Technology has worked this way for as long as there's been technology. Early adopters pay more for (especially) hardware and then as the volume of sales rises, and new technology enters the horizon, the price goes down. It's not wrong, it's economic reality in an industry like tech. Every Palm device since 1996 has followed this model, along with nearly every other tech toy in the last 15 years. For example, I could have waited two or three months to buy my 755p and paid less for it than I did. I didn't want to wait, paid more for it, and now the price is slightly lower than it was in May when I bought it. Not DRAMATICALLY lower, and that's the key.
Apple's only faults were: lowering the price SO much SO soon, and disco'ing the smaller unit so quickly. That's not marketing savvy, that's short-sightedness on many fronts (marketing, technology, sales forecasting, demand estimating), with predictable results that nearly everyone who bought one of the things in June would feel something been slight discomfort and outright anger at their recent actions. If the price had dropped 15% instead of 33%, if they'd done this in concert with an announcement of a 16gb iPhone, and if they'd kept the smaller one around through Christmas with maybe a rebate or something - say another $50 at the Apple store - only the whackos would have complained (and you know who you are!). As it is, 90+% of the iPhone owners are still gently caressing its sleek form daily, and loving showing it off, but with some level of negative reaction to Apples recent action. Apple did this to themselves, and they deserve fallout because of the misstep, but all they did was grossly exaggerate and publicize their response to the normal business concepts of early release technology, volume-related pricing, and technological advancement. Cheers, Don -----Original Message----- From: [email protected] [mailto:[EMAIL PROTECTED] On Behalf Of Karen Sent: Saturday, September 08, 2007 8:10 AM To: [email protected] Subject: RE: [Treo] iPhone price cut It may be "business" but it's certainly not GOOD "business" and just because it may happen in a lot of industries doesn't make it right. It just means that there are some people who are willing to conduct bad business in many industries and those are ones I'll avoid rewarding with my hard earned cash .... or credit. Take Palm for instance. They would rather pull an item from their line then offer something they don't feel comfortable about, for what ever reason, at least in the case of the Foleo. I see that as good business and I find myself trusting their integrity even more, and Apple, not at all now. Just my opinion :) Karen -----Original Message----- From: [email protected] [mailto:[EMAIL PROTECTED] On Behalf Of Roger Prokic Sent: Friday, September 07, 2007 10:50 AM To: [email protected] Subject: Re: [Treo] iPhone price cut That's business. I'm sure if you look hard enough you will see this happens in just about all industries. --- Roger Prokic Baltimore, Maryland USA To: [EMAIL PROTECTED]: [email protected] So - they took $200 extra from people, they are 'giving' $100 back but only if they purchase something that is $100 or more from Apple. So, these people really got NOTHING back. Sheesh - what a scam. Makes me so glad I did not jump to get the iPhone. Those who waited will save $200 and will not be obligated to make any additional Apple purchases. -- Edward Fultz (
