Apple Doubles the Price of RAM Upgrade on Entry-Level 13-Inch MacBook Pro

[LFC2020]

[Update: Apple explains] Apple doubles cost of RAM upgrade for entry-level 13-inch MacBook Pro - 9to5Mac

Apple has quietly adjusted the pricing for RAM upgrades in the entry-level $1299 MacBook Pro. Until today, Apple had charged...

9to5mac.com

 

[PickUrPoison]

For one of the biggest company in tech with by far the highest profit margin and the self-imposed claim to be a company with a special social conscience (I know, I know...), in this particular situation maybe not to milk its customers even more? In the end it's all about the money, so indeed nothing we should be really surprised by, but still...

You’re kidding right? The last time I looked (a few months ago) Apple's net profit margin was about 21%; Microsoft’s was 35%—almost double.

When was the last time those here in the Apple hate crowd complaining about Apple’s profits brought that up?

Yeah, never, because it’s not about hating high profits, it’s about hating Apple. So what’s new 🙄

 

[Rob_2811]

And would cost... i don't know, say $300 - $500 more than the Dell running Windows. Or do you think Apple should just give their OS away?

I think people would still ask for a refund if they gave away Catalina..

 

[Val-kyrie]

LPDDR RAMs aren't upgradable since the beginning. They always soldered to the motherboard. DDR RAM for laptops arent LPDDR RAM.

Do you even know how LPDDR RAM looks like?

Yes, I know what LPDDR RAM looks like. Apple could choose to use DDR3L which is a different kind of Low Power RAM

 

[Zdigital2015]

Agreed. A Dell XPS running MacOS would be a great machine.

Nope...and thank God that will NEVER happen.

 

[Virinprew]

I'm not sure what COVID-19 has to do with people needing laptop. Those who have been employed pre-Covid and have to work from home already have laptops, either self-owned or company-provided. And it's not like Apple is the only company selling laptops.

This price-increase imo is simply to reduce demand for BTO as that is costly at the moment. Apple, just like majority of other companies, prefer consumers to but their standard configurations that are already ready to-ship.

Ok ok Mr. Apple COO.

 

[Zdigital2015]

Yes, I know what LPDDR RAM looks like. Apple could choose to use DDR3L which is a different kind of Low Power RAM

Please tell us where you got your electrical engineering degree and then maybe we can talk, otherwise, I’ll trust Apple’s design decisions. Other PC OEMs use LPDDR3 as well, including Dell...I suppose they don’t know that DDR3L exists either.
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Seems like it was more of a promo pricing situation than a permanent price cut. All of Apple’s other Macs are $200 for the 8—>16GB upgrade.

I think someone on the web team screwed up the pricing and they just now got around to fixing it. I’d hate to be the person who missed that one.

 

[Unregistered 4U]

Apple could choose to use DDR3L which is a different kind of Low Power RAM

You are correct. Apple, given a choice to use higher power, slower memory could absolutely do that thing. I guess we’ll never know why they used more power efficient AND faster memory. It’s certainly a mystery to me. /s
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A 16GB minimum for a "Pro" machine in 2020 seems completely reasonable, and an 8GB minimum for a "Pro" machine in 2020 seems completely unreasonable.

Reasonable based on what? Numbers that were smaller in the past should be larger now? I mean, it’s not like anyone is FORCED to buy a system with 8GB of memory. And for those that want it? Yay! They save a bit of money.

 

[unoporfavor]

i feel like apple prices things aesthetically. like they thought they should charge 129 or even 150, but it doesn't look as nice as a number rounded to a 100th. so we got 200

I mean I wouldn't put it past them, but it all falls apart in other countries.
In NZ the upgrade when I bought it was $160. Now it's $310.

 

[PickUrPoison]

Yes, I know what LPDDR RAM looks like. Apple could choose to use DDR3L which is a different kind of Low Power RAM

What would be the point? There’s very little power to be saved by using DDR3L. It uses 8 times more power while in standby than LPDDR3 (though it is cheaper than the RAM Apple uses).

 

[topdrawer]

I mean I wouldn't put it past them, but it all falls apart in other countries.
In NZ the upgrade when I bought it was $160. Now it's $310.

that maybe because it has to reflect some relation to the US price. i don't remember ever seeing apple ram prices not rounded to the 100th in the US.

 

[unoporfavor]

that maybe because it has to reflect some relation to the US price. i don't remember ever seeing apple ram prices not rounded to the 100th in the US.

I understand that there will be a correlation to the USD as that's the operating currency for Apple, but to try and make it round figure in one country, when it will almost never be elsewhere really doesn't make any sense.
Well to me anyway. Euros it's usually a strange figure. Yen and Yuan is another where it is no where near rounded to anything resembling sensible
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that maybe because it has to reflect some relation to the US price. i don't remember ever seeing apple ram prices not rounded to the 100th in the US.

