Originally Posted by poksi
I do agree almost completely. The only thing I would add is that I believe Apple can make mid-priced phone also profitable. I may be wrong, but let Apple shows us. I still believe most of Android manufacturers haven't got a clue about what makes them profitable or not. Apple is specialist at that.
Anyway, thanks to understand what I was trying to say and thanks for points with arguments.
First: you're welcome
As to a mid-priced iPhone: yes... Apple "could". Anything from Apple will be profitable according to their product pricing. But would it be a "profitable" vs. the brand dilution and strengthen the eco-system i.e. App Store? I don't think so.
My experiences with Android users both young and old, are;
a) that they don't trust (for their kids!) or want an App Store... and many don't even have credit cards;
b) the younger ones are content sharing apps, pictures, movies and music by "SD card swapping" with their friends, and without an expensive dataplan (most are on 500mb/mo.);
c) and something that actually is a small advantage for Droids: the ability to swap batteries thru-out the day... again kids in particular (a couple in the back-pack), because business people are more often than not closer to a charger at their desk or in their cars;
d) it's "good enough" for their uses. This is the same argument for Windows vs. Mac. Again, I sell Macs of all kinds to my clients... but they are almost always fully loaded, just like their BMW's, Audi's and Mercedes (business expense). Their families get the middle-of-the-road HP's, Asus, and sometimes even... the bargain-basement do-everything grocery market Deal-of-the-Week.
Hardly any company is making money on PC's... just like mobile phones, except for Apple and of late Samsung.
For Apple specifically to get involved in that mid-to-bottom tier in computers or mobile, after so much success on the top end... would in itself be shocking. Apple has been at it's best "focusing" thru-out it's history. Samsung is profitable by flooding the market and overwhelming their competitors.
For the above reason, I don't really see Samsung as an Apple competitor at all. Actually, Samsung should be ignored just as Apple ignored Dell and Microsoft... and just do their thing: make insanely great products. Those that value that proposition will come, just as they always have. Apple w/o counting the iPad, is still somewhere around 10-12% of the PC market. I thoroughly expect at some time near, that will be about the percentage of iPhones vs. Android "The New Feature Phone" market. Apple has steadfastly refused to reverse the PC-percentage by offering "cheap".... why should they with phones?
One segment is owned by Apple and MUST be protected and advanced beyond reproach: iPad. No other company has it or comes close to it, in both consumer's mindset, nor surprisingly (especially for Microsoft)... in business adoption and usage. That strength and brand loyalty won't last forever, but as it stands... they have such a head start that it would really be shameful for them to lose it by concentrating their efforts on a phone market segment that doesn't value them, their eco-system, or what they stand for.
As always... just sayin'.....