By setting the tone for price increases across the industry, I think they have significantly delayed if not outright eliminated the risk of exodus... after all where else could you really go if you wanted anything remotely close to Apple quality...
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Tim Cook on iPhone XS: People Want the Most Innovative Phone Possible and 'It's Not Cheap to Do That'
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Thanks, I'm actually pondering a switch to TMO at some point. Have use them years ago but went to AT&T for various reasons years ago.
I was surprised at the lease / ownership thing. With AT&T, you own the phone -- but you also owe money to AT&T for the financing, and they won't unlock the phone until you've paid it off. That's why you pay the sales tax on the whole phone price up front. Interesting that TMO does it as a lease.
What did they use as the residual value when you got the phone? i.e. the end-of-lease value they subtract from the selling price to figure out the sales tax?
So, I don't want to speak for them, but I think they looked at this and said that it's not really great for the United States to put a tariff on those type of products.
Well, I don't want to speak for all Trump supporters, but I'll just say that iPhone factories don't sound like they are going to be opening on US soil during anyone's current electoral future. This qualifies as a Trump defeat that coupled with his total failure on deporting illegal immigrants (Obama actually deported more) and run-away-and-hide as Alex Jones is booted from every platform by Silicon Valley, makes Trump look weak when he most needs his base to remain rock solid.
During the campaign Trump talked about the over 90 million permanently unemployed Americans. He has not mentioned them once since being elected.
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Yes and Trump has the ability to snap Mr. Cook back into reality with tariffs but it appears that Stormy Daniels snatched Trump's balls when she was done spanking him.
Well, I don't want to speak for all Trump supporters, but I'll just say that iPhone factories don't sound like they are going to be opening on US soil during anyone's current electoral future. This qualifies as a Trump defeat that coupled with his total failure on deporting illegal immigrants (Obama actually deported more) and run-away-and-hide as Alex Jones is booted from every platform by Silicon Valley, makes Trump look weak when he most needs his base to remain rock solid.
During the campaign Trump talked about the over 90 million permanently unemployed Americans. He has not mentioned them once since being elected.
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Yes and Trump has the ability to snap Mr. Cook back into reality with tariffs but it appears that Stormy Daniels snatched Trump's balls when she was done spanking him.
Then nobody truly has disposable income unless you are Tim Cook’s level of income. I make six figures and I still prefer monthly payments because I need to save as much as possible. I have enough to buy a GREAT and NEW car in full cash
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It was just an example. You can have 500,000 in the bank, I would still do the monthly plan to keep my savings up on a month by month basis. Who here has $1,000 of truly 100% disposable income? Not me even making six figures. You have to be close to Tim Cook’s level to technically have disposable income.
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You missed the point.... you seem to finance because it is no interest and convenient for you to do so. The other guy finances because if his car breaks down or he gets sick he wouldn't have his $1,000 to use for an emergency. In his case $1,000 seems to represent his net-worth in liquid assets. He then asserts he can afford to buy a phone that in reality is equal or greater than his entire net-worth.
I'd say Timmy Cook needs to cut his salary and reduce the phone price.
Or maybe hire someone who can do that. Steve worked for $1 and gave us all kinds of neat stuff.
Or maybe hire someone who can do that. Steve worked for $1 and gave us all kinds of neat stuff.
$50/month for the Max at top spec from my carrier - that's in addition to my data and line charges.
$45/month +$150 down for an 18 month lease from my carrier (Sprint) - or $1250 to buy now. I'm hanging on to my 6s Plus and will get a new battery within a couple of months. I don't need face id, am okay with the the 6s camera, and like the headphone jack. also like that it's paid off and I own it - bought it a year ago for $700 and it runs great with iOS 12, which I installed today. There are a lot of things I like about iPhones, and those things are all on my 6S+. But, I'm only one - mostly former - MBP / iMac / iPhone / iPad customer. Tim and company haven't cared for folks like me of late. No biggie ... times change.
It was an example. You are saying there is a way to get a car where if you need parts like if your transmission goes out for example or something similar it will be free? How? I have never seen this option.
How about if I buy the phone in full and I have the house AC unit go out?
