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Apple retail stores to begin taking iPhone trade-ins - report

post #1 of 39
Thread Starter 
Apple is reportedly planning to allow iPhone owners to trade in their devices at the company's retail stores, in an effort to further boost domestic sales of its newest smartphone models.

iMacs


The retail trade-in program will be run by Brightstar Corp, Bloomberg reported on Thursday. The same company already handles trade-ins for U.S. carriers AT&T and T-Mobile. Sources familiar with Apple's plans say the program is aimed at getting users to upgrade to the iPhone 5 by offering them cash for their older models.

Under AT&T's current trade-in program, customers can exchange an iPhone 4S or iPhone 4 and receive $200 ? the same price as a new iPhone 5 with a two-year service agreement.

Brightstar has reportedly agreed to only sell traded-in iPhone 4 and iPhone 4S handsets in emerging markets, ensuring that those devices won't be resold and cannibalize potential iPhone 5 sales in the U.S. The move will likely help boost Apple's market share in those emerging markets, where the company currently trails other handset makers due to the premium price of its iPhone.

Apple has offered an online-only buyback program since 2011, which is run by PowerON. But the latest move would mark the first time Apple would begin accepting iPhone trade-ins at its heavily trafficked retail stores, hundreds of which are located across the U.S.

Bringing a trade-in system to its retail locations would allow Apple to quickly reimburse customers for their devices, sparing them the hassle of shipping devices to a third-party.
post #2 of 39

Same as iPods since… what, forever? Most of the line's existence, at least.

 

Recycle your iPod, get 10% off the next one. If it worked or iPods, it'll work for iPhones.

 

Good on Apple.

Originally posted by Relic

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Originally posted by Relic

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post #3 of 39
I hope its a Rumor and if its not then Apple is getting desperate.

Where is the big Screen option? Just squeezing out of 1 phone strategy will not last forever. I know there is 4s and 4 but that's the game Apple seems to be failing at.

Give options on newer models!
Edited by helicopterben - 6/6/13 at 11:22am
post #4 of 39

Maybe you Americans should do what we do here:-

 

http://shop.vodafone.com.au/mobile-details/buy-apple-iphone-4-8gb-black

 

Free on a $30 plan and selling like hotcakes.

Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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post #5 of 39
Originally Posted by helicopterben View Post
…then Apple is getting desperate.

 

Just like they were "getting desperate" when they did it with iPods¡


Where is the big Screen option?

 

Your fantasyland.


Just squeezing out of 1 phone strategy will not last forever.

 

That's why they have three phones at a time now.

 

I know there is 4s and 4 but that's the game Apple seems to be failing at.

 

So you recognize their success but refuse to acknowledge it? 

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
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Originally posted by Relic

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post #6 of 39
Quote:
Originally Posted by Tallest Skil View Post

 

Just like they were "getting desperate" when they did it with iPods¡

 

Your fantasyland.

 

That's why they have three phones at a time now.

 

 

So you recognize their success but refuse to acknowledge it? 

 


Various options on newer phones is always positive more than negative. It also impacts the competitor sales and boost Apple sales in a big way. Its not always about selling in numbers but also about killing the competition before it grows big!

So now how about your BS without Steve Jobs? 

 

Did I refuse to acknowledge Apple's (S.J) Success?  Looks like you are losing money in aapl.


Edited by helicopterben - 6/6/13 at 11:43am
post #7 of 39
Quote:
Originally Posted by helicopterben View Post

So now how about your BS without Steve Jobs? 

 

 

Looking forward to iOS 7 on my iPhone 5.

 

I wonder if it will be available for my old 4, which my wife still uses.

Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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post #8 of 39
Quote:
Originally Posted by helicopterben View Post

I hope its a Rumor and if its not then Apple is getting desperate.

Where is the big Screen option? Just squeezing out of 1 phone strategy will not last forever. I know there is 4s and 4 but that's the game Apple seems to be failing at.

Give options on newer models!

It's not either/or.
I wanted dsadsa bit it was taken.
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I wanted dsadsa bit it was taken.
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post #9 of 39
Quote:
Originally Posted by hill60 View Post

Looking forward to iOS 7 on my iPhone 5.

I wonder if it will be available for my old 4, which my wife still uses.

