specs. Especially given the specs of my new $500 laptop. Sure, it lacks a touch layer, but its also spec'ed far higher than you'd need for a pad like this.
That's not a capacitive screen. Apple has effectively banished all other (mobile) touch technologies - capacitive is the only one that doesn't royally suck as far as user experience goes.
A 12" capacitive touch layer... think at least $250 at volume.
Resistive is what was common before capacitive came along - I'm sure we've all played with them extensively at some point. Take my Garmin GPS for example, it's got a resistive screen that, coming from a daily iPhone user, just doesn't work. I have to practically stab it with a fingertip to get it to register, and even then it's pretty consistently wrong, and will often think I'm tapping the button next to it.
Argh.
The iPhone set the bar - and manufacturers have responded. I doubt you will find a single manufacturer now who is trying to peddle resistive touchscreen phones in their new products. Nokia, Moto, HTC, etc, appear to only have capacitive touchscreens on the roadmap - for good reason.
Most tablet PCs are feeling incredibly dated for the same reason - IMHO the next product to enter this field will need capacitive sensing, or die.
