Innovation and moores law don’t say that prices have to be constant. Did u check the BOMs for iPhones lately?
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iPhone 16e Could Apple have priced the 16e at $499?
- Thread starter Rogifan
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T-Mobile already has a deal on the iPhone 16e. It's not enough for me, but it's a deal for something like US$7.00 off each month for 24 months and a trade-in for the 2022 iPhone SE is worth US$250.
Well yes and no. In general everything went up, but 15 years ago I could buy a good MBP (for my needs) for €2000, and these days I can also get very good MBP/MBA for the same price.
I forgot Apple’s slimy deal with carriers to charge $30 more if you don’t connect the phone with a major carrier and pay them an activation fee. I’m a little surprised they didn’t make the same deal with the 16e.
I never understood why the "$30 connectivity discount" only applies to certain iPhones. Right now, it's on the 15, 15 Plus, 16, and 16 Plus but not the 16e, 16 Pro or 16 Pro Max. For whatever reason, it's been the middle range phones that get the discount but not the lower (SE, 16e) or upper (Pro, Pro Max) range phones.
It’s not really a discount but more of an up charge. I know that’s the marketing thing just like some insurance companies say they give you a “safe driver” discount instead of saying they raise your rates for getting into an accident 😂
I told the sales guy I would be ok with buying one off the floor but the price was the same as the shelf one
Maybe you’d have better luck if it was lying on the floor from a drop test.I told the sales guy I would be ok with buying one off the floor but the price was the same as the shelf one
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Their iPhone portion is a bit of a stretch. The only $400 iPhones are the first and second gen SEs, which were by no means flagship models. Without subsidies or carrier contracts, the prices averaged $650 until the 8 ($700), 8+ ($800), and X ($1000). Before the 8/X releases, Plus models were generally $100 more than their siblings. It wasn’t a sudden doubling and some from $400 to $1000.
If the price is too high, Apple will be forced to course correct and sell these at a lower margin. Or dump them at Walmart like the MacBook Air M1. The market always corrects itself.
I think that’s what happened with the MacBook Air M1. I’m guessing Apple either overestimated the demand for Apple Silicon or overpriced it, so now they are selling for $629 at Walmart. 40% off retail is pretty steep. There must be warehouses full of these things.
I think that’s what happened with the MacBook Air M1. I’m guessing Apple either overestimated the demand for Apple Silicon or overpriced it, so now they are selling for $629 at Walmart. 40% off retail is pretty steep. There must be warehouses full of these things.
I think Apple did their due diligence to ensure they priced it where it would sell in the quantities that they want. Furthermore, Tim is primarily concerned about profits, so while they could probably profit at $249, $599 makes far more profit. Let’s remember Apple pays around $5 per iPhone made in China. The parts, packaging and marketing might get it to $199? But even more important is what price makes it worth it to just pay $200 more vs $300 more to make AAPL shareholders better off for the customer to just buy the regular 16? It’s always the same, upsell upsell upsell.
I feel like the problem comes with the customers not really understanding with all the options. Sure, people here understand but this is a different knowledge base than average customers. When the person is in the Apple Store, do they think well for $10 more per month I get two cameras, better results, DYNAMIC ISLAND, MagSafe, and a better display. Too many people see the monthly price as they are often buying from a carrier or on a payment plan. The carriers are a rip off anyways. Can always do better off paying full price for the iPhone and using a non-subsidized cell provider service like Mint with the exact same coverage for $20 per month. I feel scammed monthly paying my TMO bill, and I only do it because I need to answer calls worldwide. If I lived in the States full time, I would never pay a company like TMO.
So it’s priced where Apple can sell it. Now the bigger problem. My Mom had a hard time going from iPhone 6S to 11. Couldn’t figure out the whole swiping but eventually got it. My FIL has an iPhone SE3 I bought him, and we tried to get him to understand how to use a 13, but he couldn’t do it. The Home Button is so user intuitive for people who aren’t tech savvy. Elderly that really don’t do much other than make voice or FaceTime calls. It’s sort of sad they couldn’t come up with a home button. The UI is really not good for people who aren’t young, have good dexterity with their hands, and a solid understanding of tech principles.
