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All this doom and gloom about prices going up from wealthy people makes me sick. The common folk remember the last 4 years where prices on a lot of daily items went up 200%. If you are worried about your next iPhone costing 90% more you should be happy because you’re wealthy. Real people can’t afford to eat out once a week anymore. I say tax anyone making over the national average of $75,000 at 75% and see what changes.
It’s how they control us, with nail biting fear. If iPhone prices jumped 90% then they wouldn’t sell many.
 
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That phone is currently $800, not $1,600. That helps your argument,

That's the Chinese made version not the US made one. The Liberty Phone is $2000 as you noted after that and is basically the same phone with a few spec tweaks.

Marginally different specs aside, the Liberty Phone has been ~ 2x the price of the Chinese made version of the same for a while which I think gives some idea of how much it would cost to make a phone in the US. Apple could probably gain some economies of scale but then would face some competition for resources for years as it scaled up.

It would take billions of dollars and more than 10 years for Apple to sell an iPhone made completely of U.S. sourced parts. There's no chance it would only be marginally more expensive than current prices.

Agree it would likely cost 2x. Though I think the US could get there in 5 years if it tried. There would have to be certainty in the payoff to get the necessary level of investment. Chaos leads to uncertainty which freezes decision making and therefore investment.
 
Well, that pushes out the cost from probably $23 to circ. $43..Or you guys believe it costs Apple $400 to make, when little companies make copies for $50 which gives them a profit.. With apples buying power.. they would be able to make phones 1/10 the price of those guys.. and its not close. But hey, im not a shareholder what would I know.
I’m not a shareholder, but I do work with. Chinese manufacturing in a similar industry, and your guess is hilariously wrong. There are single components inthere that costs more than that, at millions of units.

But yes you CAN make a “copy” using different components, for 50 bucks. But there’s a reason I put “copy” in quotes…
 
I don’t support Trump but it’s good to see someone finally stand up to China.
You got it backwards. What is happening right now is China standing up to Trump’s incoherent rambling. Which is great, since the EU clearly doesn’t have the balls to do it. Unfortunately what I’m seeing is a unique opportunity to take over the leadership of the world. China is latching on with both hands, while EU’s hands are wringing.
 
It’s funny how everybody is an economist now.

You have people hopeful it will bring manufacturing back to US and the ones with Trump Derangement Syndrome complaining the world will end.

Nobody knows the result yet. Not even our president.
That’s one problem.
Just think for a second about this article; Who is going to pay 90% above the already high prices? Apple is already charging the maximum they know the consumer is willing to pay.
That’s one more problem.

“Hope” is not how you run a country.
 
I mean, this is probably true, but it's at the heart of the misunderstanding/disagreement. If Trump read this, he would say, no, pay the Americans less and build all those components you say are impossible to build in the US in the US. I think in Trump's mind the $430 billion Tim Apple promised to invest in the US in the next 5 years solves ALL of these challenges, when in fact that is just a drop in the bucket.

At the heart of all of this is a misunderstanding of scale. Is it just a bunch of companies complaining that that their profit margins would drop if they just "built a darn factory in the US" (and the tariffs "solve" it by taking away the advantage from foreign competitors) or is like the literal rest of the world saying no, we aren't talking one factory, we are talking about thousands of factories, many of thousands of professionals that would need to spend a lifetime honing new skills, tons of raw materials simply not available in the US, etc. If Trump doesn't acknowledge the scale of foreign industry, then the answer will always be "no just build it here" and the rest will be dismissed as noise.
And the ultimate joke is that it's not just factories and vast infrastructure that would need to be built. It's also a question of trained workforce - which Trump's immigration policy won't let you poach from abroad. It's much more complicated than "just assemble it on the US soil".
 
Cost is only part of the problem. Apple needs scale, too. Sure, wrangling a couple thousand ppl to produce a million iPhones per year (from foreign parts) might be doable, but Apple sells something like 300 million iPhones a year, a significant portion of that (maybe 30-40%) in the US. China has industrial zones where they can throw tens or hundreds of thousands of ppl at this problem. The US doesn’t - and it’s not even a matter of time. Just think: how many Metropolitan Statistical Areas have 100k qualified and potentially available workers to do this? Not counting the fact that you still need people working in city infrastructure (schools, police, trash, etc), retail infrastructure, professional services infrastructure, etc. I’d be surprised if there are any areas outside the dozen biggest US cities that can support that many people working on one thing, and wages in those areas aren’t going to be cheap.

