The iPhone 5C Isn’t For The US; It’s The iPhone For The Rest Of The World

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Reports suggest that Apple will introduce a cheaper plastic-bodied iPhone 5C on September 10. The 4-inch phone will supposedly replace the iPhone 4 and the iPhone 4S in the product lineup. While the company will certainly gain market share in the lower-end spectrum of the smartphone market in the U.S., it’s just a side effect. The new model is the perfect iPhone for the rest of the world. In many countries, carriers are switching to unsubsidized, SIM-only plans and the iPhone is too expensive for regular people.

U.S. carriers are the exception, not the rule. AT&T, Verizon and Sprint won’t bill you less if you bring your own phone. It used to be the same for Canada but is slowly changing. But in Europe, you can choose between a standard subsidized plan and a much cheaper SIM-only plan. For example, in France, you get unlimited talk, text and data (with a speed reduction after 3GB) for $25 per month (€19.90). The only downside is that you have to pay full price for your phone.

The same thing is true for the U.K., our own Natasha Lomas currently pays $23 (£15) for unlimited data. And you can switch carriers whenever you want. T-Mobile is trying to bring the same experience to the U.S., but its prices don’t come close to what European carriers provide.

Would you pay $900 upfront for a 16GB iPhone 5?

The European market shift happened a few years ago. Instead of seducing customers with cheap subsidized phones, young and scrappy carriers like Free chose to lure customers away from expensive plans, and it worked. These new plans weren’t just marginally cheaper, they were one-half to one-third the cost. Now, there’s no coming back. Unsubsidized plans will only get more popular every year. In France, they now represent 39 percent of the phone subscriber base — with 74.8 million active SIM cards, it isn’t a small market.

Yet, would you pay $900 (€679) upfront for a 16GB iPhone 5? If you do the maths, it is much cheaper than switching back to a subsidized plan. Moreover, most people don’t want to see expensive bills again on their bank statements. The only option now is to swallow the $900 pill or pick another phone. It’s hard to convince yourself that you need the latest iPhone if you only check your emails and Facebook and take some Instagram pictures. Most people don’t read gadget blogs, they just want an Internet-enabled phone.

These days, most customers have to choose between an old iPhone 4 or 4S and an Android phone. You can buy a Galaxy S4 for $665 (€497). It’s not cheap, but it’s still nearly $250 cheaper than an iPhone 5. Just seeing the 3.5-inch screen of the iPhone 4S in a store should convince you to get a phone with Android, Windows Phone, Or BlackBerry 10.

Apple will be prepared to face the unavoidable shift to unsubsidized plans.

Releasing a cheap iPhone that is competitive with popular Android phones, has a bigger screen than the iPhone 4S display and is considered as “new” by everyone is the right strategy for Apple. The company will regain market share in Europe and will be prepared to face the unavoidable shift to unsubsidized plans.

But Europe is only part of the story. While it is still the second market behind North America, China is the indisputable third market for Apple. The gold iPhone 5S will do well on the Chinese market, but many customers would rather pay less for their phones. That’s why the iPhone 4 and 4S are a lot more popular in China than in the U.S. The iPhone 4 currently costs $500 in Chinese Apple stores. They hurt the margin and the bottom line as production costs remain high — Apple still uses glass and aluminum. A plastic-bodied phone will lower production costs.

The iPhone 5C could be $200 or $300 cheaper than the iPhone 5S, but the key element of the 5C is that it’s a new phone. Apple wants to play the market share game again by exploring new market segments, just like it did with the iPod mini and nano, or the iPad mini. But it all comes down to perception. Why should I buy this phone instead of this one? Here’s what Apple wants you to think: it’s an iPhone, it’s the same price as these other phones, and it’s new.

Indiegogo Project Seeks To Drastically Improve First-Person View For Home Drone Pilots

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Drones are very fun, is something that I recently realized playing with a Parrot AR Drone 2.0 for the first time. But the image on the screen you see from most drone cameras is laggy, pixelated and generally sub-par, even if the camera on your drone itself is capable of recording much higher quality video. Sky Drone FPV aims to improve that, with a new crowdfunded project that will provide full streaming HD video to your tablet or smartphone of choice live from your flying robot.

