As some of you may know, I’ve been wanting to get an iPad. I haven’t pulled the trigger yet, but probably will soon. Everyone I know that has one seems to likes their iPad (at least according to their blog posts). Yes, it may not be everything to everyone, but it apparently fills a niche for many early adopters. As part of my investigations into buying one, I am trying to decide if I want a iPad 3G or a regular one. Since AT&T does not require a contract, I think I am going to buy a 3G whether or not I activate it. Apparently the 3G also comes with GPS, which may make the extra $130 worthwhile even without the cell service (depending on what apps are designed to take advantage of it).
In order to look at all my options, however, I also looked at data service via a USB modem, MiFi, and the Netbook deals many cell phone providers are offering. Most wireless providers charge about $60 for 5 GB of data (although Sprint has unlimited if you are in a 4G area – which obviously Bingo is not). The deal with the iPad is unlimited data for $30 a month. So doing some simple math, I compared the costs of an iPad vs. a Netbook with data plan. I am using $80 for a Netbook since that is what most of them cost when bought with a plan from AT&T. Pricing from other wireless vendors seems to vary greatly depending on model/particular deal you can find. I also included pricing for the MiFi from Verizon, which would be my third option.
So what are the total costs (numbers rounded, pre-tax)?
Apple iPad: $630 (iPad) + $720 (2 yr unlimited data) = $1350
Netbooks: $80 (Netbook) + $1440 (2 yr 5G data) = $1520
MiFi: $50 (MiFi 2200) + $1440 (2 yr 5G data) = $1490
Add into the fact with Apple iPad you can cancel wireless any time without a termination fee, and you can see that it is the least expensive option. Even if the Netbook was free it still would be. Does that mean it is the best value? I’m not sure, it depends on what you want to do I guess, but I think so. With the MiFi, you can connect multiple devices (including your iPad), which may be useful, but you are also limited to 5G. 5G of mobile data might be a lot, but if you try streaming some Netflix or downloading music/videos, you can use that up pretty quickly.
For my money this comparison has eliminated a 3G Netbook from my list of options since the iPad is cheaper overall. I’m still a bit intrigued with the MiFi. However, since if I bought it I’d also want a non-3G iPad, it is an almost $1000 a year option.