 w0go.O
join:2001-08-30
Springfield, OR | ! Why aren't the phones just sold completely separately from the cellphone contacts, open, and compatible with all networks? That makes a lot more sense to me and increases choice for the consumer. |
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| Because they wouldn't be subsidized. There are tons of people who would choose a 200$ iPhone over the full price of 500$ or 600$ of you want the 32gb.
You realize how much phones really are when there is no discount. |
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patcat88
join:2002-04-05
Jamaica, NY
kudos:1 | said by spike010101:Because they wouldn't be subsidized. There are tons of people who would choose a 200$ iPhone over the full price of 500$ or 600$ of you want the 32gb. You realize how much phones really are when there is no discount. Lets go see how much an iPod Touch 32gb costs.... $280? $600 in your dreams for an iPhone. |
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| An iPhone includes all the extra guts to act as a phone... And if you were to buy an iPhone without a contract you would pay that much... |
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w0go.O
join:2001-08-30
Springfield, OR
3 edits | reply to patcat88
indeed there's something really fishy about the whole contract/subsidation process. that iPhone/iTouch comparison is a good one - look at prices for these devices in other countries as well, it doesn't look like there's any subsidation going on at all.
quote:
An iPhone includes all the extra guts to act as a phone... And if you were to buy an iPhone without a contract you would pay that much...
edit: so you think a GSM/UTMS/CDMA/whatever transceiver costs $300 to add to the iPhone? Yeah right, maybe a few dollars. Take a look at all those free or better phones, or the prepaid phones that cost $30 bucks. What's so special about iPhone's wireless capabilities that they cost $300? And the way iPhone sells and its' popularity, they get super low prices, everyone wants to sell a piece of equipment in the iPhone, if not to make a profit just to have their name mentioned and bragging rights. |
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| Care to quote your sources? |
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| reply to spike010101
There ARE NO SUCH THINGS AS PHONE SUBSIDIES!!!
A subsidy is when an outside organization gives you money to defray costs. You are not given money. You are in fact forced to pay more than the actual cost of the phone with these contracts. It's like a car lease.
The worst part is you have no idea how much of your monthly bill is going into paying for the phone.
If consumers had a choice of buying a phone outright and paying 50+% less per month, or buying a phone as part of a contract, then... drum roll please... THEY WOULD HAVE A CHOICE! Everyone's happy! Yay! |
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 GbcueAlmost P.E.Premium
join:2001-09-30
Santa Rosa, CA
kudos:8
 ·AT&T U-Verse
| reply to w0g
said by w0g:indeed there's something really fishy about the whole contract/subsidation process. that iPhone/iTouch comparison is a good one - look at prices for these devices in other countries as well, it doesn't look like there's any subsidation going on at all. quote:
An iPhone includes all the extra guts to act as a phone... And if you were to buy an iPhone without a contract you would pay that much...
edit: so you think a GSM/UTMS/CDMA/whatever transceiver costs $300 to add to the iPhone? Yeah right, maybe a few dollars. Take a look at all those free or better phones, or the prepaid phones that cost $30 bucks. What's so special about iPhone's wireless capabilities that they cost $300? And the way iPhone sells and its' popularity, they get super low prices, everyone wants to sell a piece of equipment in the iPhone, if not to make a profit just to have their name mentioned and bragging rights. Those phones are $30 bucks because they're still subsidized by the future profits of your prepaid money.
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fiberguyMy views are my own.Premium
join:2005-05-20
kudos:3 | reply to sonicmerlin
You need to take a real course in business and stop making things up. There is nothing illegal about retention. Your subsidy in this case is the fact that they reduce churn with a ETF.. they can make revenue off you as a customer and offset the cost of marketing new ones, this reducing churn rate. You want out early, you pay the balance of the fee therefore you are being subsidies by an "outside" organization becuase you are no longer their customer at the point of early break out.
You HAVE a choice of buying the phones outright.. by doing so, you are not bound to any ETF. The price you pay for the phone has NOTHING to do with your per month fees.. where are you coming up with this? do you have a source to cite? or are you just throwing your opinion out? |
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| LOL, which is why the price of the iPhone dropped out right for the new generation and yet cost you more by the end of the current contract requirements.
How is it that manufacturing and production cost fall and yet prices always seem to stay the same or go up? |
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openbox9
join:2004-01-26
Alexandria, VA
kudos:2 | said by Skippy25:How is it that manufacturing and production cost fall and yet prices always seem to stay the same or go up? Because that's Apple's business model. Look at the profit margins on all of their gear. |
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fiberguyMy views are my own.Premium
join:2005-05-20
kudos:3 | reply to Skippy25
Your post still makes no sense as written..
Again, brush up in business and you'll understand why and stop looking at it from a consumer stand point.. as a consumer, it either makes sense and has value to you and you buy it, or it doesn't and you move on.. apparently, you don't get what's going on so it's not a good deal.
To every individual consumer, the iphone will either work for them, or not.. most people have different views on what's of value and what isn't.. there are people that will pay full retail to have the phone and not care.. while others will want the subsidized plan and love it.. others, will try to figure out how much the company makes and make a judgment call that way.. all valid ways to look at it, however, the basis of what your saying is absolute and isn't valid for the majority of people. |
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