What if I need to semi-relocate due to a business issue and the business will not assist with the payments or relocation cost? Semi-relocation meaning rest of the family is unable to relocate too meaning the house and everything else needs to stay the same. Other than quitting, getting a temporary apartment and travel costs would add up.
What happens if I buy that phone and then get laid off due to business cuts? Sometimes it is not guaranteed to immediately get a new job right away. It could take months. You need to have enough saved for these types of situations.
My point is, nobody unless you are Tim Cook or around that level of pay (Criag, Phil, ...) truly has 100% disposable income. In some way or another, under some horrible situations, that $1,000 cost up front would be needed where as the monthly payment is a less of a burden even with very large amount of money saved in the bank.
This is my view on finances and many of the financial experts I talk to agree with the decision with this reasoning.
This phone is not like a house or a car where I will keep it for 10 years (or a house for my lifetime and possibly kids take over owning it). I always like the latest phones (I started skipping some generations so I am lagging behind a bit now). Why pay $1,000 every year or every other year when I simply pay ~$35 a month for two years and trade my phone back in to get a new one? That cuts the $2,000 cost for buying two phones in full in over half by only costing $840 for two years. I have no need to keep these phones. I am not a collector, there is no point. The $1,000 does not gain me anything.
No one has ever called me an Apple apologist on these forums. Quite the contrary. I’ve been accused of being a “hater.” So take that into account when you read what I’m about to say...
I humbly submit that your BMW feels OK to you because Timmy is right. The BMW is a luxury automobile. Unless you’re in very specific and affluent areas, you’re in a more elite group.
The same cannot be said for Apple. The percentage price difference from baseline to top of the line is very large, but the absolute difference is actually not, especially if you amortize it (either in your head or actually) over a period of years. It thus may be very cool but doesn’t convey the same level of luxury elite status and elicit the same degree of envy.
Apple’s strategy here is brilliant. They’ll cannibalizes some Xs sales via the Xr and be delighted to do so since they probably command very similar margins. They also now have a super premium offering that will appeal to segments previously underserved by Apple.
This is Marketing 101 stuff. From a business perspective this is arguably the best lineup the company has ever put forth.
There is just so much wrong with this that I am not going to refute any of it leaving you feeling smart.
Rather small to compare a widely used sound system interface to a technology that has been dead for 40 years, but yeah, go chomp on your hubris.
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In 2017 Cook made a bit over 12 million bucks. $3000/day X 365 days = $1,095, 000. So Tim Cook could afford 3 grand a day for a year and still have nearly 11 million left over. Get Tim's perspective and understand he and his kind have no concept of folks who can't afford a $1300 phone or a $6000 defective MBP.
What is wrong with it? Having a good sense of planning for worst case scenarios so I do not go bankrupt if the worst happens?
This is like people who win the lottery and buy 20 cars and 5 houses. NO. I will live in a NORMAL house and buy a NORMAL car. So I can keep as much SAVED as possible.
My friend's dad is a very successful lawyer. He acts like he is broke for this same reason. To SAVE. He drives a basic Ford that you and I can buy and has a basic house.
The vision of Jobs created Apple and revived it from near death after Apple fired him. Cook et al are living off Jobs' vision, now 7 years gone. As strong as it was, the foundation he established - innovation, great customer support, and living up to "it just works" - is badly eroding. SJ's analysis of what led Apple to nearly die in the early 90s is very prophetic to Apple's current place. Cook and friends have about exhausted Steve's legacy - the customer base is eroding, especially with long time Apple Mac users. It's kind of sad.
Cook ... "Well we want to make an iPhone for everyone, that's always been our objective and we've got several iPhones in the line and they go down to materially lower."
... 'We even canceled the SE so people would have to spend more. You know, people just don't appreciate things unless they invest a certain amount of money in them. We also got rid of that SE so people have more phablet for their money. I mean, who wants a small phone when you're paying many hundreds of dollars? That thing shouldn't fit in your pocket or hand, so... you know... it is unmistakable you have a phablet from Apple. We don't want people to ever forget that.'
You sometimes have to wonder if the guy actually believes the %$*# he's spewing?
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No doubt. It probably took even more innovation to create the first couple models, especially in terms of scale with what Apple had to put into development.
