Tech prices tumble as companies switch to the cloud

by Dale Wright

Have you picked up some tech bargains in the January sales this year?

cloudstration Tech prices tumble as companies switch to the cloud

Here’s the good news: 2012 is set to bring a new wave of price wars to the gadget industry. Over time, we should see a significant drop in high street prices, despite the upcoming launch of the iPad 3 and a whole array of new TVs, laptops and smartphones.

The annual Consumer Electronics Show has just kicked off in Las Vegas, but behind the swish and expensive new technology lies an industry fighting to stay profitable. Much of the new technology on show at CES will be too expensive for the average household to afford, but cheaper versions of these high-end devices are likely to follow.

As manufacturing costs drop and global recession bites, businesses are looking to sell us more digital services to top up their profit margins. Cloud computing is set to become a big money spinner. Tech companies will be looking to sell us cloud services and online storage space as we all look for better ways to archive and stream media. The same companies hope we’ll then buy even more gadgets to make good use of all that space.

Tablet PC prices may well be about to tumble, but manufacturers hope that the sheer numbers sold – and the money generated from cloud services – will make up for the drop in profit margins.

Last month Apple launched iTunes Match in the UK, just one of the services which promises to enhance the functionality of mobile devices by copying a user’s music library to a remote server. Apple charge an annual fee for the service. The company is planning a press conference in New York at the end of January, and experts believe they may be about to announce even more cloud services – perhaps something linked to their iBook store. iBooks has so far failed to rival Amazon’s Kindle store.

If Apple announce wider content sharing or a desktop iBooks app, we could see a whole range of new cloud services to go with our shiny new toys.

Until then however, you can always check out our tablet cases and best-selling iPad 2 Case to make the most of the gadgets you already have!