Apple's iPhone dumped by 'big three' Russian carriers over subsidies, marketing costs

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  • Reply 21 of 87
    jungmarkjungmark Posts: 6,928member
    I have a feeling this is going to happen in America by 2015. With rumors of Verizon not meeting their sales quota on the iPhone (and I have a feeling Sprint isn't either), I think they won't have much of a choice but to take a stance against Apple.

    Apple really needs to start offering more variety with their iPhone lineup. I really hope those rumored, ugly colored, budget iPhone pics are fake. They don't need to make a budget iPhone. They need to make a small, medium, and large iPhone for people who feel like size matters. Then, we can take those new iPhones and make them whatever color we want with a case/bumper.

    Can you imagine if the only Mac you could pick from was the Mac Pro 2012, 2010, and 2009 models? Or the 15" MacBook Pro 2012, 2011, and 2010 models - NO 13" option, NO MacBook Air models. That is essential what are options are with the iPhone right now - models 2012, 2011, and 2010.

    I doubt it'll happen here. If anything, maybe the carriers will go the TMobile route.

    As for multiple current models? Maybe the flagship and 5" "plus" model and low cost, off contract model but older models still sell. What's the point in designing a new phone and putting last years parts in it. Apple would have to differentiate it from the current flagship.
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  • Reply 22 of 87
    The telecoms have only screwed themselves. So screw 'em. Who cares?

    Sounds more like they saved themselves. It's a simple business decision to cut out a product line that lowers margins, especially if it takes them negative.
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  • Reply 23 of 87
    jfanningjfanning Posts: 3,398member
    Russians illegally imported and used the first-gen iPhone when it wasn't available in their country.

    Illegally imported? It was against Russian law to import a first gen iPhone? Wow, that is interesting, can you provide a link for this?
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  • Reply 24 of 87
    mikejonesmikejones Posts: 323member

    Quote:

    Originally Posted by Crowley View Post


    A unique competitive advantage to sell a product that loses you money is not much of an advantage.



    Who says they are losing money?


     




    Quote:

    Originally Posted by wakefinance View Post





    Sounds more like they saved themselves. It's a simple business decision to cut out a product line that lowers margins, especially if it takes them negative.


     


    Losing the customers they are pissing off will undoubtedly take them into the negative.


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  • Reply 25 of 87
    crowleycrowley Posts: 10,453member
    mikejones wrote: »
    Who says they are losing money?
    Negative margin means they're losing money on the average iPhone sale. The MTS CEO said it.

    Some sales just aren't worth it.
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  • Reply 26 of 87
    SpamSandwichspamsandwich Posts: 33,407member
    Perhaps [B][SIZE=3]Sergey Brin[/SIZE][/B] has something to do with this?
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  • Reply 27 of 87
    cash907cash907 Posts: 893member


    Sweet. I know who I'll be selling my iPhone to when it's time to upgrade in the fall. 

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  • Reply 28 of 87

    Quote:

    Originally Posted by MikeJones View Post


    Losing the customers they are pissing off will undoubtedly take them into the negative.



     


    Where are those customers going to go?  The top three carriers are no longer selling the iPhone, so it's not like people can jump ship from one to the other.  Had only one of them done this it would be a different story.

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  • Reply 29 of 87
    dedlybdedlyb Posts: 2member
    The Russian excuses have nothing to do with the decisions being made to drop Apple contracts. The decisions likely were made for the carriers by the government. The issue provoking the decisions has to do with security and financial issues, not marketing costs.

    NSA could explain their culpability but likely won't. Russia has agreed to exchange currency with China directly, without exchanging their funds into dollars first. China also has such an agreement with South Korea. Russians can probably get Samsung cellphones for a third the cost of iPhones, maybe even less.

    Whether we like it or not, the iPhone has become an instrument of war. Any nation worthy of defense must establish their own operating system as a defensive measure first and as a internal security measure second.

    Should the dollar fail, we won't be worried about iPhones anymore.

    A new law allows Voice of America to be broadcast within the U.S. now. That's a propaghanda mechanism, mind you.
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  • Reply 30 of 87
    genovellegenovelle Posts: 1,481member

    Quote:

    Originally Posted by wakefinance View Post





    Sounds more like they saved themselves. It's a simple business decision to cut out a product line that lowers margins, especially if it takes them negative.


    I just sounds like they run their businesses poorly to begin with if they are running a negative when the consumer is paying back the subsidy via monthly payments.  On the other hand, if the phone manufacturers follow this they will only have Samsung left to sell because all of the others should stop selling smart phones because they are losing money hand over fist.

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  • Reply 31 of 87
    esoomesoom Posts: 155member


    I suspect this has more to do with Huawei than Samsung, as Samsung has higher costs than Apple, relations are warming between China & Russia, Huwai is partially owned by the Chinese government, so I'm sure Huawei offered a killer deal on helping build out Russia's networking infrastructure with it's products, and it's phones, which are pretty decent Android phones, at least the flagship devices are.

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  • Reply 32 of 87
    tallest skiltallest skil Posts: 43,388member
    jfanning wrote: »
    Illegally imported? It was against Russian law to import a first gen iPhone? Wow, that is interesting, can you provide a link for this?

    Oh, it's entirely possible I'm misremembering. Perhaps it was something else about the process that was illegal...

    Here's an article about it, but it doesn't clarify whether it was the importing or the fact that they were unlocking the iPhones that was illegal...

    Mea culpa in advance, if necessary.
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  • Reply 33 of 87
    buzdotsbuzdots Posts: 452member
    deleted...
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  • Reply 34 of 87
    red oakred oak Posts: 1,124member
    Apple should buy one of the carriers if this becomes a longer term issue. Buy a carrier, ensure market distribution and direct access to cosumers

    Ditto for China and India if they run into the same issues
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  • Reply 35 of 87
    curtis hannahcurtis hannah Posts: 1,834member
    The areas in Asia seem to attacking iPhone most. Russians, Koreans, Chinese (not sure of but assume). Are there other Asian nations like Japan and middle eastern included?
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  • Reply 36 of 87
    ksecksec Posts: 1,569member
    jason98 wrote: »
    Every time I travel to Russia, my friends and relatives there ask me to bring them iPhone.  
    They can only buy one for $1k there while the unlocked iPhone is only $700 including tax in my local Apple store.

    This.

    The problems with Russia Carrier dropping them has absolutely nothing to do with iPhone demands. They are simply far too expensive compared to black market ones.
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  • Reply 37 of 87
    Did Snowden leak something about Iphone shared information?
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  • Reply 38 of 87
    dunksdunks Posts: 1,254member

    I can understand them baulking at the advertising component. However, as a retailer they have full control over the price to the consumer. There is nothing stopping them from adjusting the plan, the upfront fee or the monthly repayment on the handset such that every sale would result in a profit.


     


    All Apple needs to do play them off against each other:"OK there are now three tiers; the first carrier to sign gets the best deal, the second gets a slightly worse deal and the third gets the worst deal of the lot. How long can you afford to hold out while all your customers go to your competitors?"

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  • Reply 39 of 87


    And therefore making the Russian mafia and criminals extremely happy to charge a high cost premium for black-market iPhone's and increasing iPhone thefts from those who have 'em.

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  • Reply 40 of 87

    Quote:

    Originally Posted by MrENGLISH(TM) View Post



    Can you imagine if the only Mac you could pick from was the Mac Pro 2012, 2010, and 2009 models? Or the 15" MacBook Pro 2012, 2011, and 2010 models - NO 13" option, NO MacBook Air models.


     


    You mean, "can I imagine something that isn't true?" Why? I worry about real things.

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