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Message
re: Is $1,000 for a phone that ridiculous?
Posted on 2/14/18 at 10:04 am to Korkstand
Posted on 2/14/18 at 10:04 am to Korkstand
quote:
And most of us said no, yet you keep trying to argue.
His problem is he's looking solely at the demand side of the price equation. Sure I can see how you'd say people use their phones enough to justify spending more than $1000 on it. But that's not the only factor in price. If it were, the keyboard I'm typing this post on that is essential to my productivity would cost a lot more than $10-$20. But there is a supply component to the price equation, and because lots of companies compete to make cheap keyboards, I don't have to pay a lot for something that provides immense value to me.
This post was edited on 2/14/18 at 11:00 am
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Posted on 2/14/18 at 10:06 am to NewBootGoofin
I think you are confusing the point here. Usefulness or cost justification does not always equate to “ridiculous”. Whether something is “ridiculous” or not is a subjective measure against some standard that is set as “reasonable”. The cost could be completely justified, but that does not mean it can’t be ridiculous.
I always like to use this example of “ridiculous”.
$1.5M Russian SUV Link
I always like to use this example of “ridiculous”.
$1.5M Russian SUV Link
quote:
1. Ruby Red matte paint
2. Gold-plated bulletproof windows
3. 22" Kremlin Red Star bulletproof wheels
4. Whale Penis Leather interior
5. Tungsten exhaust
6. Tungsten and white gold gauges with diamonds and rubies
7. White gold diamond and ruby encrusted badges - grill, side and dashboard
8. Special edition Vertu mobile phone with "alert" button
9. Additional outside kevlar coating
10. Rogue Acoustic Audio System.
Posted on 2/14/18 at 10:36 am to LSUtigerME
I see what you guys are saying, but you can't equate the gold apple watch ($17,000 vs. $350 for normal) and this SUV ($1.5M vs ~$40,000 for normal) to the phone ($1,000 vs $500). The phone is an everyday item that is widely considered to be a tool for productivity rather than a status symbol (although some may say that is changing).
If $350 is the set standard for "reasonable", then yes, $17,000 is absurd for something that shares the same functionality (talking Apple watch here).
But there is a difference between expensive and ridiculous. I think that $1,000 is expensive, but I don't think it is ridiculous given usage and functionality. But I suppose you are right in that it is a subjective matter
If $350 is the set standard for "reasonable", then yes, $17,000 is absurd for something that shares the same functionality (talking Apple watch here).
But there is a difference between expensive and ridiculous. I think that $1,000 is expensive, but I don't think it is ridiculous given usage and functionality. But I suppose you are right in that it is a subjective matter
Posted on 2/14/18 at 10:56 am to NewBootGoofin
quote:
The phone is an everyday item that is widely considered to be a tool for productivity rather than a status symbol
its 100% a status symbol.
Again I'll ask, what can the $1000 iphone do that a last gen Galaxy S7 can't? Pretty much nothing. iOs vs android aside, they do the same thing with basically the same efficiency.
quote:
But there is a difference between expensive and ridiculous. I think that $1,000 is expensive, but I don't think it is ridiculous given usage and functionality.
at this point, you are just being a contrarian and splitting hairs. enough already.
Posted on 2/14/18 at 10:58 am to jcole4lsu
teardown price for IX is about $350.
That is a pretty ridiculous profit margin but I guess good for them that folks are willing to pay for it.
That is a pretty ridiculous profit margin but I guess good for them that folks are willing to pay for it.
Posted on 2/14/18 at 10:59 am to TigerMyth36
quote:
teardown price for IX is about $350.
apple doing apple margin things
Posted on 2/14/18 at 11:05 am to TigerMyth36
quote:
teardown price for IX is about $350.
Is this just the cost of the components?
Posted on 2/14/18 at 11:15 am to LSUtigerME
quote:
Is this just the cost of the components?
i'm sure thats retail for a consumer to build it.
apple will get..well...apple-iphone-quantity pricing discounts.
