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The number quoted for profitability is typically “gross margin” which does not include the extra costs I mentioned.

• kobeya 9y ago
  To clarify, since the edit window expired, I bet that Apple books a lot of their expenses as infrastructure investment or other things that don’t factor in as costs in those profitability calculations. Accounting wise they made a huge profit and then reinvested that in their company. But their customers only bought that hardware at such high prices because of the value add these investments provide.. so in Apple’s fairly unique case I’m not sure standard accounting practices give a good view of the situation.
• empath75 9y ago
  Apple's net income (ie, profits) is 20x higher than Amazons.