[citation][nom]joytech22[/nom]Goes to show just how much money Apple really makes per device.Hell, if I was the one doing this I would honestly only want at least 10% profit from my sales, simply because it would be cheap, many people would buy it and I would get 10% of the money!Seriously $10 profit * millions of sales on apple's end is a LOT of money, greedy greedy people.10[/citation]
Hence, you are not in business. 10% isn't squat and wouldn't pay for the R&D, the support, the lights in the offices, etc.
ALL Smart phones costs $500~1000. Like a socialist plan, the phone companies subsidize the cost of the phone with a 2 year contract. AT&T or Verizon pays the $500, you pay the $200, but they make the money off you later with the 2 year plan. Since the teleco companies are buying in bulk, that are most likely paying $300~400, rather than $500~600 for retail.
Here is my business philosophy.... charge as much as the market will bare, while also at a fair price. Depending on the demographic... that could be lower-cost for more customers or higher cost for limited market clientèle.