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Is the Raspberry Pi real at that price?

Discussion in 'Hobby Electronics' started by Don McKenzie, Mar 2, 2012.

  1. Don McKenzie

    Don McKenzie Guest

    Is the Raspberry Pi real at that price?

    http://www.raspberrypi.org/
    http://twitter.com/#!/raspberry_pi

    I can't help but think when you sell 10K pieces of an item at bargain basement prices, (and in a single day), and in
    advance of having the products, that there may be something very wrong.

    They have entered into licensed manufacture partnerships with two British companies, Premier Farnell and RS Components.
    That means there has to be a dealer margin. If you can retail it at $25, then how much did it cost wholesale?

    I may be barking up the wrong tree, but am I one of the few sensing something may be very wrong with this deal?

    Have a look at what Tsvetan from Olimex said in a forum thread about it here:
    http://www.thebackshed.com/forum/forum_posts.asp?TID=4748&PN=1

    Anyone have insider information that what I am saying is completely off the mark?
    Comments?

    Of course, If I am off the mark, this will be more free advertising for them. :)


    Cheers Don...

    ========================


    --
    Don McKenzie

    Dontronics: http://www.dontronics-shop.com/

    DuinoMite the PIC32 $35 Basic Computer-MicroController
    http://www.dontronics-shop.com/the-maximite-computer.html
    Just add a VGA monitor or TV, and PS2 Keyboard.
    Arduino Shield, Programmed in Basic, or C.
     
  2. The current version is $35,-. The $25,- version has been announced however.

    petrus bitbyter
     
  3. TTman

    TTman Guest

    I see it as a cunning plan to wipe out M/soft and all those ancient PCs...
     
  4. It certainly attacks some monopolistic behavior of both processor en
    software giants. As it will not do Windows, it may even become a nail in the
    MS-coffin. But the design is too light for serious processing power. I
    merely expect it to become a component more or less like the microprocessor
    started.

    petrus bitbyter
     
  5. Don McKenzie

    Don McKenzie Guest

    Thanks Jim, so the $35 price it is openly advertised at, is the wholesale price, not the retail price?
    Who else advertises like that to the public?

    http://au.element14.com/raspberry-pi/raspbrry-pcba/sbc-raspberry-pi-model-b/dp/2081185
    I kept getting forced to the local AU site, however with local dollar conversion, the $38AUD retail becomes $40.77USD

    So that is $5.77USD profit. A markup margin of 16.49%.

    Perhaps someone can do the sums from a US site.

    Cheers Don...

    ==============================


    --
    Don McKenzie

    Dontronics: http://www.dontronics-shop.com/

    DuinoMite the PIC32 $35 Basic Computer-MicroController
    http://www.dontronics-shop.com/the-maximite-computer.html
    Just add a VGA monitor or TV, and PS2 Keyboard.
    Arduino Shield, Programmed in Basic, or C.
     
  6. Don McKenzie

    Don McKenzie Guest

    I would imagine it could be in the range of 5% to 20% of the retail price, but it must reach the wholesaler at a price
    he can make a living out of it, otherwise he wouldn't be in business.

    Cheers Don...

    =========================


    --
    Don McKenzie

    Dontronics: http://www.dontronics-shop.com/

    DuinoMite the PIC32 $35 Basic Computer-MicroController
    http://www.dontronics-shop.com/the-maximite-computer.html
    Just add a VGA monitor or TV, and PS2 Keyboard.
    Arduino Shield, Programmed in Basic, or C.
     
  7. Nico Coesel

    Nico Coesel Guest

    Thats not entirely true. Shops like WM,BB and similar often have high
    costs and usually are not cheap. They sell a few items below cost
    price to appear cheap but with other things they most certainly are
    not cheap. They are convenient because they have a large stock of many
    items. Stock costs money. Smaller shops are cheaper in most cases if
    they have what you need.

    But then again, online shops are the future. Nowadays I even order
    home improvement stuff online.
    That's not a 'small business man' that's someone who shouldn't be in
    business in the first place.
     
  8. Chris Baird

    Chris Baird Guest

    Don> Thanks Jim, so the $35 price it is openly advertised at, is the
    Don> wholesale price, not the retail price? Who else advertises like
    Don> that to the public?

    How about actually bothering to read the RPi website and finding out
    what it's about? It's not Yet Another Garage Businessman effort.
     
  9. Stephen Pelc

    Stephen Pelc Guest

    The first batch of 10,000 units sold out in about 10 minutes according
    to (sort of) reputable gossip. One of our people set up two PCs and
    started pounding the refresh keys at the advertised time of 6a.m. He
    still failed to get his order in.

    I just got an email from one of the suppliers to place my pre-order
    for a board from the second batch. Both suppliers are very reputable
    and have both been in business for a very long time. Yes, I did place
    my order for a Model B at a bit under £25, say less than USD 40.

    I detect a note of "Not Invented Here" in some of the comments.
    IMHO Raspberry Pi is a cause for celebration, not for whining.

    Stephen

    --
    Stephen Pelc,
    MicroProcessor Engineering Ltd - More Real, Less Time
    133 Hill Lane, Southampton SO15 5AF, England
    tel: +44 (0)23 8063 1441, fax: +44 (0)23 8033 9691
    web: http://www.mpeforth.com - free VFX Forth downloads
     
  10. This is Usenet -- where _everything_ is a cause for whining. :)
     
  11. Don McKenzie

    Don McKenzie Guest

    I did that Chris, and this is what it says about price:

    How much will it cost?
    The Model A will cost $25 and the Model B $35, plus local taxes.

