Tim Cook talks iPhone XS, Apple Watch, China tariffs on 'Good Morning America'

Posted:
in iPhone edited September 2018
In an interview with Robin Roberts from New York, Apple CEO touted the new iPhones and also spoke about some policy questions.

Tim Cook live on GMA


Tim Cook, appearing on ABC's Good Morning America Tuesday, demonstrated the iPhone XS and XS Max, while also answering questions posted via Twitter the day before. Roberts began the interview asking about the trade wars, and the announcement Monday of new tariffs on goods from China. Cook appeared live in ABC's Times Square studio in New York.

"The iPhone is assembled in China, but the parts come from everywhere including the United States," Cook said. "The glass comes from Kentucky, there are chips that come from the U.S., and of course the research and development is all done in the United States. So, I don't want to speak for them, but I think they've looked at this and said that it's not really great for the United States to put a tariff on those type of products."

"I'm optimistic," Cook said of the chance to avoid retaliatory action from China. "Trade is one of those things where it's not a zero-sum game... I'm optimistic that the two countries will sort this out and life will go on."

Roberts also asked Cook about what responsibility he feels now that Apple has become the first trillion-dollar company in U.S. history.

"From my point of view, Apple could only have been created in America, we are a deeply American company," Cook said, "so we feel tremendous responsibilty to help our country." He also talked about Apple's job creation, its plans for "opening facilities in all sorts of places," as well as the company's efforts to encourage all students to learn to code.

Roberts also asked about the high cost of iPhones, and whether customers are being priced out.

"We want to make an iPhone for everyone," Cook said, reminding Roberts of the lower-cost older models that remain available. "The way most people pay for these, as it turns out, is they do a deal with a carrier, and they pay so much per month. So if you look, even the phone that's priced over a thousand dollars, most people pay about $30 a month for it, and so it's about a dollar a day." He added that the iPhone has replaced the digital camera, the video camera, the digital music player, and other products that used to require a separate purchase.

"It's not about selling the most, but we've never been about selling the most, it's always about selling the best," Cook said, repeating previous remarks on the topic.

Regarding the Apple Watch, Cook talked about several of the recent stories about the Apple Watch alerting users to heart problems, before touting the new ECG capability on the Apple Watch Series 4. He also told Roberts about the portrait video feature and Memojis, although during the demo the Memoji of Cook's head briefly went on Roberts' body. The show had teased the segment with Memojis of both Roberts and Cook.

Tim Cook's Memoji


Watch the full segment here:



Cook was in New York Monday, when he visited the Apple Store in Soho.

Thanks Apple Soho and to our team around the world for the hard work you're doing this week and all year round! Can't wait for Friday. pic.twitter.com/E7Eisyyu1j

-- Tim Cook (@tim_cook)

Comments

  • Reply 1 of 16
    "We want to make an iPhone for everyone," Cook said, reminding Roberts of the lower-cost older models that remain available. "The way most people pay for these, as it turns out, is they do a deal with a carrier, and they pay so much per month. So if you look, even the phone that's priced over a thousand dollars, most people pay about $30 a month for it, and so it's about a dollar a day." He added that the iPhone has replaced the digital camera, the video camera, the digital music player, and other products that used to require a separate purchase.
    Called it. And this is how Apple gets away with raising prices. They tell themselves everyone is on some sort of upgrade program and raising the price of the phone only adds a few dollars to someone’s monthly bill. Tim is right about everything the smartphone replaced but it had replaced all those things when the starting price of the flagship model was $650 not $999.
  • Reply 2 of 16
    irelandireland Posts: 17,685member
    If they didn't ask about AirPower then the interview isn't worth anything as they asked for questions on Twitter and literally everyone was asking them to ask about AirPower. "1 trillion dollars" and the audience claps. Are they literally clapping for more expensive iPhones, or what?
  • Reply 3 of 16
    avon b7avon b7 Posts: 4,302member
    ireland said:
    If they didn't ask about AirPower then the interview isn't worth anything as they asked for questions on Twitter and literally everyone was asking them to ask about AirPower. "1 trillion dollars" and the audience claps. Are they literally clapping for more expensive iPhones, or what?
    I remember when Gruber completely bottled it when he had Phil Schiller for the taking on the subject of low storage capacities a few years back. If you have a CEO or high management in for an 'ehem' interview, you can be sure everything has been vetted beforehand and certain questions cannot be posed. Others can be asked but no follow up is allowed beyond the canned response.

