Iphone 5 $800!?

[hover]

I guess the bigger issue is an apparent lack of appreciation of the money, man-hours and sheer technical prowess that goes into the manufacture of a device like this that does what it does. More powerful than equivalent desktop computers of even just a few years ago, and more, with seamless functionality across family devices, a great aesthetic and formfactor (that isn't cartoonishly big like many droids these days) and advances in display tech.

Why, with all that effort and tech, are they expected to then just give them away? True I might find 800 a little steep, but realistically, not too out of line for what you are getting.

 

[MJ5150]

For the same reason musicians should give away their music, rich people should give away their money, and software companies should give away their software?



-Mike

 

[hover]

BINGO! I mean it's all freeeeeeeeee!!!!!!

Can't you savvy dudes just Pirate Bay an iPhone?

 

[JehuJava]

I will never buy an Apple product because their pricing is not based on material and functional value, but based on hype and trendy hipsters who want to remain as hip as possible. This is just another example.

You're right. The pricing has nothing to do with all the engineering and programming staff employed to bring this product to fruition. It has nothing to do with all the one-off beta models created. It has nothing to do with all the advertising and marketing staff and campaigns to promote the new phone. It has nothing to with any design or production cost that I'm not even aware of.

It's all driven by hype!

You, sir, are missing the big picture.

 

[MJ5150]

JehuJava....I heard on the radio this morning that your island is in the path of an approaching hurricane. I hope you and yours remain safe. Be careful.

-Mike

 

[Rusty Chainsaw]

It'll probably follow the existing price points (ie, $199/$299/$399 on a 2-year contract) when it actually hits the shops. But, for me, I'd much rather pay the full cost of an unlocked phone upfront than get gouged with a much more expensive bill every month. I hate being tied into contracts, plus I can change carriers if I want, go overseas and use a local SIM card, etc.

 

[i_got_a_mohawk]

I guess the bigger issue is an apparent lack of appreciation of the money, man-hours and sheer technical prowess that goes into the manufacture of a device like this that does what it does. More powerful than equivalent desktop computers of even just a few years ago, and more, with seamless functionality across family devices, a great aesthetic and formfactor (that isn't cartoonishly big like many droids these days) and advances in display tech.

Why, with all that effort and tech, are they expected to then just give them away? True I might find 800 a little steep, but realistically, not too out of line for what you are getting.

While I understand and fully appreciate the need for covering R&D costs, as extensive as they are, I'm quite sure Apple won't be struggling to make a profit on these .

 

[JehuJava]

JehuJava....I heard on the radio this morning that your island is in the path of an approaching hurricane. I hope you and yours remain safe. Be careful.

-Mike

Yeah. I've been glued to the NOAA site. Looks like it gonna go south of us. We live on the north side of the island so we should be somewhat protected from heavy winds. I'm in the coast guard down here and we're on the south side...but we've pulled our boats from the water and secured everything. So far it's still sunny and nice. We'll see in a day or two. Thanks for the kind words!

Alan

 

[i_got_a_mohawk]

It'll probably follow the existing price points (ie, $199/$299/$399 on a 2-year contract) when it actually hits the shops. But, for me, I'd much rather pay the full cost of an unlocked phone upfront than get gouged with a much more expensive bill every month. I hate being tied into contracts, plus I can change carriers if I want, go overseas and use a local SIM card, etc.

The one thing folk have to make sure you do with contracts is change deal once your initial contract is over. No point continuing to pay the higher rate, which is covering the phone, beyond the terms of the contract, yet I see quite a lot of people doing that!

 

[hover]

While I understand and fully appreciate the need for covering R&D costs, as extensive as they are, I'm quite sure Apple won't be struggling to make a profit on these .

Oh, agreed, but the notion that BECAUSE they will have no problem recovering expenses for bringing this product to fruition doesn't mean they don't deserve to be paid either.

There is a bit of diminishing return comparative to refinement of the product on the table though...at what point to you finish charging for the initial base offering / R&D and start charging only for the new features, maximizing profit? You kinda can't, with each gen, undersell it because it'd serve to alienate the early adopters for wanting to make future purchases / tarnish loyalty...which is why sometimes I am at odds with minimal additional innovation warranting "new" product launches. If it's going to be iPhone FIVE, it should be decidedly different in most conceivable ways from its predecessor....a claim Apple really could not make from iPad2 to 3. Either that, or incentives to current owners to trade up. (I'm sure there are already things like this through carriers.)

 

[i_got_a_mohawk]

Aye, I'm not saying they don't deserve to get paid, just a lot of the price tag is in hype and name, not just the tech.

They also seem to adopt a different approach to selling phones, the prices don't drop off near as quickly as other sellers. Though that could probably be argued that it's because they don't need to reduce the price.

(tbh, I just really really don't like iTunes, and I've got my iPod Touch should I need an Apple fix!)

 

[hover]

Yes. It's never been Apple's way to undersell an initial offering to maximize sales and then recoup R&D later through volume / revision...they *could* humble themselves a bit in that regard, but hey...

I say this, being perfectly happy with my 150 dollar unlocked Android. Does everything I need it to.

 

[JehuJava]

While I understand and fully appreciate the need for covering R&D costs, as extensive as they are, I'm quite sure Apple won't be struggling to make a profit on these .

That's the beauty of making a product everyone wants...well let's say a lot of people want.

 

[Deep Release]

It'll probably follow the existing price points (ie, $199/$299/$399 on a 2-year contract) when it actually hits the shops.

^ This.

The one thing folk have to make sure you do with contracts is change deal once your initial contract is over. No point continuing to pay the higher rate, which is covering the phone, beyond the terms of the contract, yet I see quite a lot of people doing that!

I've had the same contract since I purchased my first iPhone [2], and am grandfathered into unlimited data, messages and minutes. There is no way I'm ever touching that contract.

 

[i_got_a_mohawk]

Dare say, things may be different on the other side of the pond.

A year or so back, when I finished my last contract, I went from a £25 a month contract, with unlimited messages, limited minutes and data to a £10 a month contract with unlimited messages, minutes and data. Dare say there'll be some exceptions out there, but generally you can get more for less with a sim-only contract.

 

[aborgman]

Apple will have people lined up around the block at stores across the world to buy the new iPhone no matter what price they charge for it.

-Mike

 

[DigMe]

^ This.[/FONT

I've had the same contract since I purchased my first iPhone [2], and am grandfathered into unlimited data, messages and minutes. There is no way I'm ever touching that contract.

AT&T has publicly stated that they will throttle your data if you hit 3GB in a billing month for those who are grandfathered into the old "unlimited" data plan.

bc

 

[aborgman]

The pricing has nothing to do with all the engineering and programming staff employed to bring this product to fruition.

A little, but not much.

It has nothing to do with all the one-off beta models created.

Correct.

It has nothing to do with all the advertising and marketing staff and campaigns to promote the new phone.

No, it has a LOT to do with them - but not much to do with the COST of them.

It has nothing to with any design or production cost that I'm not even aware of.

Little.

It's all driven by hype!

The pricing? Yeah, pretty much - as is true with every other "luxury" product ever, not just those from Apple.

 

[Balog]

It's driven by supply and demand like everything else. They make a product people really love and want, so they charge a lot of money for it. Seems simple enough, and not all that objectionable. Admittedly it's ironic when you get folks protesting the evils of capitalism from their $2000 MacBook and recording the protests with their iPhones, but God loves complex irony.

 

[curbowkid]

The Samsung galaxy sII and III are/were 700 new.