alexgaddis Posted September 6, 2007 Share Posted September 6, 2007 cry me a river...nobody held a gun to your head and said you needed to get it the first day it came out... SAN FRANCISCO - Apple Inc.'s price cut of its iPhone and the new lineup of iPod players are expected to ring in healthy holiday sales, but Wall Street investors accustomed to Apple's meaty profit margins appear a bit disappointed. Apple stock dropped $1.43, or 1.1 percent, to $135.25, in Thursday morning trading, but it was still up 2 percent over four weeks ago. On Wednesday, after the price cut was announced, shares had fallen 5 percent. Meanwhile, gadget enthusiasts who snapped up the ballyhooed iPhone before Wednesday are coping with a bitter aftertaste now that it is $200 cheaper within 10 weeks of its introduction. The price cut, from $599 to $399 for the 8-gigabyte iPhone, immediately set off a debate on online tech forums between early adopters, who said paying a premium price came with the territory, and those who said they felt burned. The price reduction was too much too soon, some complained. In a discussion on The Unofficial Apple Weblog site, the views were split evenly. Many customers took the iPhone price cut in stride, however. Ryan Roth, who bought one for $599 on Friday after months of research, chalked up his purchase to "the worst timing ever." "I realize this is not their problem: I agreed to the original price — it's my fault," said Roth, 32, of New York, who has been thinking about getting a cell phone for four years but held out until the last week. But some relief is in sight. According to Apple's return policy, anyone who purchased an iPhone within the past 14 days and has the receipt can get a full refund if they haven't opened the product. If they have opened it, they still can get a refund of the price difference. The steep price cut less than three months after the iPhone's launch on June 29 — and the discontinuation of the 4-gigabyte iPhone, which sold for $499 — were surprising from Apple, which usually keeps prices steady while adding new features. It normally discounts products only when they age. Analysts said quick discounts are typical for the cell phone industry, however. The world's best-selling cell phone, Motorola Razr, for instance, debuted at $499 but can now be bought for less than $100. "This is about Apple learning how to become a cell phone retailer," said Jeff Kagan, an independent telecommunications industry analyst based in Atlanta. "All of a sudden it's in the cell phone business, and everyone is trying to figure out how to measure it, and we don't know yet." Apple Chief Executive Steve Jobs said the company is on pace to sell 1 million iPhones in the United States by the end of September. The newest iPod media players, also announced Wednesday, include a model called iPod Touch that incorporates the iPhone's touch-screen and adds the ability to wirelessly download songs directly from the new iTunes Wi-Fi Store. Also new are a version of the best-selling iPod, the Nano, that plays video and a larger capacity, 160-gigabyte version of the video iPod, newly dubbed the iPod Classic. Apple also announced a partnership with Starbucks: Starting in October, the coffee chain's icon will light up on the Touch whenever a user nears a shop that has Wi-Fi access. Users can then download the song that's playing in that Starbucks shop or get a list of the 10 most recent songs played. Apple executives said the revamped and expanded iPod line — in which the iPhone is recast as the top model — is the company's most robust lineup ever for the holiday season. In 2006, Apple sold a record 21 million iPod players during the holiday quarter, about 50 percent more than in the same period the year before. Apple has now sold more than 110 million iPods since they debuted in 2001 Quote Link to comment Share on other sites More sharing options...
Azazello1313 Posted September 6, 2007 Share Posted September 6, 2007 it's hilarious watching all of the mac fanboys absorb this news. they either act all mad, which of course is stupid. or they still find ways to be mac apologists no matter what, despite how badly they got rooked. Quote Link to comment Share on other sites More sharing options...
