Digitimes: HP to produce 100,000-200,000 TouchPads to clear out supplier inventories | webOS Nation

Digitimes: HP to produce 100,000-200,000 TouchPads to clear out supplier inventories

by Derek Kessler Mon, 05 Sep 2011 5:27 pm EDT

We’ve already heard directly from HP that they intend to build more TouchPads to satisfy demand, but we’ve suspected from the start that there were other forces at play here. True to form, Digitimes claims to have the details, stating that HP’s plan is for the second wave of TouchPads to land in late October (and you thought it was outdated when it launched in July), with somewhere between 100,000 and 200,000 units to be produced.

The line about unfulfilled demand is only part of the story – HP also has to deal with parts suppliers who were stuck in a lurch when HP cancelled the TouchPad, not to mention the financial consequences of breaking their order contracts with said suppliers. We suspect HP went back to the ledgers and figured it’d cost less to finish building what they contracted for and sell it at a loss than to deal with the contract termination fees and ill will that would come from sticking their suppliers with piles of custom TouchPad parts.

There’s another interesting note in the Digitimes story: up to this point, HP had apparently already taken delivery of 800,000-900,000 TouchPads. Which means that by the time all is said and done, HP will have managed to build a userbase numbering around one million. While we don’t have the sales figures for all Android manufacturers available, we’re willing to bet that’s more than enough for webOS to claim the number two spot in the tablet market. Granted, that’s a far cry from the tens of millions of iPads Apple has managed to sell, but number two isn’t a bad place to be (even if you are giving up on the race).

Source: Digitimes