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Print 25 comment(s) - last by leviathan05.. on Nov 8 at 2:56 PM

Holy Cow! That's cheap!

Last month, Best Buy jumped the gun a bit with pricing for the new Nokia Lumia 920 Windows Phone 8 device. At the time, the electronics retailer listed pricing for the smartphone at $149 with a new two-year contract.
 
However, AT&T has just officially opened up the pre-order lines for the Lumia 920, and it's only charging $99 with a two-year contract. Its lowly Lumia 820 sibling will be available for $49 with a two-year contract. Pre-orders begin tomorrow.

 
Microsoft CEO Steve Ballmer has already stated he expects that Windows Phone 8 sales and market share would “ramp quickly”, and this bargain basement pricing may be just the ticket to get some traction in the competitive smartphone market.
 
So what do you guys think? Is $99 for a flagship phone enough to get you to switch from iOS or Android to Windows Phone 8?

Source: Neowin



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holy cow
By Nortel on 11/6/2012 11:12:42 AM , Rating: 1
quote:
this bargain basement pricing may be just the ticket to get some traction in the competitive smartphone market.


They are absolutely losing money on every unit sold. This screams of desperation and I actually feel bad that they had to resort to almost giving away their flagship phone to gain any market-share.




RE: holy cow
By Wiggy Mcshades on 11/6/2012 11:19:53 AM , Rating: 5
AT&T is the one subsidizing it.


RE: holy cow
By Kyuu on 11/6/2012 11:46:14 AM , Rating: 2
Yeah I'm not sure you understand how the whole subsidizing thing works. The low on-contract price may be a benefit of the AT&T exclusivity.

Anyways, they can't win. People would've complained if it went for the "normal" flagship price of $199, now people are calling a good deal of $99 plus a wireless charging pad "desperation". Whatever. I'll still take it, and it certainly cements my decision to go for the Lumia 920 over the GNote2.


RE: holy cow
By Old_Fogie_Late_Bloomer on 11/6/2012 11:57:47 AM , Rating: 2
Yup...that $200 price difference is making me twitch. I really liked the Note 2 when I tried it but sheesh, $99? Especially when you consider the camera they put in there? Urgh...


RE: holy cow
By Mint on 11/6/2012 3:22:29 PM , Rating: 2
If I wasn't hooked on the Note's stylus, I would get a Lumia 920 for sure.

I hope Samsung brings its inevitable S-Pen software ports for Win8 tablets over to a WP8/WP9 Note at some point in the future.


RE: holy cow
By Kyuu on 11/6/2012 3:51:19 PM , Rating: 2
The S-Pen plus that big, beautiful screen was making me waffle between the Lumia 920 and the GNote2. But, saving $200 (which can go toward the purchase of a full-fledged tablet, or maybe even food or something unimportant like that) plus the desire to give WP8 a go is enough to push me to the 920, which is a beautiful phone in any case.

Plus, with that super-sensitive screen, I can hopefully use a regular stylus for jotting down notes and such anyway.


RE: holy cow
By lightfoot on 11/6/2012 12:29:26 PM , Rating: 3
quote:
They are absolutely losing money on every unit sold.

Not a chance. Not unless they also lose money on every iPhone sold. The iPhone is a far more expensive piece of hardware, so if you grant a Windows Phone or an Android Phone the same exact subsidy as an iPhone gets, they will end up being $100-$200 cheaper (which equates to $99 or free) after subsidy. The 16GB iPhone 5 is $649 before subsidy, or $199 after. That is a $450 subsidy.

With the same subsidy, the Nokia, at $99 would have a full retail price of $599.

There is absolutely NO chance that they are losing money on this phone.


RE: holy cow
By lightfoot on 11/6/2012 12:37:09 PM , Rating: 2
D'oh! I meant $549. Math fail.


RE: holy cow
By BZDTemp on 11/6/2012 3:18:04 PM , Rating: 2
I would not be so sure the 920 hardware is cheaper than the IPhone5 and in fact it could easily be the other way around.

As for somebody taking a loss on the 920. It could well be as both Microsoft and Nokia needs the platform to take hold so subsidizing some phones is simply a marketing expense.


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