If the phone is still being sold its generally supported.
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I wanted dsadsa bit it was taken.
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post #10 of 39
Quote:
Originally Posted by Tallest Skil View Post

Same as iPods since… what, forever? Most of the line's existence, at least.

 

Recycle your iPod, get 10% off the next one. If it worked or iPods, it'll work for iPhones.

 

Good on Apple.

 

What...wait 10% off. So if I trade in my IP4s for a IP5s...it will get 10% off the $199? Or were you hoping for the off contract price of i don't know $600? Either way that is not much of a savings..... Might have worked for lower priced iPods but not so for higher priced contract phones.

Tallest Skil:


"Eventually Google will have their Afghanistan with Oracle and collapse"

"The future is Apple, Google, and a third company that hasn't yet been created."


 


 

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Tallest Skil:


"Eventually Google will have their Afghanistan with Oracle and collapse"

"The future is Apple, Google, and a third company that hasn't yet been created."


 


 

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post #11 of 39
Quote:
Originally Posted by helicopterben View Post

 


Various options on newer phones is always positive more than negative. It also impacts the competitor sales and boost Apple sales in a big way. Its not always about selling in numbers but also about killing the competition before it grows big!

So now how about your BS without Steve Jobs? 

 

Did I refuse to acknowledge Apple's (S.J) Success?  Looks like you are losing money in aapl.

 

It's never made sense to compete against yourself, especially for a fraction of the market.   If the phone market was leaning 40% 5" and 40% 4" and 20% everything else, 5" would make sense.   But it isn't so Apple doesn't.   There is no 'job' a 5" phone can do that a 4" phone can't do, unlike an ipod shuffle vs an iPod Classic.

 

For 4 quarters after Apple sold the iPhone,  BlackBerrys sold more quarter over quarter.   By your argument, Apple should have build a keyboard based phone.   Granted, there is a fine line between head in the sand, and stay the course discipline, but I'll venture that the phone market will be 2 vendors making the majority of profits for quite a while.  If the market grows (which it will for another 3 years), everything is fine with Apple splitting profits 49-49, and let microsoft/nokia/RIM/AndroidCabal split the remaining 2%.  

 

a 5" phone only cannibalizes the 4" and the iPad Mini LTE versions.  If you buy an Apple phone for ONLY THE SCREEN SIZE, you're not buying apple, you're buying a big phone, and not the apps, not the customer service, not the ecosystem, not the halo, etc, etc, etc.  In short, you're a spot buyer, and in a niche that few people are at.  Apple doesn't market to the few.   

 

 

This is never about killing the competition... it's letting the competition kill themselves trying to differentiate.   Mr Cook's model is to make things at an amazing cost to produce, with amazing quality, with an amazingly low product to market budget.   Apple's Model (on top of that) is to be 'late' to market with what the Middle 50% want, and let quality, app choice, ease of use (not of the hw, but of the ecosystem) drive consumer choice.  

 

Never saying never, Apple will likely have a 5" phone... in 2-3 years, once the 3.5" form factor is retired.   That to me is the only reason why I consider a 'cheap iPhone' as a remote possibility... to accelerate the 4s retirement party by a year.

 

As for those losing money in apple, they are the late money. those of us in at 40 are still at a 11bagger, plus effectively a 30% dividend on the cost basis.  We're doing okay;-)

post #12 of 39
Quote:
Originally Posted by helicopterben View Post

I hope its a Rumor and if its not then Apple is getting desperate.

Where is the big Screen option? Just squeezing out of 1 phone strategy will not last forever. I know there is 4s and 4 but that's the game Apple seems to be failing at.

Give options on newer models!

Ok, I'll bite, because I will enjoy using you as an example of those who can't see how Apple works, even when Tim Cook spells it out for you.

He says, Apple won't release a larger-screened phone because it would mean too many trade-offs, and thus it could not be up to Apple's standards. In other words, the technology isn't there yet. Batteries are not up to it, GF2 film is in short supply, IGZO screens aren't available yet . . . do you need more?

You should realize these things, but all you know is that Samsung can crank out big-screen dodgy junk with AMOLED screens, and HTC can make a few million Ones, where Apple would have to be prepared to make ten or twenty million.

If these technical problems were solved in a cost-effective way, we would have already had a retina iPad mini, right? Right?

