Apple Reportedly Negotiating with Carriers for $100 Price Increase on iPhone 6

[mrongey]

Apple seems to be going for threes. Three iPads, three MacBooks, three iPhones. Makes sense as a strategy, since it covers all budgets and size preferences.

There's actually a price point strategy where you have an overpriced low-end option and a high-priced bells-and-whistles option that are both designed to drive people to the middle option.

Case in point: the iPod Touch's three price points are $229, $299, and $399. $299 looks a lot more attractive when it's only $70 more than the option below it, but not many people would spend an extra $179 to get the 64GB version.

More on topic: I call BS on this. Calling the 6 the only headline worthy high-end phone that will be coming out this year is an outlandish claim to make at this point, and the price increase doesn't line up with anything else we've seen. It's possible they will release an iPhone Air or iPhone Pro, but the 6 will stay at the same price points.

 

[winston1236]

Sorry Apple the prices on old tech fall with time not rise, not to mention with Google subsidizing the heck out of their Nexus there are way too many equal alternatives to lose any customers right now.

 

[SchneiderMan]

When has Apple ever increased the price of one of their products? I can only recall price drops over the years. Apple owns the carriers, they have since day one.

 

[D.T.]

When has Apple ever increased the price of one of their products? I can only recall price drops over the years. Apple owns the carriers, they have since day one.

Yeah, I think the only way this _might_ fly is if they made the entry level device 32GB ... those devices are $100 more anyway, so it’s like it’s not a price increase, just discontinuing the 16GB devices Plus, Apple makes more on the 32GB.

 

[SchneiderMan]

Yeah, I think the only way this _might_ fly is if they made the entry level device 32GB ... those devices are $100 more anyway, so it’s like it’s not a price increase, just discontinuing the 16GB devices Plus, Apple makes more on the 32GB.

Exactly. With reason. Obviously you can't sell something at a certain price and then a year later put a diamond on it and expect to sell that item at the same price. If the iPhone 6 does feature more premium materials like a sapphire crystal display and 32GB storage as standard, then I'd understand if Apple asked more for it. That said, they will always keep a lower cost option.

 

[2457282]

AGREED! I'm actually hoping they release an iPhone 6 in a 4" model as well.

Not agreed. I am not looking for smaller screens. Bigger would be way better IMO. What I said is don't make it so big that I cannot use it with one hand.

 

[aliensporebomb]

Ah!

16 megapixels is too many. They've crammed them onto a tiny sensor which creates noise and degrades quality. The iPhone 5s takes better pictures.

I agree but the consumer thinks more is better and in many cases that's more compelling.

Most users don't have a computer capable of processing 4k video anyway - but because it's new and gee whiz people will think it compelling and go for it.

Nevermind that it will fill up most of the memory on the phone with any content the user creates.

 

[elgrecomac]

I hate to admit it but...

If the price of the next iPhone jumps up by a C note, well then...hello Samsung Galaxy 5.

----------

When has Apple ever increased the price of one of their products? I can only recall price drops over the years. Apple owns the carriers, they have since day one.

But this in not the same product in the sense that it (or they) will be physically larger. So it could be Just like the 2 pricies of the MacBook Air .

 

[bozzykid]

If Apple wants to add a sapphire display, it would only be possible with a price increase to reflect the higher cost/quality.

We will see then. I say if the base iPhone 6 is $300, they will have priced themselves completely out of the market. And market share and growth are very important to Apple and all of their investors. Negative growth would kill Apple's stock price. That is why this article is full of fail (unless they are referring to the bigger 5.x inch device).

 

[samcraig]

If Apple wants to add a sapphire display, it would only be possible with a price increase to reflect the higher cost/quality.

I don't think they raised the price of the iPhone (specifically) with the introduction of retina screens. Or faster processors. Or better camera. Or when they went from plastic to glass. So why is Sapphire the magic "bullet" to increase costs?

 

[Sardonick007]

No

 

[GoCubsGo]

You know, because they don't get enough of our money as is.

 

[paradox00]

Didn't read all the comments, but isn't this a non issue? If Apple releases two phones, the larger one will naturally cost more than the smaller one (assuming equal specs). The debate is probably being misinterpreted, this likely isn't any different from the iPad vs iPad mini, just with the release order reversed.

 

[Chupa Chupa]

When has Apple ever increased the price of one of their products? I can only recall price drops over the years. Apple owns the carriers, they have since day one.

Are you new to Apple? Apple has on occasion increased prices on Macs. The new Mac Pro is noticeably more expensive than its predecessor. The MacBook Pro also has a price increase when Retina screens were introduced. And the Mac Mini is more expensive now than the original case versions.

I don't think it's unreasonable to think a 5.5" iPhone wouldn't be $100 more than the 4.7" version. Seems to be inline w/ iPad pricing... $100 bump between mini and 9.7" Air model.

 

[RadioGuy01]

Perhaps you should rely less on wikipedia and hype and more on facts?


http://www.businessinsider.com/chart-of-the-day-iphone-unit-sales-2012-7

ETA: also http://tech.fortune.cnn.com/2010/09/16/whats-rimm-really-worth/

2008 was a magical year for the iPhone. 2007 was good - but not meteoric as some would like to imagine.