Drone hobbyists are a fanatic group, and quality is important to any fanatic. The Sky Drone FPV wants to make the lived reality of flying drones more similar to the videos and photos uploaded to YouTube, which often reflect the HD capture, not the actual first person view you’ll see on a device while piloting. It promises to offer 1920×1080 full HD streams at 30 frames per second, unlimited range so long as there is cell tower coverage via 3G or LTE networks, a heads-up display (so long as you have the required circuit board) and 5 megapixel still shots. It also works with just a smartphone or tablet, and requires no additional antennas or gear.

Finally, the feed is encrypted via AES-256 encryption to prevent any spying eyes from taking a peek at your feed, and there’s an HDMI out option to connect to virtual immersion goggles, with Oculus Rift support listed as one of the company’s stretch goals for the Sky Drone FPV.

The project is designed to help wean drone hobbyists and FPV enthusiasts off of their clunky analog solutions by addressing the three big problems of current digital offerings, which include achieving low latency; performing consistently and reliably, and doing so at a cost that isn’t absurd.

Backers can reserve a Sky Drone FPV set for $349, which gets them a kit including a cellular modem, USB hub, cables, a controller, a camera and an AP cable and uBEC. The package also includes the Sky Drone FPV groundstation app, which allows you to control exactly what you see on your screen, configure your HUD and actually view the stream live from your remote-controlled flying device.

The Sky Drone FPV is currently functional on BlackBerry 10 and Playbook devices (yes, the devs used BB as a starting platform, likely because BlackBerry VP of dev relations Alec Saunders is a founding investor) but will be build for Android and iOS too, which is what the funding will help with, as well as refining the still image capture mechanic. The Hong Kong-based team aims to deliver by December, 2013, so you could be flying in glorious HD in time for the holidays.

No End To Nook’s Bad News As Revenues Take A 20% Dive For Q1 2014, But New Hardware On The Way

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Barnes & Noble can’t stem the losses from its digital books and device division, as the Nook department saw revenues drop 20.2 percent year over year according to the company’s just-released quarterly earnings report. Nook earned $153 million, and that’s up sequentially from $108 million despite the yearly decline.

Nook hardware fared the worst, dropping 23.1 percent year over year while sales of digital content for Nook apps and devices dropped 15.8 percent. B&N partly blames the decrease in content sales on poor Nook tablet and reader sales, but also on outside factors. Specifically, B&N calls out the fact that this year there wasn’t either a Hunger Games or a 50 Shades of Grey trilogy to drive consumer content purchases. Retail was down 9.9 percent year over year, with revenues of $1 billion total, covering business from physical and online stores.

Overall, the company seemed keen to express continued support of its Nook offerings via the earnings release. Board Chairman Leonard Riggio suspended an offer he had planned to make on the company’s retail business, saying that instead B&N needs to focus on building its 10 million Nook owning customers, and to increase sales of Nook devices both in stores and online. That means Nook will continue to operate in tandem with the retail business, rather than the two divisions being split up into separate companies.

Nook Media CEO Michael P. Huseby also said in a statement that the Nook line will continue to be offered “at the best values in the marketplace,” and that “at least one” new Nook product will be coming for the holiday season, with others in development for beyond that. No mention was made of the plan revealed last time around to open up Nook development to outside OEMs, but the conference call is at 10 AM ET this morning, so we’ll update if any new information comes to light at that time.

Nota Is An Ultrafine Tablet Stylus With A 3.7mm Tip So You Can Scribble Neater

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Hex3, the company behind a successfully Kickstarted pressure-sensitive stylus called JaJa – which got a pretty solid review from my colleague Darrell Etherington last year — has launched another stylus crowdfunding project, called Nota, that’s aimed at making scribbling on a tablet more precise.

The shtick of this latest stick is that it has a very fine tip: 3.7mm no less — which its creators claim makes it less than half the size of “most” other stylus tips. Being so thin allows for greater precision when drawing/writing vs thicker-tipped styluses owing to less distortion of the lines being formed.

Nota also has a more rigid tip than rubber-tipped alternatives, being as its tip is electrically active silicon, rather than squishy rubber to mimic a finger. Ergo, it can be more precise (and presumably doesn’t feel as draggy as some rubber styluses can).