dmarc117 Posted September 6, 2007 Share Posted September 6, 2007 Apple: Details from open letter to iPhone customers from Steve Jobs (135.51 -1.25) -Update- As mentioned at 15:17, AAPL said it will give every existing iPhone customers $100 store credit. The stock has dropped over $2.00 since the headlines were published... Highlights from Steve Jobs' letter to iPhone customers are as follows: "I have received hundreds of emails from iPhone customers who are upset about Apple dropping the price of iPhone by $200 two months after it went on sale. After reading every one of these emails, I have some observations and conclusions. First, I am sure that we are making the correct decision to lower the price of the 8GB iPhone from $599 to $399, and that now is the right time to do it. iPhone is a breakthrough product, and we have the chance to 'go for it' this holiday season. iPhone is so far ahead of the competition, and now it will be affordable by even more customers. It benefits both Apple and every iPhone user to get as many new customers as possible in the iPhone 'tent'... Our early customers trusted us, and we must live up to that trust with our actions in moments like these. Therefore, we have decided to offer every iPhone customer who purchased an iPhone from either Apple or AT&T, and who is not receiving a rebate or any other consideration, a $100 store credit towards the purchase of any product at an Apple Retail Store or the Apple Online Store. Details are still being worked out and will be posted on Apple's website next week. Stay tuned. We want to do the right thing for our valued iPhone customers. We apologize for disappointing some of you, and we are doing our best to live up to your high expectations of Apple. Quote Link to comment Share on other sites More sharing options...
tonorator Posted September 6, 2007 Share Posted September 6, 2007 i :heart: steve jobs. Quote Link to comment Share on other sites More sharing options...
Big F'n Dave Posted September 6, 2007 Share Posted September 6, 2007 it's hilarious watching all of the mac fanboys absorb this news. they either act all mad, which of course is stupid. or they still find ways to be mac apologists no matter what, despite how badly they got rooked. Sound like Dubya supporters to me. Quote Link to comment Share on other sites More sharing options...
AtomicCEO Posted September 6, 2007 Share Posted September 6, 2007 it's hilarious watching all of the mac fanboys absorb this news. they either act all mad, which of course is stupid. or they still find ways to be mac apologists no matter what, despite how badly they got rooked. Who got rooked? They bought a product worth $599 for $599. If it wasn't worth $599, they shouldn't have bought it. Quote Link to comment Share on other sites More sharing options...
CaP'N GRuNGe Posted September 6, 2007 Share Posted September 6, 2007 When the i-Phone came out there were articles stating it would be overpriced initially and there was a lot of room available for a price drop shortly thereafter. No different than idiots paying out the nose for things like the latest play station or x-box just to have it right away. Quote Link to comment Share on other sites More sharing options...
Savage Beatings Posted September 6, 2007 Share Posted September 6, 2007 This happens with every single piece of technology... so why is the iPhone supposed to be exempt from this? Quote Link to comment Share on other sites More sharing options...
Azazello1313 Posted September 6, 2007 Share Posted September 6, 2007 Who got rooked? They bought a product worth $599 for $599. If it wasn't worth $599, they shouldn't have bought it. 33% price drop after only 2 months, once they'd reeled in all the suckers? if that ain't a rooking i don't know what is. what's so funny about it is so many of the iTards seem to have this idea that apple somehow isn't like other corporations. they luuuuuuv their wittle iTards and would never take advantage of them or treat them like suckers. oops. Quote Link to comment Share on other sites More sharing options...
Azazello1313 Posted September 6, 2007 Share Posted September 6, 2007 When the i-Phone came out there were articles stating it would be overpriced initially and there was a lot of room available for a price drop shortly thereafter. No different than idiots paying out the nose for things like the latest play station or x-box just to have it right away. This happens with every single piece of technology... so why is the iPhone supposed to be exempt from this? yeah, but 33% cut after 2 months is pretty dam aggressive, by any standard. I can't think of another product that saw that steep a cut so soon. Quote Link to comment Share on other sites More sharing options...
AtomicCEO Posted September 6, 2007 Share Posted September 6, 2007 33% price drop after only 2 months, once they'd reeled in all the suckers? if that ain't a rooking i don't know what is. what's so funny about it is so many of the iTards seem to have this idea that apple somehow isn't like other corporations. they luuuuuuv their wittle iTards and would never take advantage of them or treat them like suckers. oops. I don't know anyone who thinks Apple is benevolent. They make a premium product at often premium prices. Some would argue that they make a better product than Microsoft, but they do it because it's good business, not out of some love of the common man. Where do you get that people don't think Apple is a business? Quote Link to comment Share on other sites More sharing options...
wirehairman Posted September 6, 2007 Share Posted September 6, 2007 No different than idiots paying out the nose for things like the latest play station or x-box just to have it right away. New the price would drop but had to have a PS3 before last Christmas. Oh well. Quote Link to comment Share on other sites More sharing options...
