Now even Gruber is complaining that Apple was too cheap on the lowest level phone storage space. I don't think they were. 16 GB works fine for a very common usage of the iPhone. Many many people will use their iPhone as something not much more than an email reader, phone and map. They will download nearly no Apps, and what Apps they do download will simply connect them to social media. They will download no games short of a handful of small casual ones. And they won't carry music on it. They will take pictures, but those get stored in the cloud and hopefully a techy friend will show them how to get the pictures off the phone and onto their computer. For those users, this phone is sufficient; they won't push up against 16gb. And Apple has created a price point for them. But for normal smartphone users, the 64GB is going to be plenty of space. And yes we have to pay more than flagship prices for this phone. But that is okay since this is going to be the best smartphone out there for quite some time. We are the users who bought the larger storage in earlier generations. Maybe a few extra folks will have to bump up since they aren't quite going to fit in 16GB unlike they did with their last iPhone. So those folks have to pay an extra $100. That isn't that big a deal. The iPhone has functionally gotten just a bit more expensive than when they bought their five or their four. It is still a fair price. I think the point is that Apple has customers that have very very weak smartphone usage patterns. They are buying Apple for the simplicity and just works aspect. For them storage is nearly meaningless. They just want access to the iOS. And in this case the larger screen.