    ==========================================

    The text that you quoted of mine above, was brought about by another poster in a previous message, that suggested this
    was the wholesale price, and the dealers would put their margin on top.

    I suggested back to the poster that no one advertises at a wholesale price to the public. I also suggest you read the
    message and quote me correctly including the text of the original poster, and please don't make up a version to suit
    yourself.

    I am not whining about the device, it looks good, but I am allowed to ask questions, or are questions banned these days.

    Here is the feed back from potential Element14 customers:
    http://www.element14.com/community/thread/17002?start=0&tstart=0

    and from Raspberry Pi:
    http://www.raspberrypi.org/archives/723#comments

    You will see that the comments on each group are almost the opposite.

    Cheers Don...

    ========================


    --
    Don McKenzie

    Dontronics: http://www.dontronics-shop.com/

    DuinoMite the PIC32 $35 Basic Computer-MicroController
    http://www.dontronics-shop.com/the-maximite-computer.html
    Just add a VGA monitor or TV, and PS2 Keyboard.
    Arduino Shield, Programmed in Basic, or C.
     
  12. Nico Coesel

    Nico Coesel Guest

    There are loads of boards out there (some with better specs) for
    reasonable prices based on SoCs for which you can download full
    datasheets and user manuals. In the long run such a board will be much
    more usefull.
     
  13. keithr

    keithr Guest

    RS Australia has it listed at $50, which is probably about what you'd
    have to pay to get a $35 item from the UK including shipping.

    I will certainly get one as soon as I can, I'd like to see whether it
    can run apache as a home web server and home automation machine.

    A full Linux machine for $50 is disruptive technology, if it does
    perform as the hype suggests, I see a lot of uses for it, and probably a
    flood of imitators.

    The PIC and Arduino boards certainly have their uses, but horse for
    courses.
     
  14. SMS

    SMS Guest

    Embedded processors are very inexpensive. $25 is not out of line, even
    with healthy margins.
     
  15. You cannot physically turn things on and off with that (the phone). All
    you can do is control the devices which can (these devices).

    His can switch relays on and off. The damned things do need a net
    connection though.

    So, look at say the ten times overpriced "industry" that was made by a
    few for billiard halls to turn the lights on and off,and log play times.

    Each "receiver/switch" was very expensive and each table needs one.
    The software was expensive as well.

    This would allow one to control any number of tables for a little over
    $40 each. And you could author and perfect your own time logging
    application. You could even put dimmers in and control the light level.

    I could sell this, if pool had more popularity. Sadly, operating costs
    have grown so much that the per hour rate for pool has gotten ridiculous.
    They even charge per person now in some places instead of per table.

    How truly sad. Bastards actually want to make money. It should be
    popular though.

    Dumb folks everywhere would rather give a bar money for liquor though.

    Billiards should be more popular.
     
  16. WoolyBully

    WoolyBully Guest

    Show me where your "cheap laptop" (or any laptop practically) has gpio
    header or a readily available jtag header.
     

  17. Conformal coat it. After you hook everything up to it. :)
     
  18. Chris Baird

    Chris Baird Guest

    How about actually bothering to read the RPi website and finding out
    You missed the part about the RPi Foundation being a non-profit
    educationally-motivated effort, hurr.

    Which'll trash the rip-off fake-Arduino you're trying to flog in your
    latest get-rich-from-home scheme. Go whinge elsewhere.
     
  19. Martin Brown

    Martin Brown Guest

    It is retailing at £25 ($40). There is another rival development single
    board of similar size and lesser capability for about £10 (but much less
    sophisticated). At least part of the intention is educational to make
    computing and electronics engineering more interesting to school
    children. The existing UK syllabus churns out MickeySoft Office drone
    users with no clue at all how PCs and software work. In a reference back
    to the BBC Micro they have even called them Models A and B.
    I think they expect to sell a lot of them and since the opening day took
    down both the major UK electronics suppliers websites they could well be
    right. It is priced to allow every schoolchild to have one.

    I reckon they called in a lot of favours to get it designed for maximum
    capability, minimum cost and built for that price. I wish them good luck
    with the project. We need to get more youngsters interested in
    engineering at school as opposed to soft options "meedja studdis".

    Brian Cox and Jim Alkalili have already turned round the decline of the
    hard sciences. The former making Physics very "cool" at the moment!
    I expect there isn't a lot of margin but the price isn't completely
    impossible either. Just look at the cheapest PC graphics cards.

    If it becomes the new BBC Micro it will engage a new generation of
    children in direct connection with real electronics and software at a
    level where it can be relatively easily understood and played with.
     
  20. Don McKenzie

    Don McKenzie Guest

    No I read that Chris.

    The Raspberry Pi Foundation is a UK registered charity (Registration Number 1129409)

    Who controls Rasperry Pi?
    Who controls Rasperry Pi foundation?
    Who controls the CPU chip manufacturer?

    Answer: Broadcom

    That is the way I read it Chris. Please tell me if I am wrong.

    Cheers Don...

    ====================

    --
    Don McKenzie

    Dontronics: http://www.dontronics-shop.com/

    DuinoMite the PIC32 $35 Basic Computer-MicroController
    http://www.dontronics-shop.com/the-maximite-computer.html
    Just add a VGA monitor or TV, and PS2 Keyboard.
    Arduino Shield, Programmed in Basic, or C.
     
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