Nota is apparently compatible with all Android and iOS tablet apps, according to its creators. And is powered by a single AAA that can last for up to six months of use.

The project has already passed its $40,000 crowdfunding funding goal with 17 days left to run. The two cheapest early bird pledge tiers have all been bagged so Nota now costs $39 or more via Kickstarter. It’s expected to be shipped to backers in January.

Apple Patents 3D Gesture Control Via Hover-Based Input On Touchscreen Devices Like The iPad

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Apple has had a new patent published by the USPTO today (via AppleInsider), and it’s one that details an extension of multi-touch input that would take gestures above the screen, allowing for 3D manipulation of objects via 3D gesture inputs. Fitting that I should just finish trashing 3D gesture control as a concept, before Apple shows a context-specific means of using it that might actually make sense.

The system Apple envisions would work in tandem with its existing multi-touch input controls on devices like the iPad, allowing a user to lift their fingers off of the screen in order to sort of pull out a 3D shape from a 2D one in software like CAD programs, and then twist, turn and modify it in 3D space using gestures in the air just above the device’s screen.

It would use capacitive touch screen sensors in tandem with proximity sensors to continue to detect fingers even when they’re raised slightly above the surface, and track when they’re doing gestures like pinching and rotating above the screen to both create the shapes, and then modify or move them around. In the patent, there are detailed descriptions of how this could be used in CAD programs to quickly build 3D shapes out of 2D diagrams, by drawing a top-down view of a pyramid, for instance, and then drawing that image out to give it depth.

Other uses include using 3D gestures to sculpt with virtual clay-like materials, and the ability to use gestures to change things like object shadows, brightness textures and more. Overall, it seems primarily designed at giving digital creatives an easier, faster and more natural way to do 3D modelling on the go.

Apple has often done a lot to emphasize the iPad’s ability to be creative, not just a platform for digesting content. This interface innovation could help it accomplish that, and unlike other instantiations of 3D gesture control, it seems to be made specifically for a scenario where it would be useful, and the fact that it would be built-in, system level support with access available to developers, plus its integration into touchscreen technology do make it look pretty user-friendly. Though I maintain it’s still not something that’ll catch on with the general public.

Wacom Reveals Cintiq Companion Windows 8 And Android Tablets, Intuos Pressure-Sensitive iPad Stylus

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Wacom promised a standalone tablet solution earlier this year, to be revealed this summer, and now they’re revealing not one, but two such devices. The new Cintiq Companion and Companion Hybrid bring Wacom’s pressure-sensitive graphics power to creative pros in standalone devices.

The Cintiq Companion is a Windows 8-powered  tablet that comes in both an 8GB of RAM, 256GB SSD version with Windows 8, and an 8GB of RAM, 512GB version with Windows 8 Pro, both of which have Intel Core i7 processors, and 13.3-inch displays with 1920×1080 resolution. They come with 2 USB 3.0 ports, 802.11n networking, a rear camera with an 8-megapixel sensor and a front one with a 2-megapixel shooter. At only 3.9 pounds, it’s not going to break any backs either, and it runs full Windows graphics apps like Photoshop and Autodesk Sketchbook Pro.

The Cintiq Companion Hybrid is a different beast, with Android powering the tablets when they’re operating on their own, and with the ability to turn into a fully functional accessory tablet when paired with a Windows or Mac computer. Like the Companion, the Companion Hybrid has a 13.3-inch, 1920×1080 display, and 2048 levels of pen pressure sensitivity, as well as multi-touch input. But it’s powered by an Nvidia Tegra 4 processor, comes in either 16 or 32GB flavors, and runs Android 4.2 Jelly Bean. There’s 2GB of RAM on board instead of 8, too.






There’s also a big price difference: The Companion is either $1,999 for the 256GB version, or $2,499 for the 512GB model; the Companion Hybrid is either $1,499 or $1,599, depending on whether you want 16 or 32GB of onboard storage. Both models closely resemble the Cintiq 13HD drawing tablet released earlier this year by Wacom, but manage to also have an entire computer stuffed inside, and built-in batteries that probably also go a long way toward explaining the extra pound and a bit that the new tablets gain on the 13HD.

