Originally Posted by brlawyer
I must say it's always amusing to see comments like the above, particularly when I am one of the most rabid anti-Samsung and pro-Apple persons around here. My point is simply to note that:
- Apple is disappointed with the 5C sales;
[this isn’t a statement of fact, it’s a speculative spin created to by bloggers to brand some aspect of the world’s most successful mobile company as being in trouble when it is not. Apple never voiced any "disappointment" in its sales mix. Why would it? It turned out to be more favorable than expected! The only way to can turn this reality upside down is to insist that there is something bad about things turning out better than planned. Which in this example is plainly horseshit. ]
- the 5C was a problem in search of a solution;
[what does that even mean? You’re creating language as a solution in search of a problem. We can only really only speculate why Apple created the 5c rather than continuing to sell the old 5, but it sure appears it was an attempt to make the older, cheaper backup model more broadly attractive. And it appears that the primary goal was to react to a market where it appeared that pricing pressure was more of a constraint that it appeared to be. As it turned out, 5s sold much better than expected, so the contingency plan of the 5c wasn’t as important as apparently first thought. That’s a pretty luxurious "problem" to have. Spinning it as failure is simply nonsensical.]
- the company spent considerable money just to set up a different manufacturing line for a less-than-successful model;
[yes it cost Apple something significant to develop a new model. That model outsold all the BB, Nokia/WP and Android models that Apple’s competitors developed in the same market. They were less successful. So what’s your thinking in describing Apple’s insurance premium some catastrophic mistake while giving a pass to all the phone makers and mobile platforms that obviously failed in a much greater way?
How much did Google spend building two Moto X/G models that didn’t sell at all? They lost money. With ~13 million sales in its launch quarter, the 5c is one of the most successful smartphones to have ever been designed. How many other models have ever sold in greater quantities (iPhone 5, iPhone 4, maybe 3GS? Other makers sell their phones at 1/10 the margins, if not at a loss). You talk like you think the 5c must have lost money, simply because you want to believe an outrageous lie created to deceive and smear. Why not just look at the facts? the 5c is a high margin, high volume phone. Perhaps the 5-6th best selling modern smartphone ever.
Calling the 5c a flop is like calling Joe Montana a loser for not having won more Super Bowl titles. It is pure insanity.]
- no one cares about the 5C in most markets for the basic reason that its pricing is so close to that of the 5S;
[Again, you’re saying 13 million sales in a quarter were sold to "nobody?" Did "Nobody" buy Samsung’s Galaxy SIII and G S4? Repeating outrageous nonsense doesn’t factually support your position. Also, there are clearly millions of people for whom $100 is a significant consideration. Were that not the case, 2/3rds of Android buyers wouldn’t be picking up "free" junk phones still running Android 2.x when they could get a much nicer model for just ~$100 more.]
- realizing its mistake, Apple NOW reduces the price of the 5C to see who wants to buy it;
[So incentive pricing by Apple’s retail partners is something only done on the 5c? Have you ever paid any attention to how the majority of phones are sold? Also, the addition of a new, cheaper SKU with less storage (regardless of its utility or perceived value) is a "realization of mistake" only when Apple does it? What about when Google pays to develop two phones and neither one sells, and it liquidates the price and it still doesn’t move?]
- overall sales volumes have NOTHING to do with success as far as Apple is concerned - after all, the expectations were way higher than what numbers now show;
[This is just more nonsense. Pat yourself on the back for believing your own hot air. "Sales volumes have nothing to do with success?" What embarrassing garbage to dribble out, even hiding behind an anonymous handle. You’re trying to play the armchair quarterback, complaining about what you think an athlete should be able to score. Incredibly delusional.]
- for those of you with a minimum of knowledge on Apple's history, go check the PowerBook blunder of the 90s, when Apple TOTALLY misread demand (i.e., undershooting its expectations) and then struggled to satisfy an already angry market. Cook has failed and now he is trying to fix the problem.
[Except the reality was that Apple’s Powerbooks were profitable and popular, and the company failed to create enough of them while ending up with huge inventories of parts and poorly selling models like Performas, because it didn’t have very efficient operations back then.
The 5c is not even comparable, because the 5c has deeply eaten into the higher end of Android sales, sells at high margin, and Apple’s current operations are extremely efficient. It reacts to inventory levels in real time. Apple didn’t give any hint of having significant excess inventory, and it reports its channel numbers to analysts. The entire situation is a contrived, speculative lie propagated by a RIM fan site. Why you continue to want to believe this is sort of amusing and darkly entertaining.]
Case closed - by the way, no need to resort to ad personam nonsense. I am not a criminal lawyer anyway (and would never be).
[If that’s how you argue your case, I can’t image anyone sane paying you to defend them]