I don't want to see you post this dumb stuff again. Ever. Technology and ruthless attention to detail is what determines what Apple releases, not the wishes of the glitz-driven geek minority.

Edit: Plus what TheOtherGeoff says above, but I think they'll solve the bigger-screen problems sooner than he says. I think they're waiting for IGZO or something similar.
Edited by Flaneur - 6/6/13 at 12:36pm
post #13 of 39

This is another (spectacularly) poorly worded article.  

 

The way it's written, a customer could get a $200 iPhone on contract from the Apple store, then trade it in a year later for the same $200 they paid previously, and get a new one.  The following year, they could then trade in the "free" phone from the previous year for another $200.  From then on, Apple would have to pay each customer $200 a year to take an iPhone home.  

 

I don't for a second think this is true, but that's the implication from the way it's worded. 

post #14 of 39
Quote:
Originally Posted by helicopterben View Post

I hope its a Rumor and if its not then Apple is getting desperate.

Where is the big Screen option? Just squeezing out of 1 phone strategy will not last forever. I know there is 4s and 4 but that's the game Apple seems to be failing at.

Give options on newer models!

You beat me to it. Except I was going to add "/s" to the end of my post.

"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
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"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
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post #15 of 39
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Originally Posted by Gazoobee View Post

I don't for a second think this is true, but that's the implication from the way it's worded.

let us not forget that you are on appleinsider, where you're neither supposed to care what the words actually say and mean, nor draw any attention to piss-poor writing lest you be chastised with "you know what the author meant". rather, please read between the lines and use assumption and speculation to conclude what the author actually meant to say about the rumour.
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post #16 of 39
Quote:
Originally Posted by TheOtherGeoff View Post

As for those losing money in apple, they are the late money. those of us in at 40 are still at a 11bagger, plus effectively a 30% dividend on the cost basis.  We're doing okay;-)

 

Do not have time to read your long post :)  Just read last couple of lines which were interesting.

 

Who told you anything? We? are doing ok.  Good for you but I did not tell or ask you.  Now as you have told me you are doing ok.   Would you post the screenshot of amount of shares you own along with average price. This would put more clarity on your claim lol

post #17 of 39

Well, that's the end of gazelle.com and the like. iPhones are where they make their profit.

post #18 of 39
Quote:
Originally Posted by Gazoobee View Post

This is another (spectacularly) poorly worded article.  

The way it's written, a customer could get a $200 iPhone on contract from the Apple store, then trade it in a year later for the same $200 they paid previously, and get a new one.  The following year, they could then trade in the "free" phone from the previous year for another $200.  From then on, Apple would have to pay each customer $200 a year to take an iPhone home.  

I don't for a second think this is true, but that's the implication from the way it's worded. 

But the phone is subsidised and Apple gets money for the phone which they sell to this resale company. It's a win win for Apple and American Apple customers.
Citing unnamed sources with limited but direct knowledge of the rumoured device - Comedy Insider (Feb 2014)
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Citing unnamed sources with limited but direct knowledge of the rumoured device - Comedy Insider (Feb 2014)
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post #19 of 39
Quote:
Originally Posted by Flaneur View Post

Ok, I'll bite, because I will enjoy using you as an example of those who can't see how Apple works, even when Tim Cook spells it out for you.

He says, Apple won't release a larger-screened phone because it would mean too many trade-offs, and thus it could not be up to Apple's standards. In other words, the technology isn't there yet. Batteries are not up to it, GF2 film is in short supply, IGZO screens aren't available yet . . . do you need more?

You should realize these things, but all you know is that Samsung can crank out big-screen dodgy junk with AMOLED screens, and HTC can make a few million Ones, where Apple would have to be prepared to make ten or twenty million.

If these technical problems were solved in a cost-effective way, we would have already had a retina iPad mini, right? Right?

I don't want to see you post this dumb stuff again. Ever. Technology and ruthless attention to detail is what determines what Apple releases, not the wishes of the glitz-driven geek minority.

Edit: Plus what TheOtherGeoff says above, but I think they'll solve the bigger-screen problems sooner than he says. I think they're waiting for IGZO or something similar.

