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its made even worse internationally, where Apple is artificially inflating the price in foreign markets so that their US Books still record the larger profit margins.

Canadian iPhones are ridiculously priced to the point that it's next to impossible to justify purchasing one off contract. we Saw Apple's prices across the board go up 30% last year overnight, all for accounting balance sheet purposes.

the 32GB iPhone7 (4.7") pre-tax price is now $899. With tax it's $1,015

this right here is a monstrous barrier to entry.

Anecdote time:
it's very interesting to see, that 3-5 years ago, iPhones were everywhere. Especially around the office. Now, a few people here and there have them, but the majority of people I know, see, and work with have moved to Android. They cannot justify $1,000 for a phone

Yeah i live in Thailand where the cost of the 7+ with 128 is over a $1,000. I still think in dollars so it sounds a bit scary when I think of a $1,000 phone.

As always the lowest priced version is not worth getting so it can't even really seriously be considered. 32Gb is the new 16GB. It would have pained them to put out a 64GB model.

Hopefully the next time they bump specs it they will offer the lowest one as 128GB.
 
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The cell phone market is getting saturated and really competitive. I bought a Chinese made phone (Xiaomi Redmi 3S) with an octa core processor, 3 GB RAM, 32 GB storage, a great screen, and a 4,000 mAhr battery. The finger print ID verification is faster than my iPhone 6, and the screen also has more contrast. The power management is top notch, and it puts a Samsung phone I had also been using to shame. The best part is that it cost all of $130. I have only had it a month, but it's my phone of choice most of the time.
 
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That's what happens when you release the same device 3 years in a row. Of course the internals/cameras are much improved with each generation, but the average consumer judges by how it looks. The fact that the device wasn't redesigned, and still has those huge bezels is ridiculous. I love my iPhone for the software, but the hardware is now dated and needs to change.

The hardware needs to change from a rectangle to a..... rectangle?
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Inovation is great but taking away is not. Removal of the headphone jack to make the iPhone a tiny bit thinner was a detriment. Not only to invest in more hardware but an additional burden of keeping the ear pods charged and bluetooth isn't all that great. I'd rather have the slightly bulkier iPhone with hardwire connectivity to a decent set of headphones or ear buds than not.

iPhone 7: 138x67x7.1mm, 138g
iPhone 6S: 138x67x7.1mm, 143g
 
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The hardware needs to change from a rectangle to a..... rectangle?

I think the point is, this is the first time we're seeing Apple go on 3 years with the same design implementation.

Nobody is saying they need to change shape. But there's very little compelling about the 7 if you're already on the 6s, and possibly the 6.

The design of the two. from a visual perspective is identical, except for slightly adjusted lines. So here Apple released a new full version number (and not an S cycle) product, that shares the same visual design as the last version.

this is something they hadn't done in the past. It's been Apple's history that new numbered version also coincided with a visual re-design. if you look at the 1-3g-4-5-6, each one was visually unique from the ones previous. If you look at the 6-7, it's nearly identical. This is the sort of change that is more in line with the "S" cycle launches, and not new version.

But the new 7 does all that while also being controversial by removing the headphone port (yes, this is still a pain point). So, to most users, no new design. Less "functionality", same (or higher price depending where). it's a very VERY tough sell for those who are alreadyon a 6 or 6s.

What's the tentpole feature of the 7 that props it up above and beyond the 6 series? Where's that one feature that makes you go "dayum, that phone is SOOO much better than the 6s!".

this isn't discounting that the phone is a lot faster. there's nothing wrong with the internals of the iphone 7. But the point of diminishing returns is past with CPU performance, especially bound by limitations of iOS, that the faster CPU alone isn't really going to convince people en masse to go out and spend $1000 on a new phone.

IMO: The iPhone 7 is a misstep. and hopefully Apple follows up with the iPhone 8 in 2017 (earlier the better) that gives a real compelling reason for iphone 6 users to move. Whether that be OLED, return of the headphone port, higher display resolution for VR/AR compatibility, more storage as default. But the iPhone needs SOMETHING more than what was delivered in the iPhone 7 for there to be dramatic adoption
 
I think the point is, this is the first time we're seeing Apple go on 3 years with the same design implementation.

Nobody is saying they need to change shape. But there's very little compelling about the 7 if you're already on the 6s, and possibly the 6.

The design of the two. from a visual perspective is identical, except for slightly adjusted lines. So here Apple released a new full version number (and not an S cycle) product, that shares the same visual design as the last version.

this is something they hadn't done in the past. It's been Apple's history that new numbered version also coincided with a visual re-design. if you look at the 1-3g-4-5-6, each one was visually unique from the ones previous. If you look at the 6-7, it's nearly identical. This is the sort of change that is more in line with the "S" cycle launches, and not new version.

But the new 7 does all that while also being controversial by removing the headphone port (yes, this is still a pain point). So, to most users, no new design. Less "functionality", same (or higher price depending where). it's a very VERY tough sell for those who are alreadyon a 6 or 6s.

What's the tentpole feature of the 7 that props it up above and beyond the 6 series? Where's that one feature that makes you go "dayum, that phone is SOOO much better than the 6s!".

this isn't discounting that the phone is a lot faster. there's nothing wrong with the internals of the iphone 7. But the point of diminishing returns is past with CPU performance, especially bound by limitations of iOS, that the faster CPU alone isn't really going to convince people en masse to go out and spend $1000 on a new phone.

