Other Is Apple going to keep charging $1,000+ for new iPhones every year?

JWATT

macrumors member
Original poster
Sep 12, 2018
83
53
And at these same price points? I'm sorry, but I like having the nicest phone, even if I know I may not necessarily need all of the features. I would like to wait for the XI, but if it costs the same as the Xs Max, I'm just gonna buy the Xs Max instead of letting the value depreciate.
 

solo118

macrumors 65816
May 16, 2011
1,235
124
Well, if you are asking about a flagship phone then yes. However you can get the XR starting at $750 which seems decent considering the specs (other than that awful LCD screen)
 
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MrBukey

macrumors regular
Apr 10, 2015
156
164
I think that they're accepting that a huge number of people don't upgrade every year anymore.

Carriers in the UK (not sure about elsewhere) have long since ditched 12 month plans where handsets are included alongside the contract, in favour of two year contracts. Then there's the IUP - yes, you can get a new phone after a year, but to "fully own" the device and not hand it back, it's a 20 month loan. (Some carriers have similar annual upgrade programmes of their own, too - many based on 2 year stints).

Then there's the fact that features are plateauing and smart phones are generally becoming incrementally better iterations, with the occasional innovative feature if we're lucky.... So people are happier to hang on to their phone for a year or three (or more) instead of upgrading every year.

I think Apple's pricing is just transitioning to that trend. They can't afford not to iterate every year. a year is a long time in tech and the smart phone industry and they need a phone as current as possible for anyone that may be ready to upgrade now, even if that's only part of the market.

I also think it's partly to do with supply and demand. If people are happy to pay the prices, they're happy to take the money -- but also by having higher prices, they still make money but do lower demand slightly. Instead of having huge supply issues and the news stories it brings because demand can't be met, or quality issues because their suppliers manufacture sub-par quality components and the news stories it brings... They can turn the price up a bit and still sell the number of units they're happy with.
 

m0sher

macrumors 6502a
Mar 4, 2018
803
769
Yes sure looks like this but only if you want a phone with all the stops pulled out and pay $1000 for a premium phone with high quality display.

That’s why there’s consumer choice this year and they now have the XR model at $749, consider it the SE.

We may see next year the XS isn’t discontinued and Apple will offer lower prices for last years model, I’m not sure. They may just discontinue the premium each year for all we know.

Lastly with all these tarrifs I’m not sure there will be any breathing room to lower prices. We may see further inflation.
 

TravisPNW

macrumors 6502a
Sep 15, 2017
647
919
Renton, WA
I'm sorry, but I like having the nicest phone, even if I know I may not necessarily need all of the features.
That's your biggest problem. Nothing wrong with it either... to each their own. Until you quit buying though... Apple will continue with the prices and go higher.

I'm passing on upgrading this year because I just don't need the minor upgrades. My 8 Plus does everything I need it to... OLED is great for my home theater but it's not a pressing need on my phone... and I already have a camera that blows the doors off any phone camera.

I'll probably upgrade next year because a 2 year cycle is good... but I've grown out of "gotta have it every year" because tech is so good nowadays. Hell, the PC I built 18 months ago still benchmarks in the top 3%.
 

JWATT

macrumors member
Original poster
Sep 12, 2018
83
53
That's your biggest problem. Nothing wrong with it either... to each their own. Until you quit buying though... Apple will continue with the prices and go higher.

I'm passing on upgrading this year because I just don't need the minor upgrades. My 8 Plus does everything I need it to... OLED is great for my home theater but it's not a pressing need on my phone... and I already have a camera that blows the doors off any phone camera.

I'll probably upgrade next year because a 2 year cycle is good... but I've grown out of "gotta have it every year" because tech is so good nowadays. Hell, the PC I built 18 months ago still benchmarks in the top 3%.
I have a 7+, no way would I upgrade my phone every year. At least not yet lol.
[doublepost=1536942408][/doublepost]
I think that they're accepting that a huge number of people don't upgrade every year anymore.

Carriers in the UK (not sure about elsewhere) have long since ditched 12 month plans where handsets are included alongside the contract, in favour of two year contracts. Then there's the IUP - yes, you can get a new phone after a year, but to "fully own" the device and not hand it back, it's a 20 month loan. (Some carriers have similar annual upgrade programmes of their own, too - many based on 2 year stints).

Then there's the fact that features are plateauing and smart phones are generally becoming incrementally better iterations, with the occasional innovative feature if we're lucky.... So people are happier to hang on to their phone for a year or three (or more) instead of upgrading every year.

I think Apple's pricing is just transitioning to that trend. They can't afford not to iterate every year. a year is a long time in tech and the smart phone industry and they need a phone as current as possible for anyone that may be ready to upgrade now, even if that's only part of the market.

I also think it's partly to do with supply and demand. If people are happy to pay the prices, they're happy to take the money -- but also by having higher prices, they still make money but do lower demand slightly. Instead of having huge supply issues and the news stories it brings because demand can't be met, or quality issues because their suppliers manufacture sub-par quality components and the news stories it brings... They can turn the price up a bit and still sell the number of units they're happy with.
In the U.S., it's reverse. Carriers ditched 2 year plans.
 

The-Real-Deal82

macrumors G3
Jan 17, 2013
8,774
14,307
Wales, United Kingdom
I think that they're accepting that a huge number of people don't upgrade every year anymore.

Carriers in the UK (not sure about elsewhere) have long since ditched 12 month plans where handsets are included alongside the contract, in favour of two year contracts. Then there's the IUP - yes, you can get a new phone after a year, but to "fully own" the device and not hand it back, it's a 20 month loan. (Some carriers have similar annual upgrade programmes of their own, too - many based on 2 year stints).