Your condescension is misplaced. The HTC One and Galaxy S4 do not have battery issues. The One's display is absolutely brilliant and suffers from none of the Samsung issues. My opinion is Mr. Cook is stalling because he was caught off guard by the popularity of these phones, or he is misdirecting because there's something already in the pipeline, but his comments were disingenuous.

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post #20 of 39
Quote:
Originally Posted by LarryA View Post


Your condescension is misplaced. The HTC One and Galaxy S4 do not have battery issues. The One's display is absolutely brilliant and suffers from none of the Samsung issues. My opinion is Mr. Cook is stalling because he was caught off guard by the popularity of these phones, or he is misdirecting because there's something already in the pipeline, but his comments were disingenuous.

 

I have had no issues with my S4. My battery lasts about 30 hours of normal(for me) use.

Tallest Skil:


"Eventually Google will have their Afghanistan with Oracle and collapse"

"The future is Apple, Google, and a third company that hasn't yet been created."


 


 

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Tallest Skil:


"Eventually Google will have their Afghanistan with Oracle and collapse"

"The future is Apple, Google, and a third company that hasn't yet been created."


 


 

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post #21 of 39
Seems a good recycling / US price maintenance mechanism. Best not to have iPhone clogging up ebay. For some it might also be seen as a loyalty bonus.
post #22 of 39
Quote:
Originally Posted by helicopterben View Post



Various options on newer phones is always positive more than negative. It also impacts the competitor sales and boost Apple sales in a big way. Its not always about selling in numbers but also about killing the competition before it grows big!
So now how about your BS without Steve Jobs? 

Did I refuse to acknowledge Apple's (S.J) Success?  Looks like you are losing money in aapl.

Why does Android have to die? Don't get me wrong, a stolen product should be pulled. Apple is winning profit share.

Apple will release a 5" phone when it feels it's ready. No sooner. If you rush to respond to a competitor, you'll end up with Android honeycomb.
post #23 of 39
Sorry but I'm not buying it. A company that could do with a business push associates themselves with a bigger and very popular company via a gullible 'news' site claiming 'people close to the matter that won't give names because it hasn't been announced'. Yeah right. If there is any truth to this there aren't likely many that know the plan and thus jobs and business contracts would be at risk for leaking this.

A non tech's thoughts on Apple stuff 

(She's family so I'm a little biased)

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A non tech's thoughts on Apple stuff 

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post #24 of 39
Quote:
Originally Posted by geekdad View Post

What...wait 10% off. So if I trade in my IP4s for a IP5s...it will get 10% off the $199? Or were you hoping for the off contract price of i don't know $600? Either way that is not much of a savings.....Might have worked for lower priced iPods but not so for higher priced contract phones.

My guess is that there is a catch, assuming any of it is legit. Like say yes it is 10% off but only if you buy your phone full price.

Which might be okay if it was an iPhone 5S. S in this case being Single model that works on CDMA and GSM world wide

A non tech's thoughts on Apple stuff 

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A non tech's thoughts on Apple stuff 

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post #25 of 39
Quote:
Originally Posted by gwmac View Post

This offer essentially gives you squat for your old phone. They simply move your upgrade date up. 

 

Only by virtue of the fact that you just renewed. Unless you buy it full price. 

 

My guess, if this is true, is that it more a ploy to get folks to get back $50-75 if they use an upgrade they have not and not burn a replacement part doing the $149-199 OOW replacement in order to wait until the new announcement. Not like it is likely to be anything huge over the iPhone 5 anyway. So folks get a newer phone, the carrier gets a renewed contract, warranty on the dang thing and that service part can be used for someone that needs it more. 

A non tech's thoughts on Apple stuff 

(She's family so I'm a little biased)

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A non tech's thoughts on Apple stuff 

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post #26 of 39
Quote:
Originally Posted by charlituna View Post


My guess is that there is a catch, assuming any of it is legit. Like say yes it is 10% off but only if you buy your phone full price.

Which might be okay if it was an iPhone 5S. S in this case being Single model that works on CDMA and GSM world wide

 

I think you're right there has to be more to it than what the article says......but then 10% off a off contract iphone is not that much. People could seel them and at least double that price...

Tallest Skil:


"Eventually Google will have their Afghanistan with Oracle and collapse"

"The future is Apple, Google, and a third company that hasn't yet been created."