Azazello1313 Posted September 6, 2007 Share Posted September 6, 2007 I don't know anyone who thinks Apple is benevolent. They make a premium product at often premium prices. Some would argue that they make a better product than Microsoft, but they do it because it's good business, not out of some love of the common man. Where do you get that people don't think Apple is a business? c'mon, that's their entire advertising image. that they're "different". they treat their customers like loyal friends. they wear mock turtlenecks and love the environment and bono. a majority of people who adore them profess great disdain for other corporations (except for maybe target and volkswagon ). it's just funny to see mr. turtleneck take those folks to the cleaners. Quote Link to comment Share on other sites More sharing options...
WaterMan Posted September 6, 2007 Share Posted September 6, 2007 Apple and Microsoft seem to have the same methods of treating customers. I buy a nice, expensive product from both companies that quit working. I mailed it in and get a brand new replacement from both people, 2 or 3 times. Quote Link to comment Share on other sites More sharing options...
Bill Swerski Posted September 6, 2007 Share Posted September 6, 2007 c'mon, that's their entire advertising image. that they're "different". they treat their customers like loyal friends. they wear mock turtlenecks and love the environment and bono. a majority of people who adore them profess great disdain for other corporations (except for maybe target and volkswagon ). it's just funny to see mr. turtleneck take those folks to the cleaners. That is definitely the image that Apple sells, and the iTards ( ) show them same degree of loyalty that most sane people reserve for family members and close friends. If you say anything negative about Apple or anything positive about Microsoft, you're an unenlightened idiot who votes Republican, dumps mercury into the surrounding lakes and streams, and enjoys drowning kittens. Apple has been taking these idiots to the cleaners for years. Apple didn't get a cent of my money until they developed an OS that was significantly better than Windows and offered a laptop in the $1,200 range. Quote Link to comment Share on other sites More sharing options...
AtomicCEO Posted September 7, 2007 Share Posted September 7, 2007 c'mon, that's their entire advertising image. that they're "different". they treat their customers like loyal friends. they wear mock turtlenecks and love the environment and bono. a majority of people who adore them profess great disdain for other corporations (except for maybe target and volkswagon ). it's just funny to see mr. turtleneck take those folks to the cleaners. Well, you said it, so it must be true. Quote Link to comment Share on other sites More sharing options...
Robash Posted September 7, 2007 Share Posted September 7, 2007 i am just glad i'm overseas atm, because i want one and now im not going to have to pay $600 for one...hopefully it drops in price again by June 08 Quote Link to comment Share on other sites More sharing options...
Donutrun Jellies Posted September 7, 2007 Share Posted September 7, 2007 yeah, but 33% cut after 2 months is pretty dam aggressive, by any standard. I can't think of another product that saw that steep a cut so soon. Hey, if they're dumb enough to buy it at the stated price just to get it before the bow-tie wearer in the next cubicle, so be it. If the buyers had done research on the iphone market position rather than on the iphone's music capabilities, they might have seen this coming and waited. I'm waiting, still content with a Palm and an LG ... awaiting the truly integrated affordable device. The iphone wasn't it. Even at 399 Quote Link to comment Share on other sites More sharing options...
tonorator Posted September 7, 2007 Share Posted September 7, 2007 That is definitely the image that Apple sells, and the iTards ( ) show them same degree of loyalty that most sane people reserve for family members and close friends. If you say anything negative about Apple or anything positive about Microsoft, you're an unenlightened idiot who votes Republican, dumps mercury into the surrounding lakes and streams, and enjoys drowning kittens. Apple has been taking these idiots to the cleaners for years. Apple didn't get a cent of my money until they developed an OS that was significantly better than Windows and offered a laptop in the $1,200 range. i think you are an unenlightened idiot who votes Republican, dumps mercury into surrounding lakes and enjoys drowning kittens. Quote Link to comment Share on other sites More sharing options...
The Irish Doggy Posted September 7, 2007 Share Posted September 7, 2007 The whole world has gone looney. Quote Link to comment Share on other sites More sharing options...
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