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No all it really shows is that it's a loss leader for Apple. Much the same way Microsoft made the browser a loss leader because it made money on the OS, Apple
by encoderer 13y ago
No all it really shows is that it's a loss leader for Apple.
Much the same way Microsoft made the browser a loss leader because it made money on the OS, Apple is making the OS a loss leader because it's making money on the hardware.
- gibwell 13y agoIt's not a loss leader. OSX has always been supplied as a component that is integrated with the Mac. I.e. You never had to buy a Mac and then separately purchase OSX. What they are doing here is to integrate ongoing support for OS upgrades into the cost of the computer.
- ssharp 13y agoI'm not even sure if I'd call it a loss leader, solely based on "making it up" in hardware margins. I think you could show that by having much larger %'s of its user base being up to date and adopting new releases faster, that it cuts costs in other areas and makes it a more attractive platform. Just spitballing here, but less users on old versions should reduce support costs, create a better user experience for more of its users, and entice developers to take advantage of new features, which may further differentiate the platform from competitors. I'd have to think that creates more long-term value for the company than making $30 bucks per license. And that's not even calculating the customer goodwill by making the updates free.