 


 

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Tallest Skil:


"Eventually Google will have their Afghanistan with Oracle and collapse"

"The future is Apple, Google, and a third company that hasn't yet been created."


 


 

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post #27 of 39
Why are they using Brightstar? They should use Apple Ireland...pay $200 for the old phone, sell it to Apple Ireland for $5 and write off the $195 loss. Then Apple Ireland resells it overseas for $150 and pays no taxes on it.

LOL...I'm kidding people! :-D
post #28 of 39
Quote:
Originally Posted by Wiggin View Post

Why are they using Brightstar? They should use Apple Ireland...pay $200 for the old phone, sell it to Apple Ireland for $5 and write off the $195 loss. Then Apple Ireland resells it overseas for $150 and pays no taxes on it.


LOL...I'm kidding people! :-D

hey, if they can do that and it's legal, why not?

how much stuff have you bought and/or sold online and paid no taxes on it? (and if you've done that it's likely you're outside the law, whereas apple is likely adhering to the law.)

take any deductions/credits/losses on your annual taxes? shame on you.

and i'm not kidding ...

seriously, i loathe corporate amercia and think that most corporations are the evilest bastards around. (although i must disclose that of all the corporations i hate, and it's all of them, i hate apple the least. heck, i actually *like* apple. so much so that i own their stock.) with that said, i don't fault them for taking every advantage to maximize the amount of they get to keep. they (and other monied entities) just do it better than we as individuals can because they have far more resources and money available to figure out *how* to do it.

wanna fix the problem, write the representatives you elected to represent you.
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post #29 of 39
Quote:
Originally Posted by LarryA View Post


Your condescension is misplaced. The HTC One and Galaxy S4 do not have battery issues. The One's display is absolutely brilliant and suffers from none of the Samsung issues. My opinion is Mr. Cook is stalling because he was caught off guard by the popularity of these phones, or he is misdirecting because there's something already in the pipeline, but his comments were disingenuous.

 

They do have battery issues, these devices are not perfect.

 

The popularity of the One is almost non-existant for the S4 it's a short lived moment of glory due to Samsung advertising saturating every form of media and the S4 being new.

 

If you think Cook is not aware that this is a normal course of events, taking a viewpoint longer than a month, then you've got another think coming.

Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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post #30 of 39
Quote:
Originally Posted by Pooch View Post

wanna fix the problem, write the representatives you elected to represent you.
Don't forget to sign your name on a check.
post #31 of 39
Quote:
Originally Posted by LarryA View Post

Your condescension is misplaced. The HTC One and Galaxy S4 do not have battery issues. The One's display is absolutely brilliant and suffers from none of the Samsung issues. My opinion is Mr. Cook is stalling because he was caught off guard by the popularity of these phones, or he is misdirecting because there's something already in the pipeline, but his comments were disingenuous.

My condescension I will gladly shift over to you. Samsung is using AMLOED displays, something which Apple would never use at this stage of half-assed development. Even if they would, Samsung would throttle the supply the way they have done with HTC.

HTC does have a brilliant display, but an example of Cook's trade-off realism would be illustrated by a question like, can whoever supplies it also supply 30 million or so to Apple, like right now, at the right price, at the right quality yield?

You should stifle your derision for Apple's market wisdom until you see what they are going to do with IGZO.
post #32 of 39
Quote:
Originally Posted by Pooch View Post

wanna fix the problem, write the representatives you elected to represent you.
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Originally Posted by jungmark View Post

Don't forget to sign your name on a check.

yeah, sorry about that ... every once in a while a synapse misfires and i think our elected officials actually have our interests at heart. not to worry, the thought has since vaporized.
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post #33 of 39
Quote:
Originally Posted by gwmac View Post

I seriously doubt not releasing a retina iPad mini was due to technological barriers. I think it had far more to do with financial and marketing reasons. They make a larger profit from selling the larger iPad so why would they give customers even one less reason to buy the more expensive model. Also Apple traditionally leaves one or more features off a product on purpose even if they are very capable of adding it to entice people to get the newer model and this is especially true of 1st gen product like the mini. 

