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Do you have an evidence to back this up? They reduced the price on the Galaxy Nexus in a similar fashion last year, so I assumed this was a normal price reducti
by xur17 13y ago
Do you have an evidence to back this up? They reduced the price on the Galaxy Nexus in a similar fashion last year, so I assumed this was a normal price reduction.
- moca 13y agoAs an observer of mobile market, I don't think this is normal price cut. Galaxy Nexus was more reasonably priced, $399 initially, then $349, see http://www.theverge.com/2012/6/27/3120987/galaxy-nexus-hspa-unlocked-price-drop-349 http://www.theverge.com/2012/6/27/3120987/galaxy-nexus-hspa-.... There is no chance for Google to make any profit on Nexus 4 at $199, if warranty and customer service cost is factored in. If the product is good, price cut to $249/$299 would be reasonable. There is obviously serious issue to justify such aggressive price cut. NOTE: Microsoft wrote off $900M after Surface price cut. Regarding Nexus product quality, it is well known problematic. I never saw any Nexus phone with good camera, battery life, wireless reception. The customer service is problematic at best. These problems existed ever since Nexus One.
- dannyr 13y agoYeah. It's not possible that components this year could be cheaper than the year before. #sarcasm
- moca 13y agoCheaper, but not that cheap. Moto X, comparable spec with Nexus 4, has $210-220 Bill of Materials (BOM). Adding cost of sales, warranty, customer service, there is very little margin left, if any.
- samspenc 13y agoI wonder if they're trying to sell off remaining inventory before the rumored Nexus 5 later this year.