wanderso

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wanderso
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  • Huawei may be open to selling its 5G modem, but only to Apple

    Each one of these seem like a possIble “deal with a possible devil”, but may be a required path.  Recall though that Apple has this same problem at the very beginning of the iPhone. They shipped a 2G model when 3G was coming to market. At the time, despite having plenty of Apple products at home, I bought my last blackberry, which happened to be 3G and thus I was stuck in a 2 year contract.   

    My first iPhone was the 3GS.  

    In today’s reality, 4G is still “good enough” for Apple to use until later 2020 because the true use cases for the speed benefits of 5G are still materializing.  Apple has done this strategy time and again. 

    When 5G is prevalent, we may still be getting robbed by the rates that most US carriers charge. Thus, it will be just a faster rush to hitting a data cap. 

    5G’s true promise may be for in the home, giving the Comcast’s of the world a true run for the money with consumers wanting data access.  

    If the carriers are smart, they will realize that they can do much the same with in home options as they have been in killing off traditional land line phones for many homes. They would just help many to truly cut the cord.  This will require easing data caps and reducing throttling of connection speeds. 

    One last thought-  there is a time when we may all have high bandwidth needs but the infrastructure of the internet can’t truly handle the load, regardless of how we connect to it. It will be like a Ferrari stuck in rush hour traffic.  Or the earlier days of the AT&T network when it was the only option for the iPhone. 


    mac_dogwatto_cobra
  • Editorial: Why Apple isn't 'slashing prices' in China

    wanderso said:
    While the focus of this article is specific to iPhone pricing in China, I believe that Apple needs to revive an entry level iPhone in their lineup that isn’t simply continuing to produce last year’s model at a lower price.   Much of the internals can still be from the old phone, but having something that is new to this less expensive phone brings appeal to budget conscious buyers.  I realize that the XR could be said to fulfill that, but it still isn’t quite at the right price point for what I am meaning.  

    Why do this?  Apple is attempting a further shift towards services.  There is a hardware $$ barrier of entry to these services set by the prices for Apple premium products.  By having “budget friendly” options, the potential base for these services greatly expands.  One may argue that budget conscious buyers may be less apt to buy these services, but people on tighter budgets seem to always find a means to pay for entertainment options (for example) at the level that they can afford.  If Apple services were strong enough from a product sales mix perspective, they could sell the phones at much lower margins and make up the difference (and more!) through this strategy.   Apple’s huge cash horde allows them to consider to enter a market with deeper investments than virtually all of their competitors. Sometimes these investments come in the form of less margin.  
    If Apple does not do this, their services uptick will not reach the dominance that they could. 
    How cheap does hardware have to get to reach people who will actually pay for these services? People buying $400 phones aren't paying for top tier services. They are stealing movies.

    Samsung couldn't sell Milk music to its $200 ASP audience of smartphone buyers. Why do you suppose? 

    Google can't sell half the apps to its Play audience despite having twice the volume of people.

    Subsidizing hardware sometimes makes sense: Xbox and Playstation were always sold at or below cost, but they made it up in licensing $80 games. How will Apple break even on phones and make enough to replace that with services? It won't. Much smarter to be an Apple than to be a Samsung, which is pretty much exactly what you're saying Apple "needs" to be to gain critical mass. Does not appear to be true.  
    Stating holistically that people paying $400 for a phone are thieves is a huge, and frankly, offensive leap in your argument.  The other notes you share bring merit.

    Auto manufacturers sell lower price, entry level vehicles to get people into the market and connect to the brand.  They don’t offer 3 year old models packaged as “new” like Apple does with the iPhone 7 for $449.

    Many people with lesser means pay for premium, but still affordable in small chunks services every day.  Starbucks is an example when coffee was otherwise 50 cents.

    Many other people also buy things based on value, even if they have the financial means to pay top dollar for an iPhone XS Plus.  

    Most printers are also sold at a loss. The manufacturers make it up on the consumables.   I’m not advocating for Apple to do that.  
    muthuk_vanalingam
  • Feds bust $900,000 iPhone repair & return scam in Oregon

    Umm... this is weird. It actually reveals a flaw in Apple’s identification of their phones.  Unlike many other consumer products, there is no physical serial number, QR code or bar code representing one on the case of an iPhone.  If there was, repair could simply scan it and verify if the phone is authentic, who it is registered to, and under warranty.  If the scammer copies a real serial number, it could be flagged as a duplicate. Even having the serial # inside the phone would work, although then the tech has to crack it open.   The serial number can still also be contained in the software, just also have a physical one. The flaw in my suggestion comes when Apple or a 3rd party replaces the case with one that is not original, but those different number case backs could also be registered to the previously repaired phone. A 3rd party replacing the case back already voids the warranty.   Apple could also install a passive RFID tag inside the phone instead of the above suggestions with the device’s serial number. These can be scanned by the service tech before cracking it open. Don’t get paranoid, it can be a near field RFID (set the phone on a plate like when you charge an iPhone 8 or newer). 

    DanManTXphotoeditormatteblack13watto_cobra
  • Apple Watch credited with saving life days after ECG feature launched in Europe

    In the US, with the co-insurance that one has to pay on most plans for such things as these tests, the price for an Apple Watch 4 could be considered basically “Free” in a sense as it may reduce one extra test that you might have requested. There are many other health benefits that come along with the watch if you use them. Some health insurance plans are experimenting with giving the the watches for Free as the health benefits of using them can greatly reduce costs in the future in the form of illnesses stemming from a sedentary life.  I agree from above that physicians will not normally order such a test without evidence of needing to do so. 

    I know a person who justifies his purchase of tools (if a rental is not available) to perform repairs as “Free” because they would be paying many times more for the cost to hire someone to do the work.  


    watto_cobra
  • Editorial: Why Apple isn't 'slashing prices' in China

    While the focus of this article is specific to iPhone pricing in China, I believe that Apple needs to revive an entry level iPhone in their lineup that isn’t simply continuing to produce last year’s model at a lower price.   Much of the internals can still be from the old phone, but having something that is new to this less expensive phone brings appeal to budget conscious buyers.  I realize that the XR could be said to fulfill that, but it still isn’t quite at the right price point for what I am meaning.  

    Why do this?  Apple is attempting a further shift towards services.  There is a hardware $$ barrier of entry to these services set by the prices for Apple premium products.  By having “budget friendly” options, the potential base for these services greatly expands.  One may argue that budget conscious buyers may be less apt to buy these services, but people on tighter budgets seem to always find a means to pay for entertainment options (for example) at the level that they can afford.  If Apple services were strong enough from a product sales mix perspective, they could sell the phones at much lower margins and make up the difference (and more!) through this strategy.   Apple’s huge cash horde allows them to consider to enter a market with deeper investments than virtually all of their competitors. Sometimes these investments come in the form of less margin.  
    If Apple does not do this, their services uptick will not reach the dominance that they could. 
    DAalseth