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Print 22 comment(s) - last by CarsonM.. on Feb 19 at 8:38 AM

$100 price cuts could be in store for iPhone, iPod touch

There is one subject that can strike both jubilation and hatred in the souls of Apple fans: price cuts. Apple learned this the hard way when it cut the price on the 4GB and 8GB iPhone just months after its initial introduction.

The $200 price cuts led to a revolt by iPhone customers – this was followed by an apology from Steve Jobs and $100 in-store credit to the Apple Retail Store/Apple Online Store.

If the recent report from 9to5Mac turns out to be accurate, there will be price cuts for two popular Apple product lines in the coming months. According to the site, the iPhone and iPod touch will get $100 price cuts across the board.

The recently-introduced 16GB iPhone and 32GB iPod touch will drop from $499 to $399 while the 16GB iPod touch will fall to $299. 9to5Mac reports that the 8GB iPhone and 8GB iPod touch will drop to $299 and $199 respectively before being discontinued altogether.

Falling flash prices are cited as the reason for the price cuts on the two product lines. In the case of the iPhone, Apple may also be looking to clear a path to provide a comfortable pricing point for an iPhone with 3G capabilities.

One should look no further than to Creative to see the falling costs of NAND flash memory used in portable media players (PMPs). Creative announced its 32GB Zen player in December 2007 and priced it at $329. Two weeks ago, Creative dropped the price of the 32GB Zen to $299.

9to5Mac's inside sources provided no details on other flash-based products like the iPod nano and iPod shuffle. Hopefully Apple's generosity on its higher end products will also extend to its bottom-feeders as well.



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RE: Commence Apple-bashing...
By sandalsocks on 2/18/2008 3:03:37 PM , Rating: 5
Apple screwing over early adopters? Don't early adopters take the HUGE risk of purchasing things at high prices and having the prices be cheaper later?

Look at the life cycle of the ipods, a new set at least every year, the price cut at this time is about time.

I'm not an Apple fan boy but geez, don't you realize that if you want something new and different right away you're going to pay a premium. No one is blaming the HDTV companies of the same times when they drop tv prices.


RE: Commence Apple-bashing...
By amanojaku on 2/18/2008 3:20:59 PM , Rating: 2
quote:
Don't early adopters take the HUGE risk of purchasing things at high prices and having the prices be cheaper later?


quote:
I'm not an Apple fan boy but geez, don't you realize that if you want something new and different right away you're going to pay a premium.


Amen! My friend was lusting after an iPhone, despite the fact that she already had a Sidekick with T-Mobile. "You're getting ANOTHER phone?" "Yeah! It's such a cute little accessory, I have to have it!"

$400 for a phone you don't need seems a bit much, in my opinion, so I laughed my @$$ off when I found out what happened. She bought the 8GB model and the following week the 16GB came out at $500. She gave the 8GB away as a birthday present and bought the 16GB. Poor girl, she doesn't even use the thing all that much and money is tight. I can't wait to see her face when the price cuts are announced.

I love gadgets as much as the next person, but some people are just born stupid. I mean, born consumers. :-p


RE: Commence Apple-bashing...
By AlphaVirus on 2/18/2008 4:37:39 PM , Rating: 2
quote:
I love gadgets as much as the next person, but some people are just born stupid. I mean, born consumers. :-p

That my friend is quote-worthy.

I had a similar case to yours. My sister in-law saw a commercial for the itouch and said "I want that, so I am going to buy it" regardless of the fact she is a poor college student. We went to radioshack since it was the first tech store in the mall and she saw both the Touch and Zune on the shelf and got confused. "Why is this one cheaper?" she said. I simply replied "Because it is not made by Apple"

Before the day was over, with the advice of mine and the other geeks around the other tech stores, she bought the Zune. To this day she is in love with it and carries it everywhere.


RE: Commence Apple-bashing...
By robinthakur on 2/19/2008 5:10:30 AM , Rating: 1
More like, "That one is cheaper because nobody wants the Zune and Microsoft couldn't give them away." I was lamenting the performance of the Zune with MS employees last week at an executive briefing, even they all had iPods and its unusual to hear them not evangelizing their own products, so it must REALLY suck.


RE: Commence Apple-bashing...
By fic2 on 2/18/2008 7:05:19 PM , Rating: 2
I think your friend is an iSheep and destined to live the indebt life of most Americans (yes, I am an American). Got to have the newer, shinier thing.


RE: Commence Apple-bashing...
By robinthakur on 2/19/2008 5:12:31 AM , Rating: 1
True in this case, but some people don't live their life on credit cards and just buy what they want, in this case Apple. Good luck to them, I say.


RE: Commence Apple-bashing...
By grampaw on 2/18/2008 3:41:35 PM , Rating: 2
Yup - early adopters do take the HUGE risk of purchasing things at high prices and having the prices cheaper later.

And I believe believe dropping the price by half for the iPhone barely past 8 months after introduction, and with a 2 year phone contract that Apple also is making big bucks on, is just a little much for me.

Maybe the "iFlock" could care less, however, as I've ranted and raved in many posts here already, the iPhone is the first and last Apple product I will ever buy.


RE: Commence Apple-bashing...
By sandalsocks on 2/19/2008 5:01:38 AM , Rating: 2
quote:
And I believe believe dropping the price by half for the iPhone barely past 8 months after introduction, and with a 2 year phone contract that Apple also is making big bucks on, is just a little much for me.


If its a little much for you then don't do it. By taking the plunge that person assumes the risk and premiums. If they complain later its their problem. Its no different for HDTV's, or real estate, they all have risk and peeps have needs.


RE: Commence Apple-bashing...
By OPR8R on 2/18/2008 4:41:22 PM , Rating: 2
Agreed, but it usually takes a while (like HDTV's) for the prices to come down. The iPhone/iTouch have been around for only a few months and there have already been two price cuts. Those two devices are still too expensive, IMO, but I almost feel for those who took the plunge...


RE: Commence Apple-bashing...
By kelmon on 2/19/2008 4:48:22 AM , Rating: 2
Much is said about "early adopters" but I'd be interested to know how long after a product release everyone thinks that a company is no longer ethically obliged to compensate early purchasers? In other words, how much time must pass before you are no longer considered an "early adopter"?

Personally, I did agree with the outcry over the original iPhone price drop because 2-months was too soon. For me, 6-months would have been OK.


RE: Commence Apple-bashing...
By sandalsocks on 2/19/2008 5:07:47 AM , Rating: 2
quote:
Personally, I did agree with the outcry over the original iPhone price drop because 2-months was too soon. For me, 6-months would have been OK.


Tech moves fast, maybe faster than you realize. Apple doesn't just drop the price to piss people off, they do it to stay competitive. If another company release a so called ipod killer then apple needs tos respond.

No matter how you cut it consumers win b/c of lowers prices. Those who spend big bucks on newly released products take a HUGE risk. If they don't know it they are stupid or are willing to pay the price. No different from any other tech, the life cycles are different.


"The whole principle [of censorship] is wrong. It's like demanding that grown men live on skim milk because the baby can't have steak." -- Robert Heinlein














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