A lot of creative pros have been lusting after devices like these since Wacom introduced its pressure-sensitive display/drawing tablet combos, and while the appetite has been whetted by devices like the iPad, and the Galaxy Note line of tablets (which Wacom supplies the tech for), there’s been no substitute for a homegrown Wacom solution. It sounds like the Android-powered Companion Hybrid probably will be suitable more for light work while used away from a computer, whereas the Companion can probably act as a digital artist’s only machine. Either way, I think these will be welcomed by digital creatives everywhere when they arrive in October.

Alongside the Companion series, Wacom is also announcing a new pressure-sensitive stylus for iPad so that iOS devotees don’t feel too left out. The Intuos joins the Bamboo stylus, which offers no pressure sensitivity, and has built-in wrist detection with compatible apps. The Intuos offers 2048 levels of pressure sensitivity, which is better than most of its competitors on the market, and connects to the iPad 3, iPad 4 and iPad mini via Bluetooth 4.0. A whole host of apps will be compatible with it at launch when it arrives in October for $99.

Graft Concepts Wants To Be The Swiss Army Knife Of iPhone Cases

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Card slots. A bottle opener. Pepper spray. Defense against a .50 caliber bullet. Whatever you might need on the go, people are thinking of ways for you to integrate it right into your iPhone case.

But Y Combinator startup Graft Concepts is trying to cover all your basic needs with one case, using a simple latched frame and interchangeable backplates. Named Leverage, the case’s frame alone is meant to be a bumper for the phone and comes with either a plain backplate for $40 or a card holder (which fits about five cards) for $50. Additional backplates range from $7 to $30 based on design and material.

The idea behind Graft Concepts is to offer easy installation and removal, functionality and a complement to the iPhone’s sleek design. Inspired by watch clasps, the metal latch lets you fit the frame around the phone and then click it into place to avoid any damage from snapping or pulling the case. Co-founder Anthony Ko describes the product as “a Swiss army knife” for iPhone cases, because users can switch out backplates to suit their current needs.

“People’s complaints weren’t being addressed, like phones being damaged from their cases and being really difficult to take off. So that’s how the quick-release mechanism was developed,” co-founder Peter Szucs tells me. “Because of the way we do it — we’re just swapping out the backplate — we can offer it for less so people can buy more sorts of backplates.”

The founders of Graft Concept say the smartphone accessories business is a $20 billion market. But there are many other companies that are either dominant in, or trying to enter, the same space, including OtterBox, Case-Mate and Cygnett.

Known for its thick and protective casing, OtterBox is a main competitor in the iPhone case space. As my first and only iPhone case, the OtterBox has kept my phone well intact, but is a little too clunky for my taste sometimes. The white material of the standard case also makes it really hard to clean, which has been driving me crazy.

OtterBox’s key feature is also something that Graft Concepts isn’t necessarily focused on — protection. As someone who is prone to dropping things, this is my foremost concern. Although the Leverage case has passed drop tests for protection, the thin frame is nowhere near as hefty or reassuring as my OtterBox. But Szucs tells me Graft Concepts is more about functionality and design.

The founders are focusing on personal customization by opening up ideas to the design and 3D community. Graft Concepts has partnered with several sites to offer customization options for backplates, so customers will be able to design their own with Zazzle and COLOURlovers. The company also offers files for 3D printing backplates that work as kickstands and bicycle mounts. Graft Concepts is also working on backplates with a headphone cord wrap and a battery pack.

The company has sold 45,000 cases and is in talks with several retail stores.

At This Rate, Nokia Will Be The Only Windows Phone OEM By The Holidays

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Note: The title of this post is an exaggeration. But not by much, and that matters.

The monthly Windows Phone report from the AdDuplex group is out for August, and is essentially a repeat of July’s figures: The Lumia 520 is crushing other Windows Phone handsets, and Nokia is quickly becoming the de facto OEM of the platform as HTC slips.

Nokia moved from 85 percent market share of Windows Phone hardware in July, to 86.9 percent in August. Rounding that to 87 percent, we can say it gained two points in a month. At this pace, Nokia will quickly consume the small slice of the Windows Phone platform that it does not control.

