Originally Posted by IQatEdo
Perhaps if the other manufacturers charged a whole lot more, we Apple lemmings would jump ship, drawn irresistibly to the higher prices. The effect would be compounding, more phones sold at higher prices (and presumably a greater profit margin) would really stick it to Apple.
It was not that long ago that phones were sold purely as a way to make the mobile phone networks chargeable, and being reamed $5-600 a month was a regular occurance.
The balance has shifted, the people making the money before was the telcos, now the smartphone and apple's brilliant products are removing the stranglehold the networks have.
imessage avoiding sms fees (insert android equivalent here) voip phones allowing the same hardware to perform the same function but totally bypassing the telco networks, there's no wonder there is profit in this game, its the bit that takes the phone away from being a phone, and makes it into everything else as well.
prior to iphone using shit like windows mobile tried to do everything else, but broke the primary function (using it as a phone) by unregulated usage of resources (how many times did my winmo crash while using copilot, just because a call came through and the CPU couldnt cope with the multitasking demands)
so now the smart phone is maturing, apple just did it better, earlier, and is thus shifting the profit away from the telcos and into R&D for the next big thing