I feel like Apple has migrated okay for people who have gone from original version iPhones to newer iPhones over time. But they’re really not simple to just pick up a new iPhone with having never had an iPhone or only having a home button iPhone. They could have something that had even a small home button below the screen that would have made it better. And, Apple could price it at $499 and sell it worldwide. But who are they targeting with this? My kids would scoff at the notch, poor screen, lack of MagSafe, and maybe even the cameras. And the whole AI thing is widely considered a joke by the majority of people who this is targeted at. I feel like Apple Intelligence is a joke so far, but I hope it will improve over time. However, if Tim Cook’s priorities are on money and not on taking advantage of opportunities, he will continue to fail just like with Siri. It could be amazing by now. Or if Tim spent just $1B on AI instead of $10B on canceled Apple Car, Apple would be in a much better position to help stakeholders who aren’t shareholders and future CEOs of AAPL.
I have little faith in Tim’s Apple. It has continually made money for the top 1% but done absolutely nothing for the remaining stakeholders. When I saw the $499 price estimates, I thought why would they sell it that cheap, but coming from $429 it made sense. And at the same time, can buy a full screen 10.8” iPad standard for $349 that is bigger and has just as much tech minus the cell modem. Bill of goods for that iPad has to be more or similar to the 16e. This is how the company makes money, so they assumed they can sell a ton of 16e. I hope they fail miserably then Apple reduced the price to $429. KARMA
I feel like the problem comes with the customers not really understanding with all the options. Sure, people here understand but this is a different knowledge base than average customers. When the person is in the Apple Store, do they think well for $10 more per month I get two cameras, better results, DYNAMIC ISLAND, MagSafe, and a better display. Too many people see the monthly price as they are often buying from a carrier or on a payment plan. The carriers are a rip off anyways. Can always do better off paying full price for the iPhone and using a non-subsidized cell provider service like Mint with the exact same coverage for $20 per month. I feel scammed monthly paying my TMO bill, and I only do it because I need to answer calls worldwide. If I lived in the States full time, I would never pay a company like TMO.
So it’s priced where Apple can sell it. Now the bigger problem. My Mom had a hard time going from iPhone 6S to 11. Couldn’t figure out the whole swiping but eventually got it. My FIL has an iPhone SE3 I bought him, and we tried to get him to understand how to use a 13, but he couldn’t do it. The Home Button is so user intuitive for people who aren’t tech savvy. Elderly that really don’t do much other than make voice or FaceTime calls. It’s sort of sad they couldn’t come up with a home button. The UI is really not good for people who aren’t young, have good dexterity with their hands, and a solid understanding of tech principles.
I feel like Apple has migrated okay for people who have gone from original version iPhones to newer iPhones over time. But they’re really not simple to just pick up a new iPhone with having never had an iPhone or only having a home button iPhone. They could have something that had even a small home button below the screen that would have made it better. And, Apple could price it at $499 and sell it worldwide. But who are they targeting with this? My kids would scoff at the notch, poor screen, lack of MagSafe, and maybe even the cameras. And the whole AI thing is widely considered a joke by the majority of people who this is targeted at. I feel like Apple Intelligence is a joke so far, but I hope it will improve over time. However, if Tim Cook’s priorities are on money and not on taking advantage of opportunities, he will continue to fail just like with Siri. It could be amazing by now. Or if Tim spent just $1B on AI instead of $10B on canceled Apple Car, Apple would be in a much better position to help stakeholders who aren’t shareholders and future CEOs of AAPL.
I have little faith in Tim’s Apple. It has continually made money for the top 1% but done absolutely nothing for the remaining stakeholders. When I saw the $499 price estimates, I thought why would they sell it that cheap, but coming from $429 it made sense. And at the same time, can buy a full screen 10.8” iPad standard for $349 that is bigger and has just as much tech minus the cell modem. Bill of goods for that iPad has to be more or similar to the 16e. This is how the company makes money, so they assumed they can sell a ton of 16e. I hope they fail miserably then Apple reduced the price to $429. KARMA
I was surprised they allowed these to be sold at Walmart for such a steep discount. It may or may not dilute the premium brand image that Apple usually wants to protect at all costs.
I thought Apple would have preferred to pull them from the market completely rather than discount them so much. Which leads me to believe there is glut--one way or another something had to be done with the existing inventory/components.
I guess that depends on if the retailer has a minimum advertised price agreement with the manufacturer. I assume either 1) $629 is the MAP Apple agreed to, or 2) Walmart does not have a MAP agreement with Apple, otherwise they could be sued for breach of contract if they violated a [hypothetical] agreement with Apple.
Ok. I just know from resell in general that they get it for about 50% off from manufacturers and the rest is their sellers business
They're still selling the iPhone 15 for $699 now so I can easily see Apple dropping the 15 and lowering the price of the iPhone 16 to $699 when the 17 series launches.
Alas, I don't really expect to see a price drop for the 16e this year.