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Motorola XoomMotorola has announced a cheaper version of the Xoom tablet after much criticism about the high price.

Motorola will be shipping the new, WiFi-only version of it's tablet on 3/27, and will be available from all major retailers, including Amazon and Sam's Club. The Xoom will still come with 32 GB of storage, and is priced to directly complete with the 32 GB version of the iPad 2's WiFi-only model.

None of this comes at a surprise. The Internet lit up when Motorola announced the $799 price tag of the 3G/4G (even for rooters) version. The iPad 2 for 3G versions costs $70 less than the Xoom, and the LTE upgrade really isn't worth the extra $70 for now.

It will be interesting to see how the Xoom now stacks up against the iPad 2. Given it's now 512 MB of Ram, the iPad 2 is still behind the Xoom in terms of hardware specs, especially with the craptacular cameras Apple put in the iPad 2. On the other hand, the iPad 2 is available on AT&T's network which has been shown to be faster than Verizon's network.

Give us a shot in the comments and let us know your thoughts on the new price and new competition.

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