This is the way Apple has always operated so it is nothing new. It has worked very well for them over the years and I don't blame them for following this strategy since it leads to more often upgrades by customers.  It is also true that Apple has extremely high quality standards and that sometimes leads to delays like adding 3G, LTE, copy/paste, and many other features where they were a year or more behind Android phones. Samsung and other Android makers follow the opposite model and throw everything but the kitchen sink at their new phones whether it is ready or not and hope something sticks. This is sometimes successful and sometime fails miserably. Their new gestures feature is a good example of something that probably needed more testing but their IR TV remote is an example of something that seems to work very well. 

The technological barriers to a larger iPhone have already been solved. It is fair to say that costs, supply restraints, or some other issues are in play but I don't buy Tim's lines about not making compromises on quality. Until they make a larger version of the iPhone I would expect nothing less than to talk down and offer excuses. My take is they were really caught off guard at just how popular these phones became and just need more time since that would be such an immense change to the platform. They also probably thought that increasing it to 4" would quell requests for an even larger version but it is pretty clear that Apple has little choice now but to add a larger phone. It is no longer a question of if but when. 

Do you not remember that the iPad mini HAD to come in at a low price? If you think Apple could have done that little package with a retina screen, even with a little larger package, at anywhere near a competetive price, then nothing you ever say again here should be taken seriously. Ever. Your first paragraph is scurrilous, libelous BS. I'll say it to you too: you'd better wait to see what they doing with IGZO, or you're going to look like the world's biggest fool.
post #34 of 39
Originally Posted by helicopterben View Post
Various options on newer phones is always positive more than negative. 

 

Maybe in theory; not always in practice.


Its not always about selling in numbers but also about killing the competition before it grows big!

 

No, for Apple it's about sales. You start to copy others, you lose the reason you exist in the first place.


So now how about your BS without Steve Jobs? 

 

What is this even supposed to mean?


Did I refuse to acknowledge Apple's (S.J) Success?

 

Do not equate Apple to Steve Jobs, please.


Looks like you are losing money in aapl.

 

I own no Apple stock. Find another theory.


Originally Posted by geekdad View Post
What...wait 10% off. So if I trade in my IP4s for a IP5s...it will get 10% off the $199?

 

Oh, I don't know the details for the iPhone deal, if real; that's just what they did for the iPods. It makes sense they'd do it for full-price models only, I guess.

Originally posted by Relic

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Originally posted by Relic

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post #35 of 39
On another news site: "Used iPhones collected in the U.S. will only be resold in emerging markets, where Apple%u2019s share is lower and demand for cheap devices is greater according to the report."

1frown.gif

So in Brazil, i will pay full price for a... used and older phone.
Way to go, Apple... sending the "trash" to "emerging markets".
1frown.gif
post #36 of 39
Quote:
Originally Posted by Overlord View Post

On another news site: "Used iPhones collected in the U.S. will only be resold in emerging markets, where Apple%u2019s share is lower and demand for cheap devices is greater according to the report."

1frown.gif

So in Brazil, i will pay full price for a... used and older phone.
Way to go, Apple... sending the "trash" to "emerging markets".
1frown.gif

Who says it will charge full price? It'll probably be a refurbished price or slightly lower.
post #37 of 39
Quote:
Originally Posted by TheOtherGeoff View Post

There is no 'job' a 5" phone can do that a 4" phone can't do

 

Granted, but there are certainly tasks that are done much more EASILY on a 5" screen than on a 4" (or, let's be honest, what is really a stretched 3.5" screen).

 


Quote:
Originally Posted by TheOtherGeoff View Post

If you buy an Apple phone for ONLY THE SCREEN SIZE, you're not buying apple, you're buying a big phone, and not the apps, not the customer service, not the ecosystem, not the halo, etc, etc, etc.

 

True enough. There are, though, as evidenced by posts to this very forum, some of us who just aren't bothering to replace our existing iPhones because what we really want is a larger screen, and a slightly stretched version of what we already have isn't a compelling enough reason to drop hundreds of dollars on a new phone. I already get most of the Apple experience with what I have now, and by not carrying any subsidy my monthly plan is cheaper. There's no point in me buying a new phone when it doesn't satisfy my primary want.

