iPhone 7 Component Costs Estimated to Start at $220

[I7guy]

actually, yes we do. As the consumer, we are the very people who get to decide if we believe the price of admission to a product is too much for that product or not. NOT the company to tell us.

That is the very nature of market economics. The Market sets the value, NOT the enterprise. The enterprise can produce an offer to sale at a certain value and if the consumer believes it to meet their own required value, then either purchase, or if it doesn't meet their perceived value, Not purchase it.

that not purchase decision can be because one sees the asked price as too much for that product. the consumer then has everyright to believe that the company is asking too much in order to pad profits, or what not.

if the overwhelming market believes the price is too high for the value, the company can either lower profits and price, to match, or not sell. This is no stranger to Apple as they have had to price adjust in the past when the market overall said they were asking too much. The original iPhone, the MacBook air's first version, etc. Or on the flip side, during the 90's Apple computers were seen as "excessively priced" and often far far more expensive than their PC Counterparts, leading to a consumer sentiment that Apple was not worth the value and even dubbing the "Apple Tax".

TLDR: your very premise is wrong, and every consumer should have the right to deem for themselves if a price is huge, greedy or excessive
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its not always about saving. Likely didn't save all that much by removing the headphone jack. But that wasn't the purpose. there were additional costs in the iphone7 that would have easily ate into any of those savings. Retooling alone would likely have cost more (they have to redo the assembly line machines that once created the opening for the headphone jack, and the machines to attach it to the board, etc). these are large scale manufacturing items and there are so many hidden costs with every change.

However, as I said, saving a few pennies wasn't the goal here. It was revenue generation on the end user. With no headphone jack, you can no longer use wired headphones that Apple cannot monetise on. those billions of headphones that have already been sold that Apple cannot profit from are no longer usable without paying apple.

you will end up buying adapters now, especially if you lose the one they ship (9.99 revenue per sale), they will also get revenue from every single lightning connected headphone by 3rd parties due to MFI licensing program. I also guarantee you that they'll license out the W1 chip for wireless headphones as well.

this is one of those cases where its really likely not a cost saving reason to remove the jack, but a way of forcing a new stream of revenues, which ultimately, has the same net result of a higher profit margin / value at the end of the year

Give the events of the last few days with the note 7, what do you think the market has said?

 

[JackANSI]

I actually have and some of the newer PC's run like crap compared to my old 2009 MP.

I'll put mine against yours in any cross platform benchmark.

It lays waste to everything in the current Mac line so...

 

[weaverra]

I'll put mine against yours in any cross platform benchmark.

It lays waste to everything in the current Mac line so...

Don't really care dude. A Ferrari can beat my 2000 Pathfinder on the Highway, but I can beat the Ferrari off road. For what I do in running my business I can't justify upgrading every couple of years. It's more about the OS than the hardware for me. The gains are minimal for my photo editing. SSD was the single best upgrade the that computer. In 2013 I was running a Z820 12 core 64 GB of ram and my 2009 ran so much smoother than that PC. Sure it could crunch rendering faster, but LR and PS actually ran on my old jalopy. Couldn't even get the latest PS and LR CC to run properly on that machine.

 

[JackANSI]

Don't really care dude. A Ferrari can beat my 2000 Pathfinder on the Highway, but I can beat the Ferrari off road. For what I do in running my business I can't justify upgrading every couple of years. It's more about the OS than the hardware for me. The gains are minimal for my photo editing. SSD was the single best upgrade the that computer. In 2013 I was running a Z820 12 core 64 GB of ram and my 2009 ran so much smoother than that PC. Sure it could crunch rendering faster, but LR and PS actually ran on my old jalopy. Couldn't even get the latest PS and LR CC to run properly on that machine.

Sounds like user error, not a PC problem. But I find it highly suspect that you could afford some 12 core PC but didn't upgrade your 2009 Mac, so.. sorry if I don't believe you for a second

 

[weaverra]

Sounds like user error, not a PC problem. But I find it highly suspect that you could afford some 12 core PC but didn't upgrade your 2009 Mac, so.. sorry if I don't believe you for a second

The 12 core machine was at work. It was a CAD workstation and yes it would not run LR and PS CC at the time in 2013. It kept crashing. It was a Windows/Adobe/Hardware problem. My little $500 Mac Pro ran the LR and PS CC just fine. The CC suite has had well documented and numerous problems on running on Windows.