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I'm surprised nobody (including the article author) has mentioned Tim Cook, particularly as this new shift to lower pricing that he talks about coincides with T

I'm surprised nobody (including the article author) has mentioned Tim Cook, particularly as this new shift to lower pricing that he talks about coincides with TC taking the helm. This is what Mr. Cook does - squeezes every last bit of optimization and efficiency out of every step in the supply line, reducing costs, hence giving them leeway to reduce their prices while keeping their enviable margins.

pja 15y ago
Not only that, but IIRC Apple uses their size to bankroll plant manufacture in the far east in exchange for exclusive access to the first product run for a period followed by guaranteed sweetheart pricing deals thereafter (or at least so an article I read somewhere like TechCrunch claimed: I don't have a link handy unfortunately). Unsurprisingly, this gives Apple a huge commercial advantage: they are able to maintain profit margins whilst undercutting their competitors thanks to the clever use of their strong cash position. Apple's competitors seem to be completely incapable of taking the longer term view of product development that leads to these kind of dividends down the road. (Whether doing these deals was down to Tim Cook, Jobs or some other Apple exec I've no idea, but I'm guessing Cook.)