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Apple is keeping it pricey with a $49 cable for its new Thunderbolt interface.  (Source: Ubergizmo)

  (Source: iFixIt)

Apple's Thunderbolt cable contains over 10 chips  (Source: iFixIt)
But this cable has chips, so it must be worth it!

Apple, Inc. (AAPL) is borrowing a play from Monster Cables offering a cable that's almost as pricey as the peripherals it plans to support.  The new Thunderbolt cable will retail for $49 USD.

Plugging in to the Mini Display Port of new MacBook Pros and iMacs, the cable offers support for "Thunderbolt", a new high speed communications standard from Intel Corp. (INTC).  With the first peripheral (a RAID drive bay from Pegasus) launching, attention has turned to this pricey little number.

IFixIt tore the white cable apart and found a pair of Gennum GN2033 chips hiding beneath the sheathing, with one on each connector of the cable.  In total there were also 10 other smaller tiny chips and an assortment of transistors, etc.

Gennum's webpage brags that its chip takes normal cables and offers "sophisticated signal boosting and detection functions required to transfer high-speed data without errors."

Of course nobody seems to know how much these chips cost so it's hard to say exactly how much profit Apple is pulling in off the cables.

Adoption is expected to be slow for the standard.  Like Apple's original Firewire standard, the price of the communications band (in this case the cable) offers a barrier for market entry.  It doesn't help that Hewlett-Packard, Company (HPQ) already abandoned plans for Thunderbolt, or that Sony Corp. (TYO:6758) has released a special version of the tech that relies on a modified USB 3.0 optical port.  

And there's the question of USB 3.0, which has already seen much more broad adoption.  USB 3.0 offers transfer speeds of up to 4 Gbit/s.  While only about half the speed of the current Thunderbolt implementation, that's still pretty blazing fast so the question remains how many customers will actually notice a difference.

To Monster Cables' credit, at least it only charges $29 for its "gold-plated" USB 2.0 cables, which it brags "rejects noise" and works to "maximize signal integrity."  Sound familiar?



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RE: Pricing?
By TakinYourPoints on 7/1/2011 5:55:55 AM , Rating: 3
Nailed it. The people who would buy this are in the pro AV market, and they are willing to pay for this level of performance that very little outside of fiber would get you, and that costs much more and doesn't offer bi-directionality and the daisy-chaining of storage, displays, and other kinds of hardware like Thunderbolt does.

BOM is also a terrible way to judge value, especially when it comes to high-end low-volume gear aimed at a niche professional market. Utility and scarcity drives cost in the market at that point. If you want speed and utility, especially for bleeding edge technology, you pay for it.

And if it still bothers you, wait, Monoprice should have the same cables for much less soon enough. Either way it is much cheaper than the SCSI example you provided.


"I mean, if you wanna break down someone's door, why don't you start with AT&T, for God sakes? They make your amazing phone unusable as a phone!" -- Jon Stewart on Apple and the iPhone














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