 

I don't know how many others feel the same way, but for me, screen size is pretty much the only obstacle to buying a new iPhone, and I'm not at all an outsider to the "Apple experience" or a "spot buyer."

post #38 of 39
Quote:
Originally Posted by TheOtherGeoff View Post

 

It's never made sense to compete against yourself, especially for a fraction of the market.   If the phone market was leaning 40% 5" and 40% 4" and 20% everything else, 5" would make sense.   But it isn't so Apple doesn't.   There is no 'job' a 5" phone can do that a 4" phone can't do, unlike an ipod shuffle vs an iPod Classic.

 

For 4 quarters after Apple sold the iPhone,  BlackBerrys sold more quarter over quarter.   By your argument, Apple should have build a keyboard based phone.   Granted, there is a fine line between head in the sand, and stay the course discipline, but I'll venture that the phone market will be 2 vendors making the majority of profits for quite a while.  If the market grows (which it will for another 3 years), everything is fine with Apple splitting profits 49-49, and let microsoft/nokia/RIM/AndroidCabal split the remaining 2%.  

 

a 5" phone only cannibalizes the 4" and the iPad Mini LTE versions.  If you buy an Apple phone for ONLY THE SCREEN SIZE, you're not buying apple, you're buying a big phone, and not the apps, not the customer service, not the ecosystem, not the halo, etc, etc, etc.  In short, you're a spot buyer, and in a niche that few people are at.  Apple doesn't market to the few.   

 

 

This is never about killing the competition... it's letting the competition kill themselves trying to differentiate.   Mr Cook's model is to make things at an amazing cost to produce, with amazing quality, with an amazingly low product to market budget.   Apple's Model (on top of that) is to be 'late' to market with what the Middle 50% want, and let quality, app choice, ease of use (not of the hw, but of the ecosystem) drive consumer choice.  

 

Never saying never, Apple will likely have a 5" phone... in 2-3 years, once the 3.5" form factor is retired.   That to me is the only reason why I consider a 'cheap iPhone' as a remote possibility... to accelerate the 4s retirement party by a year.

 

As for those losing money in apple, they are the late money. those of us in at 40 are still at a 11bagger, plus effectively a 30% dividend on the cost basis.  We're doing okay;-)

But what if you want all the things you point out in the highlighted portion....but just on a larger screen?

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"The future is Apple, Google, and a third company that hasn't yet been created."


 


 

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Tallest Skil:


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post #39 of 39

Quote:
Originally Posted by Flaneur View Post

[...] Samsung can crank out big-screen dodgy junk

 

I think people tend to exaggerate that issue. I spent half-an-hour side by side with my daughter today, her using her big-screen Samsung, me with a Retina iPhone. The quality of my screen was better, but hers was hardly "dodgy." It looked good. Maybe not quite as good as my iPhone, but I would certainly be satisfied with it. If they weren't right side-by-side I doubt the perceived difference would be enough for anyone to choose one over the other.

 

The difference in quality is small enough that I might even argue that it's not enough to matter -- certainly less than between the Retina and non-Retina iPad -- and besides, I'd trade that small hit in quality for a bigger, easier to read, easier to use screen in half a heartbeat.

 

Quote:
Originally Posted by Flaneur View Post

He says, Apple won't release a larger-screened phone because it would mean too many trade-offs, and thus it could not be up to Apple's standards. In other words, the technology isn't there yet. Batteries are not up to it, GF2 film is in short supply, IGZO screens aren't available yet . . . do you need more?

 

 

If any of that is true. I don't believe it is. I think it's bullshit. Not that's there's anything wrong with that...

 

I have no doubt whatsoever that Apple could now build an iPhone with a larger screen in sufficient quantities and with consistent quality IF THEY WANTED TO. They just don't want to, and all the rhetoric about trade-offs is just a stalling/deflection tactic.

 

Who can blame them? As long as the current design sells out as fast as they can make them, what's their motivation to deviate from that form-factor? Maybe a bigger iPhone would sell even better than the existing one, but maybe, just maybe, it would be a flop. At this point there's no reason for Apple to find out.

 

Of course, you don't want to tell potential buyers that you're waiting for them to stop buying what you have now before you offer them something different. A speech like that would obviously be the last one Tim ever gave. So, instead, Mr. Cook says, "We understand that you THINK you want a big screen phone, but the reality is that what we're giving you now is actually better than what you think you want." It's pure spin doctoring, but it reinforces the brand instead of diluting it.

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