And, as AdDuplex notes, the Lumia 1020 is outselling the also recently released Lumia 928, meaning that, most likely, Nokia’s sales are accelerating. Given that, it isn’t outside the realm of possibility that Nokia could expand the pace at which it grows its share of Windows Phone over the next few months — the Lumia 520 continues to grow in secondary markets, and the Lumia 1020 is attacking the U.S. market with fresh vigor following a $100 price cut.

Who else builds Windows Phone handsets? HTC, sorta. HTC slipped from 11.5 percent market share in July to 9.8 percent in August, which almost mirrors Nokia’s gains. At what point does HTC essentially not matter in market share? Five percent? If so, it’s three months away from that point. That’s before the holidays.

Total Windows Phone handset shipments are expanding. The platform could conceivably ship 10 million units in the fourth quarter. However, unless something dramatic changes in the Windows Phone market, and quickly, those fourth-quarter devices will likely be from the Nokia Lumia family.

Good or bad? That Windows Phone is expanding is catnip to Microsoft, but declining platform support is dangerous. Windows Phone is now more dependent on Nokia’s health than ever before. Therefore, Microsoft’s mobile efforts are fully dependent on Nokia’s action. This is disconcerting, given how expensive and important the Windows Phone effort is to Microsoft.

The argument that Microsoft might buy Nokia did not make sense when it was among a cadre of other OEMs, all bustling to build devices for Windows Phone. That’s all but over as eras go. And that makes Nokia a singular, potential fail-point for Windows Phone. Yikes.

Top Image Credit: Vernon Chan

BotObjects Vows To Put A 3D Printer In (Almost) Every High School

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BotObjects, an intriguing 3D printing outfit that builds real, full-color additive prints out of multiple colored plastic filaments, has announced that it will offer free printers to select high schools in the United States and the U.K.

High Schools can register at the BotObjects website in late August. Between 150 and 200 classrooms will receive a suggested curriculum, a ProDesk3D printer, and a 3D design package designed specifically for students.

“After we’re done giving away the freebies, we’ll reduce the price of the ProDesk3D by 65 percent only for high schools,” said Martin Warner, co-founder of the company. “We envision schools having up to seven of these in a lab that will create what hopefully is a computer room for the future.”

The education initiative will begin on August 23 and then be available in the U.K. in November. They will ship the ProDesk3D in October, in time for back-to-school season. Schools will get a continuously updated curriculum for the machines as well as yearly updates for the study guides and software.

“It’s a way to really get fast penetration,” said Martin. “I think it’s going to really accelerate things in the 3D printing space.”

The printer itself is quite unique in that it uses a cartridge of multiple colored filaments, as well as a standard “base” color. It is best at producing color gradients and can create 25 micron prints using a mix of five separate colors to create separate bands of color. Theoretically it could also print full-color objects with a bit of design trickery. You can see it at work here.

Inexpensive color printing has always been a dream in the 3D printing world and it seems like Martin and his partner Mike Duma may have it licked. It will be particularly interesting once kids get their hands on these things and start creating — and learning — in ways deemed impossible only a few years ago.

The Nvidia Shield Seemed Like A Fringe Device, But It’s Actually A Mobile Gaming Must-Have

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Nvidia went a little outside of its comfort zone when it built the Shield, a portable gaming device based on essentially stock Android with an integrated hardware controller. I wasn’t sure what to make of it when it was announced: Was it a reference device for potential Tegra partners? Simply a showcase for what its mobile graphics processors can offer devs and device-makers? Or a true competitor to the 3DS and PS Vita, a genuine consumer product with true mass-market appeal?

After trying it out, I can say that no matter what Nvidia’s purpose was in putting together the Shield, I’m glad they’ve done so. More than my 3DS and Vita, this is a portable gaming console I could see myself using for a long, long time, and it is so much more than that.

Features:

  • 5-inch, 1280x720p display
  • 16GB onboard memory, microSD expandable
  • Mini-HDMI output
  • Battery life between 5-10 hours, depending on game

Pros:

  • Sonic The Hedgehog 4 Episode II pre-installed
  • A portable console lots of people will actually develop new games for
  • Familiar, comfortable control layout

Cons:

  • Expensive at $299
  • Requires a GeForce GTX-based PC to do Steam game streaming (no Macs allowed)
  • Controller support required for game to work

The Best Mobile Game Console

The Shield is more than just a mobile game console. First, it’s an extremely good mobile gaming console, better than both the 3DS and the PlayStation Vita (both of which I’ve owned). Dedicated big console aficionados might rake me over the coals for saying so, but even with the Shield’s limited initial library, it’s just better already. The games optimized for the device play great, and every game that has controller support works very well, too.

