RSS

iPhone 5s to cost $730, in China, will it sell?

15 Sep

Steve Jobs was certainly missed, whether it is in the newness of the products or the detailing of the design. At least in this announcement, it appears that the Apple team is just using the legacy of product quality and design that has been built, instead of building over and above what Jobs left.

 

Before Apple sued Samsung, Apple and Samsung had very cozy business relationship. Note that Apple does not make any hardware. It’s a marketing and software company. So Apple has to rely on hardware suppliers such as Samsung. Samsung is a leader in much hardware technology. Samsung used to give bragging rights to Apple for technology Samsung developed. After suing Samsung, Apple no longer gets the bragging rights. So you see Apple’s products are based on past-generation technology. If you are not a fanboy, you won’t buy such stone-age products.

I think apple lost the edge with these two phones. I agree that 5c’s object was to enter the low end market, especially in developing countries but that will not happen.
About 5s; the improvements are not that amazing compare to the 5. If we compare the 5s with other phones, take samsung s4. Then still s4 has more to offer than the 5s. For starter a bigger screen. Apple could have made much more improvements on its phone to re-capture the market but it clearly could not do it.
Also apples stock prices went low as there were higher expectation. As the article mentions that apple has lost the art of keeping their secret shows that the company is losing or has lost its innovation edge.

Normal practice for Apple is to introduce a new phone, keep the next newest on sale for $100 less, and the one before that for $200 less. So instead of selling the Iphone 5 for $550, Apple is taking the enormous commercial leap of removing the Iphone 5 from the market, replacing the expensive steel case with a cheap plastic case, labelling it the 5C, and selling it for, you guessed it, $550. I can see how they’ve reduced their production costs, but why should the consumer be interested?

I really don’t see much problem with incremental changes. Steve Wozinak gave an interview to BBC and said it is impossible to expect ground breaking products every year (from Apple or just about any other firms). The problem with tech nowadays that is has evolved to be a fad and ego contest. People held too much expectations or go out to change phone often just because they think it is cool to do so.

Almost no real innovations. After the dictator Jobs came the greedy and incompetent Cook. Cook used his first Exec meeting solely to secure his and at the same time the highest salary in history. Cook was also responsible for outsourcing production from the US and Ireland to China. Two weeks after his visit to Cork (full of praise) he outsourced almost the entire production. The margin for Apple products stands at 150-500%, depending on the product. On the other side, Samsung and HTC produce innovative products that are affordable for the masses. With such margins Cook and his same-sex partners can have a wonderful life only laughing about the bêtise of their customers and about Jobs who not only saved the company in the late 1990s, but also built this empire they are benefitting from. Last but not least, the employees of Apple do not benefit from the wealth, they receive wages that are often so low that they have problems to survive (US, Ireland, UK….China….).

Apple-watchers have long awaited a less fancy smartphone to compete with cheap-and-cheerful Android phones in places like China, where the company has been rapidly losing market share to smartphones running on Google’s operating system. But the 5c, its innards almost identical to last year’s iPhone 5, will remain nearly as distant a dream for many gadget-lovers in emerging countries as the more expensive 5s. Indeed, the 5c is set to retail for around 4,500 yuan, or $730, in China, a third higher than the $549 (or $99 with a two-year contract) it will cost in America.

 

Many fans will be disappointed by what they see as incremental advances under Tim Cook, who took over as the firm’s boss from its visionary late founder, Steve Jobs. They point out that even the fingerprint feature was not exactly ground-breaking. Motorola offered a similar reader in one of its models back in 2011 (though the flawed system was dropped from new models after Motorola’s purchase by Google in 2012). As with previous releases, however, Apple will probably ignore the sniping—and continue to count the healthy sales of its signature product, up 20% on last year.

 

 

Advertisements
 
Leave a comment

Posted by on September 15, 2013 in Uncategorized

 

Tags: , , ,

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

 
%d bloggers like this: