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Can't help but wonder if Apple would be better off slowly transitioning to controlling and/or owning more of their manufacturing.
 
I think Apple should just make everyone sign up online for in-store pickup for their iProducts for the first two weeks.
 
I call BS on this argument. Phil Schiller eluded to "quality". That's an easy way to justify the money grab.

I call BS on this too. There was an article saying it will be $320 due to 40% margin on the cost of making it.
 
Low yields probably have more to do with switching to inferior supplier from Samsung than with new technology. Apple will lose a lot more than the $1 billion (that they will probably never get anyways) because of the way they treated Samsung.
And Samsung will lose a lot of money from the way they treated Apple. These aren't personal friendships, they're business decisions. Whether the moves both companies make are optimal, in the overall big picture, remains to be seen. And nobody can ever say for sure anyway, there are too many what-ifs going on. But both companies seem to be doing pretty well.
 
Why? Look at how well Amazon's Kindle Fire sells and its hardly a profit. It's the content they sell that really makes them the money.

More iPads = more purchases via the appstore.

How much profit does amazon make off the content? This a real question. I just dont see how the profit that brings in can compare to what is made off the margin Apple has on its hardware. How much of Apple's profit each year comes from content? I thought it was a relatively small amount. Its like the opposite strategy of Amazon but their content prices have to the about the same right?
 
I wonder how good this screen will look now that it is laminated? We never got to see that yet at iPad/iPad 2 resolution. Plus at a smaller size it may look almost "as good as" retina.
 
While the iPod touch and iPad mini aren’t directly related, Apple would have had a hard time having both start at $299. Pretty easy to see where we’re headed though: $150iPod touch $199; iPad mini(N-1) $249; iPad mini(N) $299; iPad(N-1) $399; iPad(N) $499.
 
Why? Look at how well Amazon's Kindle Fire sells and its hardly a profit. It's the content they sell that really makes them the money.
More iPads = more purchases via the appstore.

That's wishful thinking. Amazon operates on a 1-2% margin, total. That's the main reason their stock price isn't any better than it is. Sure, revenues are great, market share is great, but they aren't making any money, on anything.
 
i wouldn't go back as far as 8 years.

the iPod helped save Apple from the grave, yes, but it was iOS that rocketed them up to the sky. their stock price history shows that

Back in the day, the iMac saved Apple and the iPod sent them to the sky. It's just that by now, the iPod boost looks almost negligible compared to the success that followed it.
 
This sounds a lot like the normal pre-release propaganda. 1) it makes everyone think the Mini will be in short supply. (and be sure to set their alarm clocks and wait to lineup). and 2) give a weak excuse why the price is higher than expected.

The Mini is expected to get 58%-103% profit. If this was a temporary issue they could throw their customers a bone and eat bit which would still yeild them a very healthy profit. But nah, they'll just pass that along to you.

By the way, when they are able to get the screens at the price you expected, don't think for a minute they are going to easy off that $329 price. More profit baby!!!

(FWIW, I don't fault Apple a bit for doing it. I am just amazed at all the fans who fall all over themselves defending them for doing it.)
 
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How much of Apple's profit each year comes from content? I thought it was a relatively small amount. Its like the opposite strategy of Amazon but their content prices have to the about the same right?

Well, we can get a sense of it whenever they say in the keynotes things like "We have paid over $6 billion to our developers in the App Store". Since Apple gets a 30% cut and the developers get 70%, that means Apple pocketed roughly $3 billion.
 
Well, we can get a sense of it whenever they say in the keynotes things like "We have paid over $6 billion to our developers in the App Store". Since Apple gets a 30% cut and the developers get 70%, that means Apple pocketed roughly $3 billion.

that money goes to pay for servers and 24x7 electricity and other bills. the app store is only $500 or so million PROFIT a year.
 
You realize that Ming-Chi Kuo worked for DigiTimes prior to becoming a market analyst.

Having Digitimes be the 'confirmation' is like getting my mother to alibi me on the night of the murder ("I was playing cards with my mother, Officer, call her and ask")

1) The police do that all the time. They don't call, and say, "Hi, we've got your son down at the station as a suspect in the investigation of last Tuesday night's murder. He says you two were playing cards at the time, is that correct?" Instead, they ask something along the lines of, "Excuse me, do you know where your son was Tuesday night around 7:30?" I really don't have the slightest idea what gave you the idea that a parent can't be a perfectly good alibi.

2) Ming-Chi Kuo *isn't* DigiTimes, so this isn't getting the confirmation from DigiTimes.
 
Specs rise, prices fall, yields improve... time solves a lot. (Digitimes? Take with salt.)

Meanwhile, skip a meal out for two and you'll recover the $30 and be able to own an iPad Mini!



Wondering the same. Thinner? More accurate color?

I'd much rather bring the person I love out 11 times than own another useless piece of consumer electronics.
 
Well, we can get a sense of it whenever they say in the keynotes things like "We have paid over $6 billion to our developers in the App Store". Since Apple gets a 30% cut and the developers get 70%, that means Apple pocketed roughly $3 billion.
Profit ≠ Revenue
 
I'm still puzzling over Apple's choice to discontinue the iPad 3 but keep the iPad 2 in production. I'm actually glad about the decision, since that leaves one Apple iDevice with the old-style dock connector. I'm sure that the iPad 2 is cheaper to produce, thus they can sell it for a slightly cheaper price. But if someone is prepared to spend $399 for an iPad, why wouldn't they pony up the extra $100 and get the newest model? It doesn't seem like a big enough difference in price.

Yeah, I agree. The Mini has an obvious differentiator in the size, plus it has better cameras/WiFi, the new connector ... the 16Gb 4th for the $100 also gets you better cams/WiFi, plus the glorious retina display and the new A6 SOC.

I guess the only gap is fills it's only $60 more for the larger size (vs. the Mini), but you're also giving up some other improvements[?]

It would make much more sense if the 4th Gen only came in 32GB and up (so the price difference in 9.7" products would be $200, which is a decent amount).
 
How much of Apple's profit each year comes from content? I thought it was a relatively small amount. Its like the opposite strategy of Amazon but their content prices have to the about the same right?
Well, in Amazon's defense, their costs could be lower than Apple, even if they sell content at the same or lower price points. Unfortunately, there is no evidence that this is actually the case. I think of Amazon as a non-profit. I use it for certain items almost exclusively and I love it, but I would avoid it as an investor.
 
I'd much rather bring the person I love out 11 times than own another useless piece of consumer electronics.

Thank you for saying that. I think you snapped me out of insanity.
 
As disappointed as I was in the price, this is a day 1 purchase for me. First time I've ever picked up an Apple product so quick after release.
 
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