It wasn't rounded when the MacBook Air's were released

 

[PickUrPoison]

What Tim Crook really wants is to up sell you to the $1799 model.

Most customers buy near the entry level. The last time Apple published the ASP of Mac it was something like $1,400. Across the entire lineup.

 

[PickUrPoison]

I have to say Apple is sticking it to their customer base, they seem to value profit margins then anything ¯\_(ツ)_/¯



Not only that, but those same fans will defend apple with their dying breath.

Apples net profit is about 21%. Any idea what Microsoft’s is? Last time I looked it was 35%. Almost double. Who cares? Almost no one.

So many here constantly discover what some of us have known for years: if you don’t want or need MacOS, you can usually save money buying a PC. (It’s been that way for decades.)

Apparently little known fact: Apple’s prices are high because their expenses are high. They’ve got 500+ retail stores, 130,000+ employees and $3 billion per month in operating expenses—including $1.5 billion per month in R&D spend.

Sure, you can buy 32GB of RAM at Newegg for $120. But how much do you think it would cost if Newegg had $3 billion per month in overhead costs to cover?

 

[germinator]

If I could buy a third-party laptop like Lenovo or HP and install MacOS on it, I’d do it in a heartbeat But alas it’s not possible.

Correction: It's possible (for most models). See hackintosh.

However: it's becoming less and less attractive as macOS loses luster and functionality and gets more and more locked down. Linux looks like a better OS anyway for most users.

 

[high heaven]

Yes, I know what LPDDR RAM looks like. Apple could choose to use DDR3L which is a different kind of Low Power RAM

DDR3L is not better than LPDDR3.

 

[yansun]

You’re kidding right? The last time I looked (a few months ago) Apple's net profit margin was about 21%; Microsoft’s was 35%—almost double.

When was the last time those here in the Apple hate crowd complaining about Apple’s profits brought that up?

Yeah, never, because it’s not about hating high profits, it’s about hating Apple. So what’s new 🙄

Oh, I got a number wrong, so I obviously must be a Apple "hater". What about the rest of my comment? But yeah, you're right. That's also why I'm a Apple user for over 15 years and all my devices are from Apple (see my signature)... Criticism does not equal being a "hater". Your comment says more about yourself than about anybody else. Don't let your personal bias cloud your judgment, dude... Discussions here are often so ridiculous. And you are the perfect example for that.

 

[konqerror]

You’re kidding right? The last time I looked (a few months ago) Apple's net profit margin was about 21%; Microsoft’s was 35%—almost double. Who cares? Almost no one.

Tim Cook damn well cares. Microsoft's highest profit margins and highest revenue growth come from Azure and Office 365, a.k.a. enterprise and client services.

It's not valid to compare the profit margins of software companies, where the cost of a product is nearly all fixed, with a hardware company, where the cost of a product has a significant variable component.

Apparently little known fact: Apple’s prices are high because their expenses are high.

You just shot down your own point. Apple's competitors HP and Dell both are making less than 6% on personal computers. Samsung's smartphone margins are less than 15%. Apple takes home 2/3 of smartphone profits on 1/3 of revenues.

 

[ian87w]

What a ridiculously naive statement. Not sure what laptops have to do with covid?
Whole countries are working from home. How do you think they do that?
Unbelievable!
Company I contract too purchased 100's in March /April. It was a struggle as some large outsourcers had purchased every single HP and Dell in the country. Do you get it now?

Hmm, I can already see what you're intending. Nevermind then. Keep sinking into your own theories and hatred. Hope you maintain good health.

 

[unoporfavor]

Hmm, I can already see what you're intending. Nevermind then. Keep sinking into your own theories and hatred. Hope you maintain good health.

Hey mate - I'm pointing out how wrong you are about portable computers only being required if you already use them, or they are owned personally. I can say that is absolutely untrue and have numerous sources to call upon.
Once Covid hit, whole countries are working now from home. Companies and businesses were buying up all the portable devices they could. The local Apple reseller only had older stock and strange (read; expensive) configurations. It kind of just follows that your statement is materially untrue.

Just because you're embarrassed at being so wrong, doesn't make me full of hatred or spouting conspiracy vitriol. Just take it on the chin and grow my man. Good luck!
🥳✌
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Most customers buy near the entry level. The last time Apple published the ASP of Mac it was something like $1,400. Across the entire lineup.

I think you are right - most sales are the entry-level of anything as people are most sensitive to price.
"ASP of Mac" ? What is that mate?
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Oh, I got a number wrong, so I obviously must be a Apple "hater". What about the rest of my comment? But yeah, you're right. That's also why I'm a Apple user for over 15 years and all my devices are from Apple (see my signature)... Criticism does not equal being a "hater". Your comment says more about yourself than about anybody else. Don't let your personal bias cloud your judgment, dude... Discussions here are often so ridiculous. And you are the perfect example for that.

