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mrgreen4242

macrumors 601
Feb 10, 2004
4,377
9
The cheapest iPad is still $400 more expensive than the cheapest iPhone though. For many people that will be a big barrier to entry.

The comparison being made was the iPhone at launch. The iPhone sold like 9million the last reported quarter, or something insane like that. The first quarter it was available it did 1.1m or whatever the OP said.

Wrong, in fact at the time of release the iPhone was $399 or $499? + 2 year contract... or $699/$799 without. (I think those were the numbers anyhow) Your not reading what he's asking... 1st quarter (2007 1g model) iPhones sales vs 1st quarter iPad sales.

The iPhone has never been sold no contract. The first iPhone was $499/599 depending on storage, I think. They dropped to $399 and got rid of the 4gb model, as I recall, toward the end of that first quarter.

I'm talking about the current market. I think the demand for iPhones will still be greater because of the price. Most people are going to see this is a big iPod Touch, so why not get an iPhone. I think the iPhone OS is a blessing and a curse. People with iPhone's probably will not be compelled to buy it because they already have the same functionality. And people without iPhone's will see more value in a iPhone since it includes an actual phone. The question will be, what is the target audience. If Apple can find the target audience for this device, then it may take off.

No one is going to think to themselves "Hm. I want an iPad. Well, maybe I'll just get an iPod, it does the same stuff! On that note, I guess I will switch phone carriers and get a $70+ per month, 24-month contract instead!".

It's more the other way around. People say "I want an iPhone! Well, I don't want to pay that much per month... and I have a contract already. I'll get an iPod instead". The iPad will, if anything steal other companies netbook sales, low end MacBook sales (from people who have a desktop Mac and want a portable, too), and maybe steal a few iPod upsell sales (which isn't a bad thing for Apple, as it's an even bigger upsell).
 

bozzykid

macrumors 68020
Aug 11, 2009
2,481
535
It's more the other way around. People say "I want an iPhone! Well, I don't want to pay that much per month... and I have a contract already. I'll get an iPod instead". The iPad will, if anything steal other companies netbook sales, low end MacBook sales (from people who have a desktop Mac and want a portable, too), and maybe steal a few iPod upsell sales (which isn't a bad thing for Apple, as it's an even bigger upsell).

I don't see people looking for a phone changing their mind and buying a iPad. In the US at least, having a phone is top priority. This is going to be a secondary device that will maybe take away netbook sales.
 

vini-vidi-vici

macrumors 6502
Jan 7, 2010
416
0
You may not agree with the logic, but it has been shown time and time again, that people will always choose the lower upfront cost even if it will cost more in the end. Just look at devices like TiVos. They tried to sell them at a premium with lifetime offers. It didn't take long to realize people aren't going to pay a lot upfront.

That's why I don't own, and don't want a TiVo. Maybe I'm in the minority, but I freaking hate monthly bills. I don't have cable TV for the same reason. Maybe I'm a weirdo, but I know that I'm sane, and the rest of the world isn't! :p
 

chris975d

macrumors 68000
Sep 21, 2008
1,795
55
Georgia, USA
But it's not... I've never understood people's logic with this kind of thing. When you buy an iPhone, you're signing up to pay at least $840 a year, PLUS whatever the thing costs up-front for the device... For a phone? and really, you're signing up for a 2 year contract. That's why I've never bought one. I have a cheap phone, and an iPod Touch... and I know a lot of people who have this combo.

Are people really so basic in their thinking that they don't "do the math" and realize what they're really spending?

In fairness, I guess if you need a phone anyway, you're going to pay something, so the real cost of the iPhone is $70 minus whatever else you'd pay... but still - that's a lot of money for a phone... even a very cool phone.

To the part of your post I bolded, yes, honestly, the "masses" don't do the true cost analysis of things they purchase. They just think of it as "can I handle the small payments (in this case, the $99 upfront and then the monthly plan) each time?" This is why credit card debt is so high, and why places like "rent to own" companies do so well. Have you ever actually totaled up the payments at a rent to own place on something like their basic Dell computers? Over the life of the payment plan, I've seen some of the totals exceed $3500...for a DELL COMPUTER! And nowhere near Dell's high end machines. But people willingly pay it because it's only $20-30 dollars a week, which is the only amount they look at.
 

vini-vidi-vici

macrumors 6502
Jan 7, 2010
416
0
You're talking phone to pad comparisons. Just because they both can handle 3G?

That's not necc the comparison to make

Why not compare # of ipod touches to ipad wifi. Both have no contracts and wifi. The price spread is pretty large at entry levels.

I have no idea what the sales would or could be - and everything is speculation.

But those that keep saying 499 is cheap are thinking narrow-mindedly. Not meant to insult. But the iPad is a LUXURY item. And while you might think 499 isn't that big of a deal - tell that to the rest of the US/World - especially since the economy hasn't made its recovery yet. Unemployment is still very high. People are losing their homes. 499, if you already have a computer and/or an iPhone or touch is not easy to justify. Easier if you don't have either of those - but still - it's not "CHEAP".

Is the iPad good value for 499 - sure. But it's still not cheap or affordable to many.

Everything Apple makes is a luxury item. You don't need any of it. People don't buy technology because they need it (generally), they buy it because they want it. In the end, it's our emotions that control our wallets, and that's why I think that shiny new glass with the bright screen, that responds to your every touch and movement... it's going to sell big time.

If teenagers can afford nearly as much for a PS3 (plus a lot more for each game), they'll afford this. Just wait till the games come out - every kid is going to want one. This thing is a social device, that's the beauty of it.
 

mrgreen4242

macrumors 601
Feb 10, 2004
4,377
9
I don't see people looking for a phone changing their mind and buying a iPad. In the US at least, having a phone is top priority. This is going to be a secondary device that will maybe take away netbook sales.

This is what I said... are you just agreeing with me then? :confused:
 

Dammit Cubs

macrumors 68020
Jul 31, 2007
2,122
718
The cheapest iPad is still $400 more expensive than the cheapest iPhone though. For many people that will be a big barrier to entry.

He has a point. Can we agree that Iphone really didn't take off until it was subsidized and thus making it easier for everyone to afford one?
 

skubish

macrumors 68030
Feb 2, 2005
2,663
0
Ann Arbor, Michigan
Wirelessly posted (Mozilla/5.0 (iPhone; U; CPU iPhone OS 3_1_2 like Mac OS X; en-us) AppleWebKit/528.18 (KHTML, like Gecko) Version/4.0 Mobile/7D11 Safari/528.16)

1 or 2.
 
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