    'It's about being the best'. I'd have to see a definiton of 'best' to understand that one but Tim forgot it is also about much more than that, but he knows the audience shouldn't hear about those other aspects.
  • Reply 4 of 16
    "We want to make an iPhone for everyone," Cook said, reminding Roberts of the lower-cost older models that remain available. "The way most people pay for these, as it turns out, is they do a deal with a carrier, and they pay so much per month. So if you look, even the phone that's priced over a thousand dollars, most people pay about $30 a month for it, and so it's about a dollar a day." He added that the iPhone has replaced the digital camera, the video camera, the digital music player, and other products that used to require a separate purchase.
    Called it. And this is how Apple gets away with raising prices. They tell themselves everyone is on some sort of upgrade program and raising the price of the phone only adds a few dollars to someone’s monthly bill. Tim is right about everything the smartphone replaced but it had replaced all those things when the starting price of the flagship model was $650 not $999.
    NEWSFLASH: First Noble Truth of the Buddha remains in effect
  • Reply 5 of 16
    Rayz2016Rayz2016 Posts: 4,788member
    "We want to make an iPhone for everyone," Cook said, reminding Roberts of the lower-cost older models that remain available. "The way most people pay for these, as it turns out, is they do a deal with a carrier, and they pay so much per month. So if you look, even the phone that's priced over a thousand dollars, most people pay about $30 a month for it, and so it's about a dollar a day." He added that the iPhone has replaced the digital camera, the video camera, the digital music player, and other products that used to require a separate purchase.
    Called it. And this is how Apple gets away with raising prices. They tell themselves everyone is on some sort of upgrade program and raising the price of the phone only adds a few dollars to someone’s monthly bill. Tim is right about everything the smartphone replaced but it had replaced all those things when the starting price of the flagship model was $650 not $999.

    What you actually said was:

    Let me guess, Tim will wax on about making Apple products affordable for everybody while the prices for what they announced last Wednesday have gone up. iPhone 8 started at $699, XR starts at $749. Prior to Wednesday the iPhone line started at $399, now it starts at $449. Apple Watch Series 3 GPS started at $329, Series 4 starts at $399. Series 3 GPS + cellular was $399, Series 4 is $499. The entry level Watch started at $249, now it’s $279. The most expensive iPhone 6 Plus (128GB) was $949. A 64GB iPhone XS Max is $1,099. You can argue that the price increases are justified but bottom line prices are going up.

    What Cook said was that most people don’t spring full price for a phone anyway. 

    So basically, you called nothing. 

    You’re welcome, by the way. 

    JWSClolliverjony0watto_cobra
  • Reply 6 of 16
    radarthekatradarthekat Posts: 3,151moderator
    "We want to make an iPhone for everyone," Cook said, reminding Roberts of the lower-cost older models that remain available. "The way most people pay for these, as it turns out, is they do a deal with a carrier, and they pay so much per month. So if you look, even the phone that's priced over a thousand dollars, most people pay about $30 a month for it, and so it's about a dollar a day." He added that the iPhone has replaced the digital camera, the video camera, the digital music player, and other products that used to require a separate purchase.
    Called it. And this is how Apple gets away with raising prices. They tell themselves everyone is on some sort of upgrade program and raising the price of the phone only adds a few dollars to someone’s monthly bill. Tim is right about everything the smartphone replaced but it had replaced all those things when the starting price of the flagship model was $650 not $999.
    The question remains; either it’s a value versus all
    those other products or it’s not, at each price as the product has evolved.  What’s missing in your comment is that it’s not merely replacing those other products in the same way early iPhones and cheaper Android phones have always replaced those products.  It’s replacing them with ever better versions; a better digital camera (and associated photo storage, search/retrieval, editing and viewing capabilities), same for video camera, same for music delivery and listening experience, which is what all music players have always represented (that’s their utility) and now Apple delivers better utility in these aspects than those earlier iPhones and versus cheaper Androids.  Etc, etc...  down the long list of stand-alone products an iPhone replaces.  
    edited September 2018 king editor the grateJWSClolliverwatto_cobra
  • Reply 7 of 16
    Rayz2016Rayz2016 Posts: 4,788member

    ireland said:
    If they didn't ask about AirPower then the interview isn't worth anything as they asked for questions on Twitter and literally everyone was asking them to ask about AirPower. "1 trillion dollars" and the audience claps. Are they literally clapping for more expensive iPhones, or what?

    Nope. 
    Theyre clapping for an increase in sales and a more profitable service division. 

    Or did you forget that the 1 trillion dollar cap occurred before these phones were released. 

