What you’ll find wherever Apple sells products– especially in the Apple Store– are what you will not find with Samsung, Microsoft, Google, Amazon, HP or Dell, Lenovo, or any of the Chinese knockoff manufacturers. Service and support. What else?
The Bottom Line
Criticizing Apple is a fun sport. Nobody keeps score and few critics of critics bother to point out crazy-assed thinking and the lack of insightful analysis vs. the overabundance of ridiculous ideas whose headlines grab eyeballs for advertising, but just don’t make a lick of sense.
Here’s one. Jason Perlow:
Meet the new Diet iPhone: Could a fresh formula boost Apple’s bottom line?
First up, what is a diet iPhone? A lower priced iPhone? Wouldn’t that bring in less revenue, lower gross margins, fewer profits, and reduce sales of the iPhone Xs and Xs Max, which would then reduce revenue and profits? How does a diet iPhone help the bottom line?
Secondly, who says Apple’s bottom line needs a boost. The company is giving away $75-billion a year and giving undeserving investors billions more with dividends that do nothing to help the company’s financials. Apple’s profits are so damned high already that all a diet iPhone would do is reduce the profits.
In case you haven’t heard, Apple missed on its Q1 revenue target: A shortfall of an estimated $7 billion on total revenue of $84 billion due to a slowdown in iPhone sales.
Now, let’s examine that consideration for a moment. Apple’s Tim Cook put the blame squarely on the rapidly changing market in China– for iPhone, iPad, Mac, and Services– and on 1600 Pennsylvania Avenue for a series of crazy-assed political decisions.
Oh, and Apple says the least expensive new iPhone– iPhone XR– is the best selling iPhone model.
Why aren’t people upgrading to the new iPhone models? Well, there are a lot of reasons. Part of it is that the old iPhone models work perfectly, or at least good enough. They spent a lot of money on their old phone and don’t necessarily see the new functionality being a must-have.
Who says they are not upgrading to the new iPhone models? Not Apple. Except for the China Connection and the battery upgrade issue. Smartphone users are holding onto their devices longer than in years past, and based upon quality improvements, that is and was to be expected.
Where is all this misguided analysis of Apple’s predicament coming from?
I have my own anecdotal stories to refer to as possible evidence of this; I know plenty of folks who have iPhone 6 and iPhone 7 and are more or less happy with what they have, especially if they have the higher end versions of the models with lots of memory on them.
Me, too. Perlow discusses another anecdotal situation with so-called technology writers– Ed Bott and David Gewirtz– who, apparently, do not bother to invest in what they write about. How can you write about what you don’t know? Writers? Sounds more like Paid complainers to me.
After sales tax in his state of residence, that’s $1,188 to replace two phones that are working just fine. Thanks, but no thanks. Close browser!
Drop. The. Mic.
Except what’s missing from the $1,188 price tag. Math. Those old iPhones– whether iPhone 7 Plus or whatever– are worth money. I saw an iPhone X for $749. An iPhone 7 Plus worth $399. Sure, iPhone users may not need or want a new iPhone with a higher price tag, and switching to a cheap-assed Android smartphone is an alternative, but wouldn’t you expect so-called technology writers to something about what they willingly criticize?
Drop. The. Mic.
What Apple really needs is an iPhone that is an entry-level model. One that keeps people in the Apple ecosystem, that provides them the fundamental user experience, and has the current operating system that allows them to run current apps well. It needs a good enough camera, good enough screen, and enough storage — at a price point everyone can stomach
That’s just fundamentally bad logic. They have an entry-level iPhone. $449.
Sure, everyone wants an iPhone for $100. Or, less. There is a reason why you can’t buy a $10,000 Mercedes or Lexus or Bentley. Any consideration that a $100 iPhone will help Apple’s bottom line is a consideration without benefit of math. Or, logic. Or, common sense. Fantasy? Yes.