Then there's the fact that features are plateauing and smart phones are generally becoming incrementally better iterations, with the occasional innovative feature if we're lucky.... So people are happier to hang on to their phone for a year or three (or more) instead of upgrading every year.

I think Apple's pricing is just transitioning to that trend. They can't afford not to iterate every year. a year is a long time in tech and the smart phone industry and they need a phone as current as possible for anyone that may be ready to upgrade now, even if that's only part of the market.

I also think it's partly to do with supply and demand. If people are happy to pay the prices, they're happy to take the money -- but also by having higher prices, they still make money but do lower demand slightly. Instead of having huge supply issues and the news stories it brings because demand can't be met, or quality issues because their suppliers manufacture sub-par quality components and the news stories it brings... They can turn the price up a bit and still sell the number of units they're happy with.
Have you also noticed the 36 month contracts being introduced here in the UK? This is how the new iPhone is being marketed by my carrier O2:

Phones are so expensive and upgrades are down so they try and make it cheaper over 3 years. I think this will be the norm going forward.
 

JohnnyQuest

macrumors 65816
May 25, 2006
1,442
188
It is pretty shocking tbh. For reference, I decided to see what my monthly installments were for my 7 Plus (when I first signed up for the Upgrade Program) and it was ~$40. For the Max, it's up to $60!

That's a massive spike in price. I can't imagine paying for these things outright every year. I feel like the upgrade programs (even w carrier) are the only way to go.
 

noteple

macrumors 65816
Aug 30, 2011
1,407
328
Prices will continue to climb until they switch to a leasing or subscription model
 

weckart

macrumors 603
Nov 7, 2004
5,007
2,263
Not just Apple, Samsung is just about there, Google is close to that with their Pixel 2 prices when it was released.
Except Samsung has experienced pushback with its latest series 9 range. People just aren't buying. Too few new features and too high a price apparently.

Apple will get away with the same tactic. Turning the iPhone into a Giffen good seems to be good for business.
 
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PlainEnvelopes

macrumors regular
Sep 10, 2018
134
102
Not just Apple, Samsung is just about there, Google is close to that with their Pixel 2 prices when it was released.
This....I don't know why the news and other media outlets are bashing the pricing. Apple is not the only company jumping around in the $1,000 market. Yes the Max 516gb is the most expensive, but you have other options that are in the same ball park as the note 9 for example.
 

now i see it

macrumors 603
Jan 2, 2002
5,222
10,567
The benchmark for a $999 phone started last year w the X. The bigger phones always cost more than the smaller ones, and a $100 bump for that is a good deal.
The $1000 newest phone is here to stay... until it bumps up yet again.
A fully maxed out xsmax with max apple care costs almost $2000 today.
 
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Small White Car

macrumors G4
Aug 29, 2006
10,909
1,194
Washington DC
I'm going to disagree with the prevailing wisdom here. The iPhone is NOT getting more expensive. What has changed is that Apple now offers current-tech and future-tech at the same time. They didn't used to do that.

The baseline iPhone has roughly been around $600-$700 since the beginning. And the XR is $750. Ok, so that's $50 to $100 for inflation over a decade. NOT BAD

But you're not counting that one. You're looking at the XS as the "real" iPhone and saying the XR is a compromise. Ok, that's great that you feel that way, but you're wrong. Apple couldn't make enough OLED screens to only sell XS phones. The factories just don't have that much capacity yet. Those are not 'today's iPhone.' They are future phones that Apple is selling early. And the higher prices are helpful here because Apple literally couldn't make enough if everyone decided to buy that model.

So, no, the XS isn't "normal" and the XR "budget." You're all wrong. The XR is the phone we should be getting in 2018. The XS is future tech, early, at a higher price. And isn't it great that you live in a world where you get that option?

For anyone about to say that I'm wrong, ask yourself this: The iPhone 5C was a budget phone designed to keep down prices: An old case with good-but-not-quite modern internals. Do you really not see the difference between the 5C and the XR? They are not the same plan at all.
 

The-Real-Deal82

macrumors G3
Jan 17, 2013
8,774
14,307
Wales, United Kingdom
I'm going to disagree with the prevailing wisdom here. The iPhone is NOT getting more expensive. What has changed is that Apple now offers current-tech and future-tech at the same time. They didn't used to do that.

The baseline iPhone has roughly been around $600-$700 since the beginning. And the XR is $750. Ok, so that's $50 for inflation over a decade. NOT BAD

But you're not counting that one. You're looking at the XS as the "real" iPhone and saying the XR is a compromise. Ok, that's great that you feel that way, but you're wrong. Apple couldn't make enough OLED screens to only sell XS phones. The factories just don't have that much capacity yet. Those are not 'today's iPhone.' They are future phones that Apple is selling early. And the higher prices are helpful here because Apple literally couldn't make enough if everyone decided to buy that model.

So, no, the XS isn't "normal" and the XR "budget." You're all wrong. The XR is the phone we should be getting in 2018. The XS is future tech, early, at a higher price. And isn't it great that you live in a world where you get that option?

For anyone about to say that I'm wrong, ask yourself this: The iPhone 5C was a budget phone designed to keep down prices: An old case with good-but-not-quite modern internals. Do you really not see the difference between the 5C and the XR? They are not the same plan at all.
I would say the XS is current tech just like Android manufacturers have offered for a number of years now, it’s just Apple have caught up by putting OLED screens and wireless charging. The XR is a cheaper to manufacture option offered at a premium price but marketed as affordable. Apple make lots of money this way and rely on long time customers not switching platforms.
 
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