Additionally, while labor rates are lower in China, these factory jobs are considered desireable. I remember reading that every time Apple ramped up production, there would be lines around the block for people trying to get the newly available positions. Can you imagine thousands of people lining up for $20/hr factory jobs here?
 
this is a pointless article. Tariff will not happen at the end of the day. Book it.
They're already being tariffed though. 125% from China and 10% from the other countries.

  • President Donald Trump dropped new tariff rates on imports from most U.S. trade partners to 10% for 90 days to allow trade negotiations with those countries.
  • Trump announced the pause hours after goods from nearly 90 nations became subject to stiffer, so-called reciprocal tariffs imposed by the United States.
  • The president also said in a social media post that he was raising the tariffs imposed on imports from China to 125% “effective immediately” due to the “lack of respect that China has shown to the World’s Markets.”

Correction: China's tariffs are actually 145%... 125% + prior 20% tariffs.


U.S. tariffs on China now total 145% after latest hike, White House says

The U.S. tariff rate on Chinese imports now effectively totals 145%, a White House official confirmed to CNBC.

Trump’s latest executive order hikes tariffs on Beijing to 125% from 84%.

But that comes on top of a 20% fentanyl-related tariff that Trump previously imposed on China.
 
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From where do you think the Librem parts come?

Modern electronics depend upon a global supply chain.
The parts are all made in U.S. The raw materials may be a different story though.


Librem 5 USA, a premium version of the Librem 5 phone that focuses on security by design and privacy protection by default with a secure supply chain and electronics Made in USA



Made in USA Electronics

All the electronics of the Liberty Phone is made in our USA facility, and the entire phone is assembled in the USA, using the same manufacturing process we used for the Librem 5 devkits in 2018 and Librem Key made in the USA in 2019. By doing all electronics fabrication within the boundaries of our facility Purism can oversee each stage of the production.
 
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Yeah I read it more that BoA is saying ‘wow, we love apple’s margins’

I mean Wall Street just follows the money. And that’s lead to globalisation and the loss of manufacturing capacity in the USA.

From a financial pov globalisation is great. From a geopolitical pov - and a people losing jobs view- it’s not good.

And whst is Apple doing with these margins exactly? Wasting them on things like Apple TV plus and car that never got built. Tongue in my cheek here but …
Bingo. Globalization and "free" trade was an exchange of the American worker for corporate profits/greed. The decimated small towns across America are the casualties of war. Prices never went down in the 80s/90s/etc., only profits went up. Whether or not any serious amount of manufacturing can be returned to the US remains to be seen, however we saw how vulnerable we are to relying on an adversary for production back in 2020.
 
It’s funny how everybody is an economist now.

You have people hopeful it will bring manufacturing back to US and the ones with Trump Derangement Syndrome complaining the world will end.

Nobody knows the result yet. Not even our president.

Just think for a second about this article; Who is going to pay 90% above the already high prices? Apple is already charging the maximum they know the consumer is willing to pay.
So people with enough common sense and use reason, logic and research who say trump is setting the world on fire (as though the stock market wasn't a big enough sign that there's a fire) have TDS? What is a person with blind faith to a man who lies to them day-in and day-out and only cares about himself called?
 
So we’ve gone from “completely impossible!” to “an iPhone would cost $30k!” to “if the components were still tariffed production costs would increase by 90%”.

I think we’re getting closer to the truth here.
 
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Not surprising at all. IMO... the increase would be greater to recover costs. And would take years to develop the JIT manufacturing infrastructure required by Apple.
 
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I get the cost argument for why iPhones aren't made in the US, but is the other option to make them across an ocean in a country we have an adversarial relationship with? One that's not respecting our copyright and brand infringement. Like what are we making as a county? What are we producing? Another janky app that lets b2b do b2b stuff? Does the world need that? Like the biggest problem as a society is that we're disconnected from reality. Reality is the world doesn't need a social media coordinator or a brand consulting group to spend millions on a report about your brand's value proposition. We need to make things, we need to do things, we need an economic system as if survival mattered.
 
I didn’t realise the gallon went down. Is it now less than 3.8 litres? How much did it go down to? 3 litres? 2?

Gallon is down
Groceries are down

I don’t give a f about corpors and Wall Street traders. I really hope they will keep loosing even more money…… but guess what. WS is on the rise again today.
1) If gas is down it’s because oil prices have fallen due to forecasting of lower demand resulting from a tRump-induced recession
2) Grocery prices are up and already pricing in tariffs
3) I guarantee you’ll care about corporate earnings when a recession hits and you loose your job to a robot
 
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