Also, the sad truth is that the Shield has a lot more future potential as a gaming platform than do either the 3DS or the Vita. Android accounted for 178 million smartphone shipments in Q2, according to a recent count by Gartner, which makes for a much larger audience than either the Vita or the 3DS (or both devices combined) currently enjoy. Content built specifically for Shield might not grow to epic proportions, but Android games that have controller support is a class of software that isn’t going to have any problems generating developer interest.

There’s also something about Shield that vintage gaming fans will love: It supports and runs a lot of the beloved Android emulators available, and it does so with panache. Remember, emulation is something you should only do if you own the original cart, but if you do, the Shield is amazing at this.

Doubles As An Android-Powered iPod Touch

The Shield lacks cellular connectivity, but it can do pretty much anything an Android-powered phone can do in terms of using apps and Google services, and the OS is basically stock Jelly Bean. There’s no obtrusive skin (the included Shield app runs like any other, and most definitely doesn’t count as bloatware), with the minor issues that it’s attached to a hefty controller and that it lacks a multi-tasking tray button.

Still, if you haven’t used an Android device and are curious about it without wanting to replace your phone or get a tablet, the Shield provides an accurate idea of what switching would be like. And of course, full Google Play store access means that this gadget also has a much better media and apps ecosystem built-in than anything Sony or Nintendo can manage.

It’s The Best AR Drone Remote

A neat trick the Shield has in its back pocket specific to its Android roots is the ability to control a Parrot AR Drone. It accomplishes this task masterfully, making up for the sometimes-awkward, touchscreen-based control scheme typical of the drone with good old joypads that make it far less likely you’ll smash your drone into a wall. Trying the two methods side-by-side, there’s no question which I preferred: Nvidia could market the Shield purely as a high-end Parrot drone accessory, and I’m sure they’d sell more than a few to enthusiasts who took it for a spin.

It Streams PC Games – But There’s A Big Catch

The Shield has a beta feature that allows it to stream PC games over a user’s home Wi-Fi network via Steam, and it’s incredibly fun to do so. But there’s a catch: you need a GeForce GTX 650 or higher GPU in your Windows 7 or Windows 8-powered PC to get it working. And only a few games work for it currently – mostly those that have a console equivalent because of the button layout, though the pool should expand once the feature exits beta, according to Nvidia.

PC gaming worked very well with the Shield, but the telling thing is that Nvidia had to send out a Windows PC with a compatible GPU for the purposes of review so that I could test it out. Nvidia has built a gaming device that is aimed at gamers, but I bet that the Venn diagram of those prospective buyers who also have optimal setups for PC streaming probably doesn’t show overwhelming overlap.

And while I managed to stream games including Skyrim and Just Cause 2 seamlessly from desktop to Shield (with settings automatically tuned for optimal performance), these games aren’t designed to be played on a 5-inch screen. That makes a difference. More than once I found myself straining to see things that would be easy to spot on a larger display, but the overall experience of playing full Skyrim on the couch while another person watches TV, Wii U style but with better games, was amazing.

Bottom Line

This generation of portable consoles has been a disappointment so far, which is why Nvidia’s surprise decision to enter the fray with an Android-powered alternative is so refreshing. And the Shield is excellent on its own merits, from the quality of the screen, to the battery life that managed around seven hours on average during my use, to the quality and ergonomics of the controller itself. With its HDMI-out capabilities, it’s also a better home Android console than an OUYA, so long as you’ve got a long enough cable.

The price of $299 is as expensive as some more affordable Android phones outright, however, and pricier than the Vita or the 3DS, but for those looking for this type of thing, it’s a small price to pay, on par with an Android tablet. As someone who owns both, believe me when I say that if you’re a gaming fan, you’ll get more use out of Nvidia’s quirky hybrid hardware than a slate running Android.