Did you even looked at the new Mac Pro? They are not using 2 motherboards designs, then went for a motherboard+daughterboard concept (an old one by the way).
Regardless, my point still holds: until there's literally an empty CPU slot that's merely waiting to be populated, the design configuration has more than one (set of) boards that have to be designed, fabbed, inventory managed, etc. Classical Fixed + Variable costs apply.
So, going from a single cpu Mac Pro to a dual cpu Mac Pro is just changing the daughter boards, all the rest of the computer is the same.
Fair enough, but the broader lifecycle implications are that if Mac Pros can receive "easy" CPU upgrades, then this is repeating the same lifecycle issues that Apple had with the 7500-9500 series, which ultimately resulted in fewer sales for Apple.
Those who forget history are doomed to repeat it.
I think that estimating the cost/price of a computer using Intel's price list is more accurate than taking numbers out of a hat like your $500/unit increase in manufacturing costs.
Not my point. My point was that any swag that only takes one variable into account isn't going to be as good as one that takes more macro-variables into account. I'll freely admit that my $500 is
'spaghetti thrown against the wall', but its primary intent was to illustrate that non-trivial factors exist that were being ignored.
If the economy was in such a shape, Apple would have an increase in cost for all products, and the new Mac mini and the new iMac would have seen a price increase too (less than $500, but anyway).
The problem with this statement is that generally assumes that the Mac Pro is merely another consumer machine, rather than it being in a different market segment that has different customers for which the economic downturn may be affecting differently.
For example, while Christmas sales for Apple were generally flat (only up 9%), the reality in business orders for durable goods is that they've been down for the 6th month in a row, and are reportedly off -37% ... but since they're dropping at -5% per month for the last couple of months, if we were to annualize the current slope, it suggests that this ongoing retraction in Enterprise could very easily be looking at a -55% to -60% decline for 2009 alone.
Don't try to find excuses, when it is simply greed that created the increase of price points: they KNOW, they won't sell a lot of Mac Pro in the next months/years, they are just adjusting the prices in order to make as much profit as they can on the few sales they will make.
Profit, or simply break even? (aka: "not lose our shirt")
Given the magnitude current economies uncertainties, I'm more inclined to lean to the latter. YMMV. In any event, sales reports in another 6 months will contain the first good answer for us both.
To who are they targeting these Mac Pros to?
An interesting question. That's why I'm waiting for relevant-to-me benchmarks as well as Snow Leopard before making my own personal decision as to what my path forward is going to be, and what will be my ROI.
But you know what? I'll go along with you assumption (those $500) and mix it with my "assumptions".
Suggest that instead of simply accepting the sphaghetti that I threw against the wall as gospel, that you instead accept its premise and try to sort out the swags for Fixed + Variable costs of development & manufacturing for the 'before' and 'after' and plug those in with different assumptions on past vs. future sales figures.
This is really the right way to do this; you may very well find out that my spaghetti was too low on the wall.
- Take a $2799 old Mac Pro, remove the cpus ($1600)...
FWIW, I'm of the opinion that this assumption is bad.
Specifically, you're assuming that Apple was actually paying Intel's street price for the old Xeons...I think you need to test that assumption.
Afterall, we do know that with Apple's history now of being first on the block with new Intel CPU releases, Apple undoubtedly has a "special relationship" with Intel of some sort.
Furthermore, since Dell wasn't really able to touch the price of the older Mac Pro, the
'Occam's Razor' (simplest explanation) as to why this would be would be that Intel had given Apple a healthy price cut on that CPU (at least) in order to help close the deal on the PPC --> Intel transition (vs AMD), which could have now expired.
Since the "Dell markup" to the old Mac Pro was roughly $1000, a decent SWAG to work from for a hypothetical Intel incentive to Apple would be for there to have been a negotiated $500 discount per old CPU. This sort of horse-trading and manouvering happens constantly in business, which is why it is naive to try to simplify something to just the Engineering department and open literature.
-hh