Apple Most Profitable Phone Company in the U.S.

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2 reason they are making so much profit
1. AT&T's calling plan includes the price of the phone( that's is why they can afford to give a phone away with 2yrs contract)
Why is the iphone is not free? Profit number 1
2. The iphone is sold at MSRP = profit number 2
 
The rhetoric in these comments is getting out of control. Is it that you all see the iphone and Apple as icons of capitalism run amok? Or as icons of affluence or ostentatiousness? Are you bashing Apple because, by extension, you're effectively bashing people who aren't as interested in computers as we all are? Let's look at the facts... In 2 years a company with no experience making phones is now the most profitable company in the market. Apple, whether rightfully or not, upset the status quo. And what happened? Sure they made tons of money, but more importantly they forced other established companies to react and build better phones. Phones like the Eris or Droid probably wouldn't exist if it wasn't for Apple forcing HTC, Motorola, and Google to compete. Isn't this how capitalism is supposed to work? Shouldn't we be grateful to those who do buy Apple products, because they're driving Microsoft, Dell, HP, and the rest of the Wintel world to step up their game? Maybe the people buying Apple products *are* saps, but even so they're important to the system. And anyways, Apple actually does do a few things well, and it's totally possible that despite the cost there are people out there for whom Mac is the right decision. If Apple does well, even as PC users we benefit. Thankfully, there's room in the market for more than one type of computer. So how about we all cool it a little and stop turning the PC vs. Mac debate into yet another manifestation of the deep-seated tendency of the human psyche (or psychosis, as the case may be) to want to identify with an in group and exclude outsiders. We've already got racism, sexism, ethnocentrism, political parties, and heck, even sports, we don't need any more reasons to divide ourselves into groups. Can't we all just get along???
 
[citation][nom]ceejer[/nom]The rhetoric in these comments is getting out of control. Is it that you all see the iphone and Apple as icons of capitalism run amok? Or as icons of affluence or ostentatiousness? Are you bashing Apple because, by extension, you're effectively bashing people who aren't as interested in computers as we all are? Let's look at the facts... In 2 years a company with no experience making phones is now the most profitable company in the market. Apple, whether rightfully or not, upset the status quo. And what happened? Sure they made tons of money, but more importantly they forced other established companies to react and build better phones. Phones like the Eris or Droid probably wouldn't exist if it wasn't for Apple forcing HTC, Motorola, and Google to compete. Isn't this how capitalism is supposed to work? Shouldn't we be grateful to those who do buy Apple products, because they're driving Microsoft, Dell, HP, and the rest of the Wintel world to step up their game? Maybe the people buying Apple products *are* saps, but even so they're important to the system. And anyways, Apple actually does do a few things well, and it's totally possible that despite the cost there are people out there for whom Mac is the right decision. If Apple does well, even as PC users we benefit. Thankfully, there's room in the market for more than one type of computer. So how about we all cool it a little and stop turning the PC vs. Mac debate into yet another manifestation of the deep-seated tendency of the human psyche (or psychosis, as the case may be) to want to identify with an in group and exclude outsiders. We've already got racism, sexism, ethnocentrism, political parties, and heck, even sports, we don't need any more reasons to divide ourselves into groups. Can't we all just get along???[/citation]


(Pssst... I have secrets to tell) Apple makes nearly 400% profit on every phone they sell over it's lifetime (which isn't very long, BTW...). How do they do this? Simple. 'Good' marketing, and exclusivity. Note that they DO NOT do this by having a better product, but you 'mericans are suckers for a good advert.
 
[citation][nom]Abrahm[/nom]Not surprised. In classic Apple fashion, they are selling hardware with an incredibly high mark up and pull huge profits from people lining up to buy them.[/citation]

Pretty much. When your phone cost $300+ WITH a contract, you had better hobe you are making more money than the others.

Add to that a over priced plan and you make a lot of money.

But I bet the apps cost is figured into that too.

Its just sad that Apple leagued themselves with a crappy 3G provider like AT&T...... Apple always acts like a high class but instead of Verizon with a expansive 3G they go AT&T with a super small 3G.....

[citation][nom]ellmondo[/nom]hey my phone has access to over 50,000 applications, the best web browsing experience on a phone and a fast processor, suck on that Iphone hatters! plus next revision of the phone is only going to be better! You can hate it all you want but i can do almost anything your phones can with mine plus more. Iphone rocks.[/citation]

Thats great. And I have a EnV Touch that does everything the iPhone does but it cost me $100. Plays MP3s/WMAs, MP4 for movies, does Youtube, full HTML and flash browser support, has apps too.

Not to even mention the Droid that has more than the iPhone such as a better camera, can run MULTIPLE apps and can change the battery to name a few.

Kinda sad how many people get bought into the Apple hype and yet there are better out there. Oh and the Omnia 2 (AKA Omnia HD) that has 13.5 hours of talk time, 8MP camera, 6.9 hours of 720P HD video playback and can even record 720P HD video in divx, WMA, MP4. Verizon will pick that up next year.

iPhone = highly over rated.
 
No one forces anyone to buy a particular phone, At the end of the day Apple proved that user interface and ease of use counts for more features. It is what sold me and several of my friends was the fact the phone was intuitive and responsive.

