The amount of money Apple gets from AT&T per iPhone has allegedly been confirmed
http://www.thestreet.com/s/sweet-iph.../10369581.html
"People close to the companies tell TheStreet.com that AT&T is paying Apple a bounty of between $150 and $200 per phone -- plus $9 a month per phone over the life of the typical two-year customer contract."
That's up to $416 per iPhone!
If this is true, I wonder what it will do to the stock. Well, I wonder how much it will do the stock.
"People close to the companies tell TheStreet.com that AT&T is paying Apple a bounty of between $150 and $200 per phone -- plus $9 a month per phone over the life of the typical two-year customer contract."
That's up to $416 per iPhone!
If this is true, I wonder what it will do to the stock. Well, I wonder how much it will do the stock.
Comments
http://www.thestreet.com/s/sweet-iph.../10369581.html
"People close to the companies tell TheStreet.com that AT&T is paying Apple a bounty of between $150 and $200 per phone -- plus $9 a month per phone over the life of the typical two-year customer contract."
That's up to $416 per iPhone!
If this is true, I wonder what it will do to the stock. Well, I wonder how much it will do the stock.
I still just consider this rumor, no matter how the reporter characterizes it... Unless it's coming from Apple or at&t, that is.
Revenue streams for each company from the iPhone:
Apple -
iPhone itself
Service fee kickback
iTunes content sales
AT&T -
Activation
Remaining monthly service fees
Seems like the scales are tipped heartily in Apple's favor unless monthly service generates that much profit for AT&T.
Let me get this straight:
Revenue streams for each company from the iPhone:
Apple -
iPhone itself
Service fee kickback
iTunes content sales
AT&T -
Activation
Remaining monthly service fees
Seems like the scales are tipped heartily in Apple's favor unless monthly service generates that much profit for AT&T.
Well, if AT&T is paying Apple $150-200 per phone they sell, that means they're retaining making $400 or so on every phone they sell. That's an almost unheard-of profit for a reseller.
Well, if AT&T is paying Apple $150-200 per phone they sell, that means they're retaining making $400 or so on every phone they sell. That's an almost unheard-of profit for a reseller.
$150-200 bounty (above and beyond the cost of the iPhone to AT&T) is how I read it.