Fair comment. I think we all should be able to criticise, expect better, and call out, where companies have fallen short of expectations, without people feeling like it's a personal attack and affront!
I use many operating systems. My favourite would be Linux as that was my engineering background, however you can't beat Apple's design, form, and quality control. I use windows a lot for work/clients. I'm happy enough to leave it in my personal usage however. In saying that, I have to use it for many functions, and if you have use/do anything you do get resentful.
Cheers for the discussion! ✌

 

[KPOM]

🥳✌
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I think you are right - most sales are the entry-level of anything as people are most sensitive to price.
"ASP of Mac" ? What is that mate?
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ASP = Average Selling Price. It's a common financial metric.

 

[ian87w]

Hey mate - I'm pointing out how wrong you are about portable computers only being required if you already use them, or they are owned personally. I can say that is absolutely untrue and have numerous sources to call upon.
Once Covid hit, whole countries are working now from home. Companies and businesses were buying up all the portable devices they could. The local Apple reseller only had older stock and strange (read; expensive) configurations. It kind of just follows that your statement is materially untrue.

Just because you're embarrassed at being so wrong, doesn't make me full of hatred or spouting conspiracy vitriol. Just take it on the chin and grow my man. Good luck!
🥳✌

The notion of the original post I was replying to is that the increase in price is due to COVID-19 (if that was the case, why would Apple only increase the price of a single component upgrade instead of simply raising all prices of the base models?). I replied to that post by suggesting that the increase in price is more of a pricing strategy to dissuade consumers getting a BTO. You gnawed on a different point. And who even said anything about "conspiracy vitriol"? Did you do that intentionally to show more maturity on your part?

I guess I was correct of the way you intended the conversation to go. Again, I wish you good health.

 

[ani4ani]

Apples net profit is about 21%. Any idea what Microsoft’s is? Last time I looked it was 35%. Almost double. Who cares? Almost no one.

So many here constantly discover what some of us have known for years: if you don’t want or need MacOS, you can usually save money buying a PC. (It’s been that way for decades.)

Apparently little known fact: Apple’s prices are high because their expenses are high. They’ve got 500+ retail stores, 130,000+ employees and $3 billion per month in operating expenses—including $1.5 billion per month in R&D spend.

Sure, you can buy 32GB of RAM at Newegg for $120. But how much do you think it would cost if Newegg had $3 billion per month in overhead costs to cover?

You’re kidding right? The last time I looked (a few months ago) Apple's net profit margin was about 21%; Microsoft’s was 35%—almost double.

When was the last time those here in the Apple hate crowd complaining about Apple’s profits brought that up?

Yeah, never, because it’s not about hating high profits, it’s about hating Apple. So what’s new 🙄

No one would bring it up because it’s not true

Apple’s net income is typically 25%+, (26.7% in the last fiscal year) whereas Microsoft’s is ~ < 20%. Last year (2019), Microsoft results included one off tailwinds that nudged it towards 30% (the year before they had one off headwinds that knocked it down to < 15%). So in 2018, Apple’s net income % was nearly double Microsoft’s.

Microsoft have more employees than Apple

Despite Apple announcing on every call that their GM is ~ 38%, in the last fiscal year it was > 46%.

But no one cares right?

 

[unoporfavor]

ASP = Average Selling Price. It's a common financial metric.

I work in finance and have never heard it. Must be a FMCG reference. It also means "active server page" in some dark realms of history 😄

 

[unoporfavor]

The notion of the original post I was replying to is that the increase in price is due to COVID-19 (if that was the case, why would Apple only increase the price of a single component upgrade instead of simply raising all prices of the base models?). I replied to that post by suggesting that the increase in price is more of a pricing strategy to dissuade consumers getting a BTO. You gnawed on a different point. And who even said anything about "conspiracy vitriol"? Did you do that intentionally to show more maturity on your part?

I guess I was correct of the way you intended the conversation to go. Again, I wish you good health.

let me remind you what you said:

I'm not sure what COVID-19 has to do with people needing laptop. Those who have been employed pre-Covid and have to work from home already have laptops, either self-owned or company-provided. And it's not like Apple is the only company selling laptops.

This is fundamentally incorrect champ. Whole countries working from home might well change demand for mobile computing. People don't really want to pickup and setup a whole desktop and screen at home in a dedicated space.
I told you why you might be wrong, and you seem to be arguing that this doesn't impact pricing or logistics.
I still dont really know what your point actually is except to make really incorrect statements. No idea what the "intended the conversation to go" comment is about. It's like a riddle! What fun!