They are charging those prices... because they can. They'll keep raising it until it starts to impact their sales and then level out. (That said, I can't necessarily say I blame them. That's how most products are priced, not on the material costs + R&D + profit margin. Things are generally priced based on what people will pay and the value they bring... whether real or perceived.)
... 'We even canceled the SE so people would have to spend more. You know, people just don't appreciate things unless they invest a certain amount of money in them. We also got rid of that SE so people have more phablet for their money. I mean, who wants a small phone when you're paying many hundreds of dollars? That thing shouldn't fit in your pocket or hand, so... you know... it is unmistakable you have a phablet from Apple. We don't want people to ever forget that.'
You sometimes have to wonder if the guy actually believes the %$*# he's spewing?
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No doubt. It probably took even more innovation to create the first couple models, especially in terms of scale with what Apple had to put into development.
They are charging those prices... because they can. They'll keep raising it until it starts to impact their sales and then level out. (That said, I can't necessarily say I blame them. That's how most products are priced, not on the material costs + R&D + profit margin. Things are generally priced based on what people will pay and the value they bring... whether real or perceived.)
Again I will refrain from engaging you in your ramblings that took everything I said out of context in the first place.
Windows is also a parasitical leech - these days you lease the system for some price per year. You never actually own it. If you finally leave the Mac island and MacOS, migrate to Linux. There's a bit of a learning curve, but for everyday computer needs, it will provide what you need for office applications, browsing, and is even better for programming if you are into software development. And there is no price for the OS other than using forums for support. I jumped on the Linux ship about 10 years ago, and it has gotten nothing but better over the years. If you like gaming, you mostly need Windows. If you need high level video editing/creation, you need MacOS. If your needs lie somewhere between those extremes, Linux, in conjunction with a nice hunk of PC hardware, will do you well.
Seriously, what is wrong with me saving that $1,000 in order to pay ~$35? I am curious. Many people do what you just did and don't actually have anything to say about it.
I am putting a lot of my finances in to long-term savings. Maybe look up these terms and understand how important it is to save.
I CAN buy the phone at full cost but want to keep that $1,000 handy just in case. Heck, I just spent $4,500 on iMac to replace my 8 year old Mac Pro. The computer I plan to keep for more than 5 years if possible, so obviously I like paying full cost for that.
Do I need to get a restraining order? I have said I do not wish to continue any debate or conversation with you.
I mean everyone has to justify their own financial decisions. But my point stands, if a $1000 emergency would prevent you from buying a new iPhone then you can't afford it. It has nothing to do with preferring to make payments. If a $1000 purchase stings that bad, do you really need it? That's a personal decision.
Me personally, I would rather pay cash for everything I can. Even if the loan is free, it's still a loan. It's still money I am forced to pay every month. The only debt I have is my mortgage, and I am going to keep it that way - I will never make payments on something as silly as a cell phone. I don't care that it's the most amazing phone yet, I'm not going to finance it.
Your spirit was right, but you mangled the details very badly.
Also suggesting that you need Fortune 500 CEO income to have “disposable” income is just absurd. There are lots and lots and lots of millionaires out there. Assume you only $1M in the bank/investments. $1000 represents 0.1% of that, assuming you never make another dollar.
The affluent may choose to live with excessive frugality. (I would know. I’m one of those people.) But it’s a choice, not a necessity.
Okay. That is usually code for just wanting to argue just to argue and you actually don't have anything.
I love the "You are wrong" or "this statement is wrong" but not helping people learn or think of new ideas that can be beneficial. It is such a pointless comment.
For sure. They will sell a TON of those phones. And all at a higher average selling price (ASP) than the 7 series and 8 series.
ASP also drives the $1,500.00 XS Max.
Bottom line: smartphone market is saturated and growth is no longer rapid. So you make the phones more costly to keep Wall Street happy. And you make the XR look like a bargain next to the XS and XS Max.
Apple is brilliant. But this can't last forever. Hopefully, they can stay on this hamster wheel until the glasses and car.
And people wonder why they don't spend all that much time on the Mac....they are busy running on that hamster wheel, baby!
Actually it is a necessity. I just got a $4,500 iMac but in no way do I consider that disposable income. I may seriously regret it and might need to sell it if the worst comes.
If I get laid off tomorrow, it will hurt spending that much.