Thank you for proving my point. Without subsidies, they still sold millions of phones. And that was BEFORE they were the "cool" phone.. that's back when they were a novelty gadget with out a "real keyboard" attached to a super expensive monthly subscription plan.

Sure subsidies help.. but if iPhone consumers were driven by PRICE, then the 5c should be flying off the shelf and Mercedes Benz would have gone out of business decades ago.

 

[samcraig]

Thank you for proving my point. Without subsidies, they still sold millions of phones. And that was BEFORE they were the "cool" phone.. that's back when they were a novelty gadget with out a "real keyboard" attached to a super expensive monthly subscription plan.

Sure subsidies help.. but if iPhone consumers were driven by PRICE, then the 5c should be flying off the shelf and Mercedes Benz would have gone out of business decades ago.

Proved your point? Ok...

You clearly missed my point. I expected nothing less.


I'll make it clearer:

http://news.cnet.com/Apples-iPhone-price-cuts-leave-mixed-feelings/2100-1041_3-6206367.html

10 weeks after the iPhone launched the price shot down $200. Before they sold millions.

So again - Ballmer wasn't entirely wrong with his assessment.

 

[AppleScruff1]

When has Apple ever increased the price of one of their products? I can only recall price drops over the years. Apple owns the carriers, they have since day one.

If Verizon and AT&T both say no, Apple has a big problem in the US. And Verizon actually gained subscribers over AT&T while AT&T had the iPhone exclusive.

 

[kupkakez]

Reisinger? LOL. Samsung's ad budget at work. Do your own research instead of citing a blogging clown who is paid to write a puff piece.

"Don Reisinger is a technology columnist who has covered everything from HDTVs to computers to Flowbee Haircut Systems. Besides his work with CNET, Don's work has been featured in a variety of other publications including PC World and a host of Ziff-Davis publications.
Don Reisinger is a member of the CNET Blog Network and is not an employee of CNET."

It's selling terribly. Worse than the old Note3. Far worse than the G3. Samsung is freaking out at this very moment.

I'd like to see a legitimate article where it is documented that Samsung is "freaking out".

Thanks.

 

[dampfnudel]

Can't wait until phone subsidies end in the US and reality sets in for Apple.

THIS. I can't wait until the first iPhone introduction where I only see unsubsidized prices on the screen. They won't look as good as the subsidized prices Tim & Phil presented in the in the past.

 

[Above The Gods]

I don't think they raised the price of the iPhone (specifically) with the introduction of retina screens. Or faster processors. Or better camera. Or when they went from plastic to glass. So why is Sapphire the magic "bullet" to increase costs?

Pixel count is totally different from the screen display. The sapphire would be about 4 times more expensive than the current mainly because of the manufacturing process; and the display is already the most expensive individual component on the iPhone to begin with (more than twice as much as the CPU). Increasing cost by so much, while charging the same price, would be completely irrational on the part of Apple.

 

[SchneiderMan]

Are you new to Apple? Apple has on occasion increased prices on Macs. The new Mac Pro is noticeably more expensive than its predecessor. The MacBook Pro also has a price increase when Retina screens were introduced. And the Mac Mini is more expensive now than the original case versions.

I don't think it's unreasonable to think a 5.5" iPhone wouldn't be $100 more than the 4.7" version. Seems to be inline w/ iPad pricing... $100 bump between mini and 9.7" Air model.

Those products have vastly changed into more premium hardware. It's not like Apple increased the price of the regular MacBook even though it has upgraded its specs over the years. Same with every other iPhone the came after the original model.

 

[chrisrosemusic1]

Already get ripped off on phone contracts to get the latest iPhone, but slapping another premium on top of the £1200 line rental would tip me towards other devices. That or buy it SIM free again like I used to in the past.

Just abusing the popularity of the device by inflating the price again. They make ENOUGH on the sales already.

 

[samcraig]

Pixel count is totally different from the screen display. The sapphire would be about 9 to 10 times more expensive than the current mainly because of the manufacturing process; and the display is already the most expensive individual component on the iPhone to begin with (more than twice as much as the CPU). Increasing cost by so much, while charging the same price, would be completely irrational on the part of Apple.

Hmmm. Interesting. Then why are retina iPads and laptops more expensive if it's just pixel count?

 

[Above The Gods]

Hmmm. Interesting. Then why are retina iPads and laptops more expensive if it's just pixel count?

I didn't imply increasing pixel count wasn't more expensive. Only that adding a sapphire display would be much more so.

 

[numlock]

Are you new to Apple? Apple has on occasion increased prices on Macs. The new Mac Pro is noticeably more expensive than its predecessor. The MacBook Pro also has a price increase when Retina screens were introduced. And the Mac Mini is more expensive now than the original case versions.

I don't think it's unreasonable to think a 5.5" iPhone wouldn't be $100 more than the 4.7" version. Seems to be inline w/ iPad pricing... $100 bump between mini and 9.7" Air model.

he said he could only recall. however personally i dont think its quite fair to mention the mac pro but that just me.

i would agree that its fair that the bigger screen version cost more but this article dosent to seem to be about that at all.