    If you think it’s too expensive, don’t buy it. Apple ain’t twisting your arm. 
    edited September 2018 JWSCrepressthislolliverjony0watto_cobra
  • Reply 8 of 16
    radarthekatradarthekat Posts: 3,151moderator

    avon b7 said:
    ireland said:
    If they didn't ask about AirPower then the interview isn't worth anything as they asked for questions on Twitter and literally everyone was asking them to ask about AirPower. "1 trillion dollars" and the audience claps. Are they literally clapping for more expensive iPhones, or what?
    I remember when Gruber completely bottled it when he had Phil Schiller for the taking on the subject of low storage capacities a few years back. If you have a CEO or high management in for an 'ehem' interview, you can be sure everything has been vetted beforehand and certain questions cannot be posed. Others can be asked but no follow up is allowed beyond the canned response.

    'It's about being the best'. I'd have to see a definiton of 'best' to understand that one but Tim forgot it is also about much more than that, but he knows the audience shouldn't hear about those other aspects.
    Hmm, how does ‘the best’ in context of a business that focuses on competing to create premium products, endeavors to reduce its environmental footprint and leave the world better than it found it, etc, not cover it?  I think ‘... being the best’ pretty much says what any company would like to endeavor to be.  
    tmaylolliverwatto_cobra
  • Reply 9 of 16
    "We want to make an iPhone for everyone," Cook said, reminding Roberts of the lower-cost older models that remain available. "The way most people pay for these, as it turns out, is they do a deal with a carrier, and they pay so much per month. So if you look, even the phone that's priced over a thousand dollars, most people pay about $30 a month for it, and so it's about a dollar a day." He added that the iPhone has replaced the digital camera, the video camera, the digital music player, and other products that used to require a separate purchase.
    Called it. And this is how Apple gets away with raising prices. They tell themselves everyone is on some sort of upgrade program and raising the price of the phone only adds a few dollars to someone’s monthly bill. Tim is right about everything the smartphone replaced but it had replaced all those things when the starting price of the flagship model was $650 not $999.
    The question remains; either it’s a value versus all
    those other products or it’s not, at each price as the product has evolved.  What’s missing in your comment is that it’s not merely replacing those other products in the same way early iPhones and cheaper Android phones have always replaced those products.  It’s replacing them with ever better versions; a better digital camera (and associated photo storage, search/retrieval, editing and viewing capabilities), same for video camera, same for music delivery and listening experience, which is what all music players have always represented (that’s their utility) and now Apple delivers better utility in these aspects than those earlier iPhones and versus cheaper Androids.  Etc, etc...  down the long list of stand-alone products an iPhone replaces.  
    Sure but Apple added things like retina, Touch ID, 3D Touch, improved materials etc. without raising the price. It’s clear now that with mostly flat unit sales the way Apple gets growth is via raising the MSRP. And now that more people are on upgrade plans via zero interest loans it’s easier for Apple leadership to justify raising the price. I do think it’s pathetic that these $1K+ phones which support fast charging still ship with a 5W charger. Really Apple? 
  • Reply 10 of 16
    avon b7 said:
    ireland said:
    If they didn't ask about AirPower then the interview isn't worth anything as they asked for questions on Twitter and literally everyone was asking them to ask about AirPower. "1 trillion dollars" and the audience claps. Are they literally clapping for more expensive iPhones, or what?
    I remember when Gruber completely bottled it when he had Phil Schiller for the taking on the subject of low storage capacities a few years back. If you have a CEO or high management in for an 'ehem' interview, you can be sure everything has been vetted beforehand and certain questions cannot be posed. Others can be asked but no follow up is allowed beyond the canned response.

    'It's about being the best'. I'd have to see a definiton of 'best' to understand that one but Tim forgot it is also about much more than that, but he knows the audience shouldn't hear about those other aspects.
    What are those other aspects?
  • Reply 11 of 16
    "We want to make an iPhone for everyone," Cook said, reminding Roberts of the lower-cost older models that remain available. "The way most people pay for these, as it turns out, is they do a deal with a carrier, and they pay so much per month. So if you look, even the phone that's priced over a thousand dollars, most people pay about $30 a month for it, and so it's about a dollar a day." He added that the iPhone has replaced the digital camera, the video camera, the digital music player, and other products that used to require a separate purchase.
    Called it. And this is how Apple gets away with raising prices. They tell themselves everyone is on some sort of upgrade program and raising the price of the phone only adds a few dollars to someone’s monthly bill. Tim is right about everything the smartphone replaced but it had replaced all those things when the starting price of the flagship model was $650 not $999.
    The question remains; either it’s a value versus all
    those other products or it’s not, at each price as the product has evolved.  What’s missing in your comment is that it’s not merely replacing those other products in the same way early iPhones and cheaper Android phones have always replaced those products.  It’s replacing them with ever better versions; a better digital camera (and associated photo storage, search/retrieval, editing and viewing capabilities), same for video camera, same for music delivery and listening experience, which is what all music players have always represented (that’s their utility) and now Apple delivers better utility in these aspects than those earlier iPhones and versus cheaper Androids.  Etc, etc...  down the long list of stand-alone products an iPhone replaces.  
    Sure but Apple added things like retina, Touch ID, 3D Touch, improved materials etc. without raising the price. It’s clear now that with mostly flat unit sales the way Apple gets growth is via raising the MSRP. And now that more people are on upgrade plans via zero interest loans it’s easier for Apple leadership to justify raising the price. I do think it’s pathetic that these $1K+ phones which support fast charging still ship with a 5W charger. Really Apple? 
    "I do think it’s pathetic that these $1K+ phones which support fast charging still ship with a 5W charger. Really Apple? "