Posted on 2/14/18 at 11:22 am to CAD703X
quote:
i'm sure thats retail for a consumer to build it.
I think its basically cost to purchase all components yourself from an aftermarket in china. Youre right, apple will get STEEP quantity discounts. Doesn't include engineering cost - but lets be honest, there isn't a lot of additional engineering cost between iphone generations.
Posted on 2/14/18 at 11:23 am to TigerMyth36
Yea, let's not take into account the engineering, assembly, etc that it takes to create and produce a phone.
And I think that price is what Apple pays for the phone (what I got from the article I read).
I'm one of the last people to defend Apple, but y'all are being extremely narrow minded
Any change to the phone has to present some pretty large design changes to the interior. I imagine the iPhone X had some steep engineering costs
And I think that price is what Apple pays for the phone (what I got from the article I read).
I'm one of the last people to defend Apple, but y'all are being extremely narrow minded
quote:
additional engineering cost between iphone generations
Any change to the phone has to present some pretty large design changes to the interior. I imagine the iPhone X had some steep engineering costs
This post was edited on 2/14/18 at 11:25 am
Posted on 2/14/18 at 11:40 am to bluebarracuda
quote:
And I think that price is what Apple pays for the phone (what I got from the article I read).
I'm one of the last people to defend Apple, but y'all are being extremely narrow minded
quote:
The iPhone X smartphone costs $357.50 to make and sells for $999, giving it a gross margin of 64 percent, according to TechInsights, a firm that tears down technology devices and analyzes the parts inside. The iPhone 8 sells for $699 and has a gross margin of 59 percent.
LINK
This is from last November, so those manufacturing costs are even less now.
This post was edited on 2/14/18 at 11:42 am
Posted on 2/14/18 at 11:42 am to CAD703X
The price isn't $999 because it costs so much more to make. Samsung has been making $650 OLED phones for what, 2-3 years? The price was set so high to artificially lower demand because Apple couldn't get enough OLED screens to make this the primary model that people bought.
Posted on 2/14/18 at 11:43 am to TigerinATL
apple can charge pretty much whatever they damn well want for iphones at the moment.
Posted on 2/14/18 at 1:04 pm to colorchangintiger
that article is from 2 months before the iphoneX was released so i seriously doubt they had their hands on the actual components at that time.
Posted on 2/14/18 at 1:15 pm to CAD703X
True, I forgot it launched in November.
Posted on 2/14/18 at 1:16 pm to CAD703X
FWIW, Tim Cook has said that none of these component cost breakdowns is remotely accurate. Ditto for the supply chain chatter.
Posted on 2/14/18 at 3:11 pm to NewBootGoofin
A $1,000 dollars is ridiculous for any piece of hardware that only functions as it should for 2 years.
Posted on 2/14/18 at 3:23 pm to CAD703X
It really is ridiculous.
Pixel 2XL owner. I love everything about the phone but even its price point is ridiculous. I'm usually pretty conservative with my purchases and love buying things aftermarket but for once i just said frick it and bought me something brand new, shiny, and overpriced.
Pixel 2XL owner. I love everything about the phone but even its price point is ridiculous. I'm usually pretty conservative with my purchases and love buying things aftermarket but for once i just said frick it and bought me something brand new, shiny, and overpriced.
This post was edited on 2/14/18 at 3:24 pm
Posted on 2/14/18 at 6:35 pm to bbap
The assumption that everyone should be owning the high end smartphone is ludicrous. It is a premium good, bordering on luxury good. Most people should have a standard Android or an older model iPhone per their financial means. For whatever reason, mobile phones are the exception that even middle class and lower want to shell out four figures for the latest technology. Payment plans are a big reason for it since people can generally accept $30/month.
As for the price, $1,000 is reasonable for a device that is with me 24 hrs a day for about 3 years.
As for the price, $1,000 is reasonable for a device that is with me 24 hrs a day for about 3 years.
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