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Apple is making about a 50% margin on iPads. They're not sacrificing margin for market share based on price, I'm pretty sure Apple is pretty opposed to this sor
by mikeryan 14y ago
Apple is making about a 50% margin on iPads. They're not sacrificing margin for market share based on price, I'm pretty sure Apple is pretty opposed to this sort of strategy. The advantage they have for pricing is in their manufacturing and supply chain management. They're actually able to produce better quality hardware for cheaper then their competitors in the Android space (and for that matter the Windows 8 space as well).
http://www.techspot.com/news/47738-apples-profit-margin-slightly-slimmer-on-ipad-3-estimates-reveal.html http://www.techspot.com/news/47738-apples-profit-margin-slig...
- technoslut 14y agoI don't think it's anywhere close to that considering that is just the cost for the bill of materials and it doesn't take into account the cost of assembly, shipping, marketing and research & development.
- mikeryan 14y agoLast I heard the actual manufacturing cost was about $10 [1] marketing and R&D are pretty much fixed costs and don't really work well in accounting for per-unit margins. At the end of the day there's still no indication that Apple is sacrificing margin for market share. [1] http://www.appleinsider.com/articles/12/03/16/high_cost_of_new_ipad_components_drive_down_profit_margins.html http://www.appleinsider.com/articles/12/03/16/high_cost_of_n...
- deleted 14y ago[deleted]