Print 37 comment(s) - last by Etern205.. on Aug 13 at 9:48 AM

Apple's education-only iMac loses quad-core processor, Thunderbolt

Apple last upgraded its popular all-in-one iMac desktop computers back in early May. The refresh brought new Core i5 and Core i7 quad-core processors along with Thunderbolt connectivity for both the entry-level 21.5" and higher-end 27" models.

The starting price for the 21.5" iMac is $1,199 and it gets you a 2.5GHz Core i5 processor, 4GB of memory, a 500GB hard drive, and an AMD Radeon HD 6750M GPU with 512MB of memory. A student discount drops the price down to $1,149.

Now, Apple is looking to further move into the education sector with an even cheaper iMac priced at $999 according to Mac Rumors. Unfortunately, the $150 price cut means that this iMac comes with some serious shortcomings.

The education-only model comes with a dual-core, 3.1GHz Core i3 processor, a measly 2GB of RAM, and a 250GB hard drive. The AMD Radeon HD 6750M GPU also has its onboard memory cut in half compared to the "standard" iMac. It also loses out on the Thunderbolt port included on all 2011-spec iMacs. All other features remain including the 1920x1080 display, FaceTime HD camera, and SDXC memory slot. 

The new iMac does come pre-installed with the OS X 10.7 "Lion".

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RE: all macs are neutered
By invidious on 8/8/2011 10:49:39 AM , Rating: 3
You can get a case/mobo/power supply barebones kit and easily shave $50 off of that.

Also you have a dedicated graphics card in your price breakdown, but Apple is only providing an integrated graphics with shared memory. Subtract $120 for the video card and add $50 to the motherboard for one with integrated video.

That brings you down below $600. Once you factor bulk pricing into the mix you are closer to $500. And now Apple is getting their usual 100% profit margin.

RE: all macs are neutered
By amanojaku on 8/8/2011 11:14:57 AM , Rating: 3
You and cochy are too hung up over accuracy. I was making a point: even if Apple paid RETAIL costs for putting together an iMac it would still make a profit. $200-$300 in profit from a unit cost of $1,000 is pretty damn good considering the slim margins on electronics. Apple is making much more than that, probably the $400-$500 you estimate, and that's for EDUCATIONAL sales, which are more heavily discounted than even volume contracts.

People want to know why Apple is profitable? Take the same guy's stuff, wrap it in aluminum, put a cool logo on the back that lights up, and charge 200% as the next guy.

Reminds me of a story my dad told me. Back in the 70's he saw kit PCs for sale. One sold for twice as much as the next unit, so my dad checked it out, along with the other customers, many of whom purchased the expensive unit. My dad couldn't find much of a difference, they seemed to perform the same. Finally, he pulls the sales guy aside and asks. The sales guy replies "they are the same, it's just one has a blinking LED, so people think it's doing more and faster." Consumers...

RE: all macs are neutered
By cochy on 8/8/2011 11:48:05 AM , Rating: 2
Guess there's a reason they have $70 billion in the bank. Can't blame Apple, it's elementary price/demand.

RE: all macs are neutered
By xaders on 8/8/2011 3:24:48 PM , Rating: 2
apple has $70+ billions dollars & more cash then the USA gov't. they can afford to give some iMac to donate education market. even Facebook founder/CEO that dont know how much he or his company are worth donated money to help New Jersey school district.

-( &

apple with steve jobs is a "control freak" & now "greedy." when microsoft had $40+ billion dollars in early 2000s, they have less now by starting dividend to return value to shareholders, & even bill gates donate his money to charity.

RE: all macs are neutered
By wallijonn on 8/8/2011 1:25:57 PM , Rating: 2
and that's for EDUCATIONAL sales, which are more heavily discounted than even volume contracts.

Actually, Apple has cut back on the Educational Discount, giving something like a $20 to $50 per unit discount. It's a lot less than it was in previous years. Hardly enough for a teacher, professor or instructor to choose it over a PC for their own use.

RE: all macs are neutered
By bah12 on 8/8/2011 12:09:59 PM , Rating: 2
Don't forget to add $120 back for the OS, assuming you are going to put Win7 on. You can argue Linux if you'd like, but if you are comparing it to a retail OSX then Win7 would be more appropriate.

There is certainly some markup, but it is no where near the extortion level Apple used to try.

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