Print 76 comment(s) - last by ira176.. on Oct 31 at 4:48 AM

If you want to purchase an iPhone from an Apple Store, forget about using cash or a gift card.

Apple is stepping up its efforts to limits resellers from getting their hands on the popular iPhone. Apple wants to crack down on those who buy, unlock and then resell iPhones to consumers.

Of the roughly 1.4 million iPhones that have been sold since its introduction in late June, Apple COO Tim Cook estimates that 250,000 iPhones have been purchased by customers who have the intention of unlocking the phones.

"Customer response to the iPhone has been off the charts, and limiting iPhone sales to two per customer helps us ensure that there are enough iPhones for people who are shopping for themselves or buying a gift," said Apple spokeswoman Natalie Kerris. "We're requiring a credit or debit card for payment to discourage unauthorized resellers."

Cash will no longer be an acceptable form of payment for iPhones and Apple has also reduced the purchase limit from five iPhones per person to two.

Today, however, Engadget is reporting that Apple has gone one step further than just denying cash customers. Apple is also denying the use of Apple Gift Cards to purchase iPhones. For those looking to get a stack of Apple Gift Cards for Christmas to put towards the purchase of an iPhone; you may want to rethink that idea.

Apple recorded 67 percent higher profits for Q3 2007 thanks in part to the iPhone. Apple's crackdown on resellers and those who wish to unlock the iPhone is no doubt a measure to protect the steady cash flow from AT&T.

According to Piper Jaffray analyst Gene Munster, AT&T is paying Apple an average of $18 a month for each iPhone customer. In other words, Apple receives $399 for each iPhone sold plus an additional $432 over the course of a two-year contract thanks to AT&T's exclusivity arrangement.

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RE: Why Apple Why?
By omnicronx on 10/29/2007 12:57:00 PM , Rating: 3
I have heard this argument many times before, but my point had nothing to do with apple 'forcing' anyone to buy their products. The point is, it will eventually be the end of them. Consumers like to be in control, period.. theres nothing you can say that will budge me on this matter. Even if they really are not in control, people like to at least think they are in control.

Apple does not even try to give the illusion that we have some say in any matter. It was the reason they fell the first time, and it will be the reason they fall the second time. You can only piggyback on ipod sales so long, and the iphone is a long ways away from getting any considerable market share. I will even go out on a limb here and say, if not for the ipod, Apple would no longer be selling computers.

RE: Why Apple Why?
By djcameron on 10/29/2007 3:27:33 PM , Rating: 5
Consumers like to be in control, period..

Hah! You're funny. Consumers are sheep. They are led around by companies like Apple. They walk around with their underwear showing and with the latest gadgets stuck to their head. Why? Because they want to feel special and unique! In the process, they end up looking just like everyone else. Also, because the marketing folks have learned how to control them. Consumers are anything but in control!!

"We can't expect users to use common sense. That would eliminate the need for all sorts of legislation, committees, oversight and lawyers." -- Christopher Jennings
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