Originally Posted by iSteelers
If the average family brings home as little as you say, then even a phone that is half of that budget should not be considered as those families have more pressing basic needs than a smart phone. As they have little money to spend, Apple would be wise marketing phones to people who do have the disposable income to spend on their products. There is no shame in that as there is no shame in not being able to afford Apple devices. I would like a Ferrari but alas cannot afford one right now. Should Ferrari create a car for those that cannot afford them? No, because there is no profit in it for them and that market is being served by plenty of others. And what does that have to do with larger screens? You want larger state of the art phones but then want them to be dirt cheap too. Those cheaper phones compromise in areas to get them to that price point. Samsung and HTCs flagships serve only a small portion of the Android market. Moto's phone serves even less, especially in developing markets. Apple may address this with a cheaper iPhone but only if there is enough money to be made. China and India may get their own phone because of the size of the market but Apple may be content to sell older models as their entry phones in other less lucrative markets.
Basically, what I am saying is:
If Apple wants something different with iOS instead of a new "mac-like" situation, and there's nothing wrong with it since it is a very profitable business and they make the best PCs, they need a budget device (less than 300 dollars no contract) with something compelling that no one can offer at that price point (since we leave in a facebook or twitter world, me thinks a retina screen and/or the same camera used on the iphone 5 is a great thing to get teenagers very interested) while still making a nice profit.
As the iPod touch shows, they can do it and be lucrative while doing it. But the real profit would be higher market share.
Than, and perhaps more importantly, a big screen device. That's it.
299 16gb iPhone A 4", A5
0 32gb iPhone 4" (5 sucessor)
99 64gb iPhone 4" (5 sucessor)
199 128gb iPhone 4" (5 sucessor)
199 64gb IPhone X 5"
299 128gb iPhone X 5"
399 256gb iPhone X 5"
You, and everyone else, know that Android flagships only sell because of big screens (and maybe extra storage) and they only started doing that because they cant engineer a smaller high end device.
With this strategy Apple could maintain brand prestige, sell many more devices and go toe to toe with Android in sales, and profit more, while making iOS much stronger (and Mac sales would grow accordingly).
I then gave my particular case as Apple as no offering that can satisfy my needs, be it a cheaper device + tablet or a premium 5" phone. Then we know very well what their strategy is related to memory. They are milking it and not pushing forward anymore. iOS looks like it is going in the right direction, and it is being hold back by the hardware offerings.
Apple could do that, put 1920*1200 on the macbook air, put the iPad retina resolution on the mini, go 4k on the retina Macs and the 10inch iPad very quick, no one else could, in fact they are waiting for Apple so prices come down before they go for it too.
In conclusion, we know the BOM for the iPhone 5, we know that for that model has already paid for itself and that software never stops. They could easely reach those price points and features and still make a profit that makes even the integrated Samsung envy. No one else could, because they don't master the tecnics and supply chain like Apple does, and Apple already has the resources.
So, why not? Because no one is pushing it, and they are waiting and waiting, going incremental on memory and ram, etc.
But since all flagships have huge problems (that Apple wouldn't have), I have to wait for Apple's 5" iPhone.
Since I have a Macbook air, a tablet by itself is irrelevant, so I for now have no other option but buy a cheap android device, root it, unlock bootloader, install recovery, flash a new kernel, flash a new ROM close to stock. Funny, right? Look at this:https://loja.vodafone.pt/homephone/telemovel.htm?id=72492-1&modelo=Sony-Xperia-L-Preto
Keep in mind that, most likely, the iPhone will never be updated past iOS 7, while the Xperia L will most likely be updated to 4.2 and 4.3 (same shit, I know) and maybe 5.0, unless they require 16 processor cores for it to run, but cyanogenmod will support for a long time.
If a zombie company can do that...
Apple could and should do better, otherwise it will keep going this route, and they have everything to avoid such things:
Edited by pedromartins - 8/7/13 at 11:23am