Tablet Showdown: Apple iPad, HP Slate, MSI Tegra 2 (AAPL, NVDA, HPQ, MSFT)

With the announcement yesterday of the long-awaited iPad tablet computer from Apple (NASDAQ: AAPL), investors and consumers alike have openly discussed just how successful this latest product will be. Some have assumed that it is a foregone conclusion that the iPad will dominate the tablet computer market for the foreseeable future.

Not so fast, Apple.

While I respect Apple's technological prowess - they did, after all, create my favorite mobile phone ever (the iPhone) - I am also skeptical about premature claims of the iPad's superiority. There are impressive features contained in this product, naturally, but people forget that there are other products out there that could pose a threat to Apple's latest creation. Here is a breakdown of the upcoming Tablet War.

Apple iPad
Maker: Apple

The iPad was announced yesterday as a challenger to Kindle and every other portable media device out there. With a 9.7" screen and Apple's familiar interface, the iPad admittedly seems like a big iPhone. But Apple boasts that this piece of hardware sports features such as Apple's ARM A4 chip, the latest in wireless technology, upgradable 3G capability, a color screen, use of the full Apple app library, up to 64 GB of flash storage, and a claimed 10 hour runtime while running video or other media applications. Apple's new line of iBooks can also be used with this device - officially murdering the Kindle DX before the iPad has even been released.

The downsides to the iPad are somewhat typical of Apple: price and complexity. Apple excels at making high-quality products that are easily accessible to the masses (see: iPod, iPhone, i-everything). Unfortunately, Apple also has a well-deserved reputation for overpricing its products. The iPad starts at $499, but to get a top-of-the-line product - the 64 GB model with 3G - you will pay at least $829 along with a $15 a month minimum data fee from AT&T. (Don't get me started on AT&T's crappy service, either.) That price only gets you 250 MB of data, too, so most users will have to shell out $30 a month for unlimited data. The device, sadly enough, is also not Flash capable.

Most notably, though, the iPad lacks the ability to multitask, which limits the capability of the product as far as I'm concerned. While it could be used in the commercial world, just like the iPhone, I think it best services the non-commercial/industrial market (i.e. your average Joe).

In summary, the iPad is formidable and is, on paper, quite impressive in terms of what it can do. Is the concept entirely original? Of course not. Is it the be-all end-all of mobile computer technology? Definitely not. But it will sell, of that you can be sure.

HP Slate
Maker: Hewlett-Packard (NYSE: HPQ) and Microsoft (NASDAQ: MSFT)

The HP Slate, announced at CES 2010, is a joint venture between computer maker HP and software giant Microsoft. Details are not as clear, but we know that the Slate will run a full version of Windows 7, which gives it an advantage over the iPad in terms of software capability. It can also multitask, is Flash-capable, and basically serves as a portable desktop, with the ability to run your standard desktop apps. That much we know.

What we don't know is much of anything else. Microsoft's presentation at CES 2010 by Steve Ballmer was lackluster and nondescript, and the two companies haven't done much since to aggressively market (or explain) it's product. The Windows 7 interface is powerful, sure, but is it really friendly for a touch-screen product? And it'll probably run an Intel or AMD chip that is more powerful than the Apple A4, but will it have the usability that the iPad claims?

Uncertainty increases when you factor in HP's less-than-stellar performance with their Touchscreen tablet PCs a few years back. Factor in a price that was originally rumored last year at $1,500 (but is claimed to be far lower now), and you have a lot of doubt about a product that is currently more vapor than it is substance.

In short, we don't know a lot about the HP Slate, and that's a big ol' mistake on the part of HP and Microsoft. Of course, that is not surprising coming from Microsoft, the king of bad marketing in the technology world. I don't see the HP Slate being an iPad killer in this life or the next.

MSI Tegra 2-based Tablet PC
Maker: Micro-Star International and Nvidia (NASDAQ: NVDA)

This year, Taiwanese hardware maker Micro-Star International announced that it will release its own tablet PC later in 2010. While no product name has yet been released, most in the industry refer to it as the MSI Tegra 2, based off of the impressive Tegra 2 line of technology at the core of the system from Nvidia. Asus, another Taiwan-based manufacturer, is coming out with its own Tegra 2-based device, which was quietly shown at CES 2010 and will be fully unveiled at Cebit in March. For the purposes of this discussion, I'm essentially treating both products as the same (since they are very similar at this point in time), and will refer only to MSI for the sake of space.

Again, there isn't as much info out there as there is regarding the iPad, but what we know is pretty nice. The Tegra 2 will, of course, be featured around Nvidia's Tegra 2 line, the upgraded version of the original Tegra line of ARM system-on-a-chip processor packages, with a lot of power for video and audio combined with an impressive battery life. The Tegra 2 is even better, with a 1 Ghz dual-core ARM Cortex A9 MPCore processor significantly more powerful than the Apple A4. While originally designed for mobile phones, the Tegra 2 line is perfect for a tablet PC, due to the power and portability it gives the product.

Speaking of, the product itself will feature a 10" color touch screen, the latest in wireless technology (including standard 3G), a rumored HDMI connector for HD media on a big screen (with 1080p HD playback), and - most notably - full multitasking capability. This is something the iPad lacks, and is a feature that has caused many in the industry to look with interest at this product. Throw in a rumored price of under $500 and you have a very intriguing prospect for a real competitor with the iPad.

Of course, we don't know everything - such as data plans, service providers, detailed specifications, release date, etc. Plus, MSI is nowhere near as established as Apple, and will likely have to depend on domestic distributors in order to make a big sale in the U.S. (Although I expect they will be highly competitive with Apple in Asian markets). Asus is more well-known in the U.S., though, so Apple could see a bit of a fight in the U.S. of A.

My interest has been piqued by MSI and Asus and what they might bring to the fight. I like the Tegra 2, I like Nvidia, and I like the incorporated features. And I love the price. If it undercuts the iPad by a significant amount - and chances are, it will - then Apple could find itself in a bit of a predicament with being all dressed up with no place to go.

(Then again, the iPhone is expensive *and* you have to suffer the indignity of being "serviced" by AT&T, and yet it is still widely popular.)

Overall, I'm going to give the iPad the edge in this showdown, based right now on the fact that we know more solid information about what it will offer. I don't see the HP Slate posing a significant risk to the iPad, and will guess that the iPad will ultimately sell more models than the Slate or either Tegra 2 tablet. I think, though, that the Tegra 2 tablets will actually be superior to the iPad, and will pose a risk to Jobs and Company if they can just find some top-notch marketing to get the word out over here in the States.

Bottom line, though, is that this showdown should be highly, highly interesting - and that isn't even counting the Dell Streak, enTourage eDGe, or half a million other tablet PCs that I didn't mention.

Here's to an exciting 2010 in the cutthroat computer world.