    I do agree with that.  At the very least, the X series models should ship with the fast charger.  It would've been a great way to differentiate them from the older iPhone 7 / 8 series.
    patchythepirate
  • Reply 12 of 16
    avon b7avon b7 Posts: 4,302member
    Your 'context' is my 'definition'. There is nothing there - at least until you, the listener imagine it - as he put nothing there.

    It is an empty statement but, that said, he declared 'selling' and in the context of the new phones so we should be able to at least tie the two together.

    When someone starts spouting off empty statements is when the interviewer needs to set things straight: 'Tim, what do you mean by 'best'? and not let the interviewee off the hook.

    When that doesn't happen it turns into a scripted exchange and quickly loses value.


    edited September 2018
  • Reply 13 of 16
    avon b7avon b7 Posts: 4,302member
    avon b7 said:
    ireland said:
    If they didn't ask about AirPower then the interview isn't worth anything as they asked for questions on Twitter and literally everyone was asking them to ask about AirPower. "1 trillion dollars" and the audience claps. Are they literally clapping for more expensive iPhones, or what?
    I remember when Gruber completely bottled it when he had Phil Schiller for the taking on the subject of low storage capacities a few years back. If you have a CEO or high management in for an 'ehem' interview, you can be sure everything has been vetted beforehand and certain questions cannot be posed. Others can be asked but no follow up is allowed beyond the canned response.

    'It's about being the best'. I'd have to see a definiton of 'best' to understand that one but Tim forgot it is also about much more than that, but he knows the audience shouldn't hear about those other aspects.
    What are those other aspects?
    Things like upsell, margins, 'values' called into question (on taxes, havens etc).
  • Reply 14 of 16
    "We want to make an iPhone for everyone," Cook said, reminding Roberts of the lower-cost older models that remain available. "The way most people pay for these, as it turns out, is they do a deal with a carrier, and they pay so much per month. So if you look, even the phone that's priced over a thousand dollars, most people pay about $30 a month for it, and so it's about a dollar a day." He added that the iPhone has replaced the digital camera, the video camera, the digital music player, and other products that used to require a separate purchase.
    Called it. And this is how Apple gets away with raising prices. They tell themselves everyone is on some sort of upgrade program and raising the price of the phone only adds a few dollars to someone’s monthly bill. Tim is right about everything the smartphone replaced but it had replaced all those things when the starting price of the flagship model was $650 not $999.
    The question remains; either it’s a value versus all
    those other products or it’s not, at each price as the product has evolved.  What’s missing in your comment is that it’s not merely replacing those other products in the same way early iPhones and cheaper Android phones have always replaced those products.  It’s replacing them with ever better versions; a better digital camera (and associated photo storage, search/retrieval, editing and viewing capabilities), same for video camera, same for music delivery and listening experience, which is what all music players have always represented (that’s their utility) and now Apple delivers better utility in these aspects than those earlier iPhones and versus cheaper Androids.  Etc, etc...  down the long list of stand-alone products an iPhone replaces.  
    Sure but Apple added things like retina, Touch ID, 3D Touch, improved materials etc. without raising the price. It’s clear now that with mostly flat unit sales the way Apple gets growth is via raising the MSRP. And now that more people are on upgrade plans via zero interest loans it’s easier for Apple leadership to justify raising the price. I do think it’s pathetic that these $1K+ phones which support fast charging still ship with a 5W charger. Really Apple? 
    "I do think it’s pathetic that these $1K+ phones which support fast charging still ship with a 5W charger. Really Apple? "

    I do agree with that.  At the very least, the X series models should ship with the fast charger.  It would've been a great way to differentiate them from the older iPhone 7 / 8 series.
    Just like the iPad Pro should ship with the 30W USB-C adapter. No excuse that it doesn’t.
    canukstorm
  • Reply 15 of 16
    chasmchasm Posts: 1,704member
    First: bearing in mind both the live audience and the TV audience, Tim Cook proved once again that he’s the right guy to be CEO. There is flat-out NO top corporate executive in America who can communicate these sometimes-complex concepts so eloquently, so clearly, and in such a way that connects with normal human beings.

