Tablet iPod Rumored on Weak Evidence
via email
Adam wroteth:
>Just because Apple
can't build a sub-$500 computer that's
>not junk doesn't
mean they can't build a sub-$500 device
>based on the
iPhone software.
1) The cheapest MacBook is $1000.
2) The unsubsidized prize of the iPhone is....?
A) Around $600?
B) Around $700
Apple's Hong Kong store HK$5400 price (for 8GB) converted to US
$.
3) An iPod Touch (8GB) costs $229.
We know that the Apple is raking in profits hand-over-fist on the
iPhone, so it doesn't actually cost them anywhere near $600 to
develop/build/ship/sell. But that's the price. Where is the room for a
$500 or $800 iPhone/MacTablet? That's already the unsubsidized
iPhone.
So, for consumers/business to be able to spend $500-$800 for an
iPhone/MacTablet device, either Apple would have to accept drastically
lower profit margins than they get for the iPhone, or they'd have the
continue to get a carrier supplied subsidies.
Do you want to pay $500-$800 for a iPhone/MacTablet and also pay
the monthly carrier costs that they charge iPhone users? Is there a
big enough market for that, when the iPhone can be had at $200 and a
carrier-free MacBook at $1000?
Or, are you willing to pay at the high end of that range
(>$650) at the same time that Apple is willing to accept lower
profit margins?
Adam concludeth:
>So, I have to say
that I'm not buying the rumor, much
>as I would buy the
device if it actually existed.
I'm not buying the rumor, either. And I'm not sure that Adam
would buy the device at the cost it inevitably have. I know that I
wouldn't.
(Obviously, I am talking about the next 6-12 months. Further down
the road, who knows what might happen to prices. I can imagine a $49
subsidized iPhone, leaving room for $500-$800 iPhone/MacTablet that
people might buy. But that ain't happening soon, if ever. In fact, I
think that a $800 MacBook would happen first.)
--</x-sigsep>
=Alex Hoffman
Leadership, Policy &
Politics
Teachers College, Columbia
University
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Tablet iPod Rumored on Weak Evidence