On Tuesday, Verizon Wireless and Motorola announced that they are going to offer Motorola's Xoom during the later part of this week for as little as $599. Along with that they are going to offer a two-year contract and the device is going to have Google Android 3.0.

But, the customers are also going to be given the option of choosing from no-contract price of $799. It seems that the main idea behind launching the device is to compete with Apple's popular iPad tablet. However, Xoom is going to cost $70 more than iPad.

And experts believe that Xoom is going to justify the price they are asking. It will be having a data bucket of 1 GB and the use of service will be $20 per month. But, if the consumers opt for 24-month commitment, then the company claims, they can save up to $200.

Considering the way Verizon has been selling devices like Samsung Galaxy Tab, a 7-inch Android 2.2 tablet and others, this comes as a surprise. While all other US carriers are going to sell it with contract, Verizon is the only one that is selling it without as well.