    Second: blah blah blah AirPower — just shut up, please. This is GMA, not The ScreenSavers. Wrong audience, and if you’d connect with non-nerd reality a little more often, you’d know that.

    Third: regarding the price — it seems to me that increasing innovation in a mature product continues to incur massive R&D expenses. Rogifan_wrong seems to be both discounting the incredible new innovations Apple has packed into the Watch and iPhone and pretending that Apple’s R&D and pre-manufacturing costs for the device are zero.

    If that was true, then shouldn’t the Galaxy Note 9 cost way less than $1100? The Pixel 2 cost nearly a grand (and the Pixel 3 will cost more as well)? The Surface Pro? The S9+ about the same? If Apple’s just gouging, wouldn’t their next period profit margin shoot up beyond 50 percent?

    Oops, turns out R&D costs a crap tonne of money! Turns out completely revamping the internals of a smartphone every couple of years costs more to manufacture. The cost of most of the parts and the enormous costs of chip design rise over time. This is reality, not fantasy math that ignores reality.

    Finally, let me just point out that this year’s standard premium model, the Xs, is not even one single dollar more expensive than last year’s premium model, the iPhone X. Last year, there wasn’t a plus size of the iPhone X — had there been, it would have cost ... wait for it ... the same as the Xs Max! Thus, in point of fact, Apple keep prices the same, whereas Samsung and Google are actually raising prices this year — and bearing in mind that these phones are expensive but highly desireable compared to the iPhone 7 or 8 line, they actually created a version that is 95 percent of the iPhone X, but $250 cheaper.

    Honestly, some people spend their precious time on this earth actively looking for stuff to whine about rather than getting on with their lives ...
    edited September 2018 lolliverking editor the gratewatto_cobra
  • Reply 16 of 16
    chasm said:

    Third: regarding the price — it seems to me that increasing innovation in a mature product continues to incur massive R&D expenses. Rogifan_wrong seems to be both discounting the incredible new innovations Apple has packed into the Watch and iPhone and pretending that Apple’s R&D and pre-manufacturing costs for the device are zero.

    If that was true, then shouldn’t the Galaxy Note 9 cost way less than $1100? The Pixel 2 cost nearly a grand (and the Pixel 3 will cost more as well)? The Surface Pro? The S9+ about the same? If Apple’s just gouging, wouldn’t their next period profit margin shoot up beyond 50 percent?

    Oops, turns out R&D costs a crap tonne of money! Turns out completely revamping the internals of a smartphone every couple of years costs more to manufacture. The cost of most of the parts and the enormous costs of chip design rise over time. This is reality, not fantasy math that ignores reality.

    Finally, let me just point out that this year’s standard premium model, the Xs, is not even one single dollar more expensive than last year’s premium model, the iPhone X. Last year, there wasn’t a plus size of the iPhone X — had there been, it would have cost ... wait for it ... the same as the Xs Max! Thus, in point of fact, Apple keep prices the same, whereas Samsung and Google are actually raising prices this year — and bearing in mind that these phones are expensive but highly desireable compared to the iPhone 7 or 8 line, they actually created a version that is 95 percent of the iPhone X, but $250 cheaper.

    Honestly, some people spend their precious time on this earth actively looking for stuff to whine about rather than getting on with their lives ...
    This is not about whining as whining would be meaningless. The fact of the matter is that Apple has established a new premium tier these past 12 months with the X, Xs and Xs Max where prices have gone up
    significantly over previous top of the line iPhones. There is no spin that can explain away an increase in flagship pricing from the 7 and 7 Plus which were 649 and 769$ respectively to were prices are now. In many countries around the world the starting price of the Xr is even higher than the original starting price of the 7Plus. And I am not talking about foreign currency here but Dollar price at current exchange rates. 

    That is a significant jump in pricing in a very short period of time. You cannot do that as a company and not expect backlash of some kind. I was not on a upgrade path anyways as I still like my X. I will stay with Apple and upgrade next year or the year after, but I am not blind to the fact that Apple has priced many people out of their premium tier. And Apple should not be either. 
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