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To use a car analogy, Apple is a premium car maker, similar to how Lexus is viewed in the USA. Apple ships absolutely enormous volumes of devices to virtually

To use a car analogy, Apple is a premium car maker, similar to how Lexus is viewed in the USA. Apple ships absolutely enormous volumes of devices to virtually every strata of the economy, selling the "premium" iPhone 5 (which is still owned by kids with burger-flipping jobs -- my jobless niece in a working-class family has one), to the last generation iPhone 4S discount device, to the even older generation iPhone 4 ultra-discount device. Then there's the incredible value iPod Touch that Samsung can't compete with. They may not offer dollar-store products, but they're more like the Old Navy of brands than any sort of elitist assumptions. They make good products and they stay away from the very low end (though they do still pitch a three year old device), but luxury comments aren't rationally supported. Worth noting that Samsung's smartphone ASP (average selling price) is just under $500. Apple's is currently $580. The narrative that Samsung made bank on waves on discount devices just aren't supported by economics, and the models are much closer than many seem to think.

CrazedGeek 13y ago
> Then there's the incredible value iPod Touch that Samsung can't compete with. Not for a lack of trying: http://www.samsung.com/us/mobile/galaxy-players http://www.samsung.com/us/mobile/galaxy-players
rrreese 13y ago
The iPhone 4 unlocked costs £319 in the Uk, or around $490 USD. To claim that this is an "ultra-discount device" is preposterous. I'm sure you can get it free with an expensive contract, but the costs remains decidedly non-cheap. To put that in perspective a quick google shows an £80 no contract Android phone. I'm sure its terrible, but that is an "ultra discount device".
- corresation 13y ago
  The iPhone 4 is priced for contracts, with a $0 (actually less -- usually the "buyer" gets credits) entry-fee. In the North American sense -- or in much of the world where the top selling devices are overwhelmingly $600+ -- it is absolutely "ultra discount": it's a three year old device! As no-contract pricing starts to become competitive, Apple will do what is necessary with their discount entrant. But right now for a guy walking into Verizon or AT&T or many other cell providers around the globe, the iPhone 4 is as cheap as they can get. As I said before, the ASP of Samsung smartphones approaches $500. This myth that everyone else is desperately pitching dollar phones is just nonsense. Yet so far this little thread offshoot has seen Apple compared with Lexus, Louis Vuitton, and Bentley.

CrazedGeek 13y ago

> Then there's the incredible value iPod Touch that Samsung can't compete with. Not for a lack of trying: http://www.samsung.com/us/mobile/galaxy-players http://www.samsung.com/us/mobile/galaxy-players

rrreese 13y ago

The iPhone 4 unlocked costs £319 in the Uk, or around $490 USD. To claim that this is an "ultra-discount device" is preposterous. I'm sure you can get it free with an expensive contract, but the costs remains decidedly non-cheap. To put that in perspective a quick google shows an £80 no contract Android phone. I'm sure its terrible, but that is an "ultra discount device".

corresation 13y ago
The iPhone 4 is priced for contracts, with a $0 (actually less -- usually the "buyer" gets credits) entry-fee. In the North American sense -- or in much of the world where the top selling devices are overwhelmingly $600+ -- it is absolutely "ultra discount": it's a three year old device! As no-contract pricing starts to become competitive, Apple will do what is necessary with their discount entrant. But right now for a guy walking into Verizon or AT&T or many other cell providers around the globe, the iPhone 4 is as cheap as they can get. As I said before, the ASP of Samsung smartphones approaches $500. This myth that everyone else is desperately pitching dollar phones is just nonsense. Yet so far this little thread offshoot has seen Apple compared with Lexus, Louis Vuitton, and Bentley.