Did apple revolutionize the smart phone market? Yes it did, and as a consumer we have all benefited from this. We now have the palm pre, sony erickson, and several other smart phones that are now more user friendly and the capabilities are superior to what existed pre Iphone. I am all for competition and if Nokia ignored making the user interface better and competing at a lower end of the market that is saturated then that is their own fault. At the end of the day running a business is about profit not market share.
 
[citation][nom]matt87_50[/nom] just goes to show, charge people a little amount repeatedly over time rather than a one off price, and they will be completely blind to the true cost.[/citation]

That's pretty much true for any subscription. And yes, even gaming may eventually be on a subscription basis only.
 
[citation][nom]croc[/nom](Pssst... I have secrets to tell) Apple makes nearly 400% profit on every phone they sell over it's lifetime (which isn't very long, BTW...). How do they do this? Simple. 'Good' marketing, and exclusivity. Note that they DO NOT do this by having a better product, but you 'mericans are suckers for a good advert.[/citation]

You have all the answers but for some strange anomaly your conclusion is wrong bitch.
 
[citation][nom]croc[/nom](Pssst... I have secrets to tell) Apple makes nearly 400% profit on every phone they sell over it's lifetime (which isn't very long, BTW...). How do they do this? Simple. 'Good' marketing, and exclusivity. Note that they DO NOT do this by having a better product, but you 'mericans are suckers for a good advert.[/citation]
When the iPhone was released there was absolutely NOTHING that could compete against it. Only in the last few months has anything actually worth while come to the market. I say this as a long time smartphone buyer who has had several phones from several different makers. I havent bought a phone in over a year, but the iPhone is the best phone I have ever had. And ceejer is right, it if wasnt for the iPhone, HTC, Motorola, etc would all still be making the same crap phones they had before.
 
[citation][nom]pender21[/nom]Surprising because ATT&T sucks. Is this just handset profits or does it include App Store and iTunes Music iPhone downloads?[/citation]
ATT may suck where your at. It may be hard to believe, but in a lot places, ATT is the only provider with decent coverage. Sure, you can connect to Verizons 3G network here, but its slower than ATTs EDGE out here, so what the hell good is that?
 
Responsive ... That's the key.

Some moron said something about running 5-6, 20 apps at once? What? Why? On a phone? Hell on a netbook that would be troublesome...

Noobs, gotta love them in any forum.
 
[citation][nom]fuzyboy45[/nom]Apple is an image thing.People dont mind buying overpriced technologyas long as they think it looks good.[/citation]
Not necessarily true. My iPhone is the first Apple product I have ever owned. I payed $199 for it. Every other single smart phone on the market at the time I purchased my phone was at LEAST $199. The upgraded model of the phone I had at the time, the TILT, was $299 with a new contract. How is buying the best and CHEAPEST phone available at the time considered "buying overpriced technologyas long as they think it looks good." I think you just have a chip on your shoulder about Apple.
 
It was not Apple who chose AT&T over Verizon, Verizon was approached back when the 1Phone came out and wasn't interested due to something contract-wise.
Verizon is as bad as Apple, trust me. They are both control freak companies that cripple whatever they can to make a buck
 
The only Apple product I own is the iPhone. I've used every phone OS under the sun and as of this writing, there is nothing better on the market. There is nothing close. I've used Palm OS 4, 5.X, Microsoft CE, Windows Mobile 5, 6, 6.5, Blackberry Curve, and played with an HTC running Android 1.5 just this morning. I got to play with a Palm Pre for about 15 minutes. None of these are as good as iPhone. The Android is the only decent one of the bunch, but I sure as hell wouldn't trade.

I hate saying that because I think I got screwed on the price and I think AT&T screws me every month. However, it's a damn good phone. I like everything about it except the price. It is jailbroken so I can run what I want to run on it. I wouldn't like it nearly as much if I couldn't access Cydia, I guess.

I'm no fan of Apple or Steve Jobs, but they make a hell of a good phone. Maybe the price adds to the mystique? Like all that other name brand crap we buy in the fashion world.

OK, you can bash me now. I'm ready. Let the hating begin!
 
[citation][nom]jodpel[/nom]The only Apple product I own is the iPhone. I've used every phone OS under the sun and as of this writing, there is nothing better on the market. There is nothing close. I've used Palm OS 4, 5.X, Microsoft CE, Windows Mobile 5, 6, 6.5, Blackberry Curve, and played with an HTC running Android 1.5 just this morning. I got to play with a Palm Pre for about 15 minutes. None of these are as good as iPhone. The Android is the only decent one of the bunch, but I sure as hell wouldn't trade.I hate saying that because I think I got screwed on the price and I think AT&T screws me every month. However, it's a damn good phone. I like everything about it except the price. It is jailbroken so I can run what I want to run on it. I wouldn't like it nearly as much if I couldn't access Cydia, I guess.I'm no fan of Apple or Steve Jobs, but they make a hell of a good phone. Maybe the price adds to the mystique? Like all that other name brand crap we buy in the fashion world.OK, you can bash me now. I'm ready. Let the hating begin![/citation]
No need to bash insightful and constructive comments.
 
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