IMO: The iPhone 7 is a misstep. and hopefully Apple follows up with the iPhone 8 in 2017 (earlier the better) that gives a real compelling reason for iphone 6 users to move. Whether that be OLED, return of the headphone port, higher display resolution for VR/AR compatibility, more storage as default. But the iPhone needs SOMETHING more than what was delivered in the iPhone 7 for there to be dramatic adoption

I personally like the 7. Yea the overall look is the same, but there is only so much you can do with a phone. The only thing i would've changed was the camera bump, but overall, I don't mind that its this design at all. The software is where I have issues with iOS 10 and some of its designs.
 
I have iPhone 6. I was on upgrade cycle with AT&T where every 2 years I would get a new iPhone for subsidized 199$. Selling the old phone would recover back my cost. Now that AT&T has no upgrade policy; Apple upgrade policy and AT&T Next plan both comes upto the same price as the phone price, I don't see any reason to upgrade my phone on regular 2 year cycle. I just changed the battery for $80 and I am good to go for another 2 years. Under no condition I will pay $700 for a phone every 2 years. No electronics should have such short life cycle.
 
The hardware needs to change from a rectangle to a..... rectangle?

No. It's a dated design. The bezels are huge and its screen resolution is far below the competition. The design is not ergonomically friendly. The power button is too far up the right side, and little things that aren't thought through like having the back button on Safari continue to be on the bottom left corner of the display which forces two hand use.

While iOS is far better than Android (for me), all you have to do is play with a high end android device and you will see that the ergonomics are much better and the devices are overall much better looking and have near edge to edge displays.
 
I personally like the 7. Yea the overall look is the same, but there is only so much you can do with a phone. The only thing i would've changed was the camera bump, but overall, I don't mind that its this design at all. The software is where I have issues with iOS 10 and some of its designs.

Oh, Don't take my rant there as me saying the iPhone 7 is a bad phone. it is not. it is easily a top tier, if not one of the best phones on the market. (sometimes when someone makes criticisms, it's construed as hate). It has great merits. My comment is mostly that it doesn't have enough above and beyond the existing products that it instantly sells itself to those already on a 6 or 6s, nor is it going to offer significant reason for an android user to jump ship (As evidenced by the Note 7's failure to drive sales to Apple).
 
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Apple shouldn't expect milking the iPhones forever. After a decade or so, people will get sick and tired of buying the same phone in a different color and slightly different design.

I believe the saturated mobile industry will go through a mini crash. Too many phones put there and not enough demand for it anymore. This doesn't apply to just Apple because they got lazy but for all mobile players. The next big thing won't come from a smartphone in the next decade. And if it still is, it won't look like the endless slabs we see all over the place.

Things change. People want different things. Watching announcements for iPhone 14 in another decade or whatever they call it will no longer have the same impact for mass consumers as years go by.
 
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Well the 7 was designed to tide people over until the huge 10th anniversary update so of course it's not going to sell as much as a regular release......
 
Should have made a blue iPhone rather than jet black.
They also lost quite a few customers by underestimating demand for the 7 Plus. I was forced to upgrade I dint want to from the 6 plus. Having said that I almost cancelled the order after having to wait 5 weeks for a simple phone
 
Come on Macrumors. This is a poorly written article. Didn't even mention the main focus of the title - profit.

"Foxconn's profit fell... so let's show revenue declines only, even though revenue alone doesn't determine profit."
 
Everything hits a peak. Everything.

You are correct. That's why the iPhone can't be stagnant, it has to be dynamic and change and allow for advances where the consumer is Drawn to something different.

There has to be some sort of change other than just implementing a new color or a few marginal enhancements. Which leads me to believe, the 10th anniversary iPhone hopefully will offer something completely rendered different from what we've seen before with display, design, and other technological advances we haven't seen yet. But time will tell.
 
You are correct. That's why the iPhone can't be stagnant, it has to be dynamic and change and allow for advances where the consumer is Drawn to something different.

There has to be some sort of change other than just implementing a new color or a few marginal enhancements. Which leads me to believe, the 10th anniversary iPhone hopefully will offer something completely rendered different from what we've seen before with display, design, and other technological advances we haven't seen yet. But time will tell.
I'm afraid to get my hopes up lol.
 
That will never happen, if anything the price will go up and they'll use the OLED screen to justify it.

Which is the same basic thing that happened with the macbook pro. The 2015 computer is wonderful and was relatively reasonably priced. Now they added some gimmicky OLED touch bar and made all ports into TB3. Yay progress! All for the low, low price of about $400 extra bucks on your already premium priced laptop.

So in the 2015 MBP and the iPhone 6, Apple had very mature and elegant machines, but Apple has to create a "reason to upgrade" beyond just spec bumps to maintain the insane profits. The problem is that those reasons to upgrade are just coming slower and slower as all technology has advanced. So Apple crams in these expensive and low marginal value upgrades.

So now we get a "better than spec bump" reason to upgrade (OLED bars or screens, TB3, stainless steel bodies, what ever), but its coming with drastic price increase for limited improvement to the user experience.

Apple can still make its billions this way, but just maybe not with the same growth (even some negative growth) as before.
 
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You can't grow into infinite

and why does Apple rely on 1 manufacturer. Its not a good idea to keep all your eggs in 1 basket.
 
Apple went for outlandish profits instead of market share.

Now THEY will pay the price. What goes around comes around.
 
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