iPad mini Why so much more for Ipad(mini) with GPS??

[user_xyz]

I'd like to get the new mini but why so much extra for GPS??
How much might that additional chip-set cost apple? $8.00 to $14.00 dollars US?

ETA: And yes I know it's a combined chipset with Cellular as well.

 

[Seamaster]

I think you answered your own question there.

 

[AutomaticApple]

I'd like to get the new mini but why so much extra for GPS??
How much might that additional chip-set cost apple? $8.00 to $14.00 dollars US?

ETA: And yes I know it's a combined chipset with Cellular as well.

You just answered yourself.

 

[user_xyz]

I think you answered your own question there.

So why is it $130.00 more??
It seems an extra $70.00 would be more than enough?

 

[chrfr]

So why is it $130.00 more??
It seems an extra $70.00 would be more than enough?

Obviously Apple disagrees with you.

 

[sparksd]

So why is it $130.00 more??
It seems an extra $70.00 would be more than enough?

Their marketing people told them they could go that high and still sell enough units.

 

[user_xyz]

Obviously Apple disagrees with you.

Yep!!

Their marketing people told them they could go that high and still sell enough units.

I know who am "I" to argue with the Worlds most valuable company ?? !!

 

[sparksd]

Yep!!


I know who am "I" to argue with the Worlds most valuable company ?? !!

Good - you know your place in the Universe!
[doublepost=1554163752][/doublepost]

Yep!!


I know who am "I" to argue with the Worlds most valuable company ?? !!

btw, I wasn't being snarky - I really believe that their marketing people did a very careful price point evaluation on this add-on, just like they do for every one of their products. Their go-do is to maximize profits by selling as many units at the highest price possible. You can bet they have plenty of metrics to show them where the knee in the price curve is for every item they sell.

 

[ElectronGuru]

Apparently Verizon has discounted cell models with no service commitments

 

[PBG4 Dude]

Apple not only has to pay for cellular hardware, they also have to license the patents behind the cellular/GPS chips. I’m sure the key to unlock government-controlled GPS satellites isn’t free either (GPS was originally developed by the military to guide smart missiles).

 

[sparksd]

Apple not only has to pay for cellular hardware, they also have to license the patents behind the cellular/GPS chips. I’m sure the key to unlock government-controlled GPS satellites isn’t free either (GPS was originally developed by the military to guide smart missiles).

There are no fees paid by vendors like Apple for GPS access, it is all taxpayer funded (I worked on GPS systems, including the satellites themselves). Apple gets a lot of their chips from Broadcom and don't license the patents.

https://www.cnbc.com/2018/06/05/bro...rom-every-new-iphone-jp-morgan-estimates.html

 

[Newtons Apple]

Good - you know your place in the Universe!
[doublepost=1554163752][/doublepost]

btw, I wasn't being snarky - I really believe that their marketing people did a very careful price point evaluation on this add-on, just like they do for every one of their products. Their go-do is to maximize profits by selling as many units at the highest price possible. You can bet they have plenty of metrics to show them where the knee in the price curve is for every item they sell.

Apple is one of the best when it comes to marketing.

I seldom question them.

 

[AutomaticApple]

Apple is one of the best when it comes to marketing.

They really are one of the best at marketing.

 

[Newtons Apple]

They really are one of the best at marketing.

Hope so as my IRA is betting on it!

 

[Wando64]

So why is it $130.00 more??

Because Apple has made a judgement that this functionality is worth that much to most customers.
The actual cost is completely irrelevant. That is not how things work.

 

[sovereign]

Apparently Verizon has discounted cell models with no service commitments

How so?

 

[haruhiko]

Apple not only has to pay for cellular hardware, they also have to license the patents behind the cellular/GPS chips. I’m sure the key to unlock government-controlled GPS satellites isn’t free either (GPS was originally developed by the military to guide smart missiles).

GPS is free to use. The $130 premium for the Cellular iPad has been there since the very first iPad. It might have made sense back then but not very much now.

 

[cmaier]

GPS is free to use. The $130 premium for the Cellular iPad has been there since the very first iPad. It might have made sense back then but not very much now.

Unless apple is forced to pay Qualcomm a fixed percentage of the overall device cost for the privilege of including a cellular radio...

 

[RevTEG]

Every iPad I've ever owned, since gen 1, has been the cellular models. Yes, the extra is crazy, but its nothing new to the mini 5. It's always been that much extra. It just seems to be what it is.

 

[PBG4 Dude]

GPS is free to use. The $130 premium for the Cellular iPad has been there since the very first iPad. It might have made sense back then but not very much now.

It's $150 (ahem, 149) now.

There are no fees paid by vendors like Apple for GPS access, it is all taxpayer funded (I worked on GPS systems, including the satellites themselves). Apple gets a lot of their chips from Broadcom and don't license the patents.

https://www.cnbc.com/2018/06/05/bro...rom-every-new-iphone-jp-morgan-estimates.html

Thanks for the correction.

I did not know that about GPS!

 

[*~Kim~*]

In the UK I believe it used to be £100 (I’m sure that’s what it was on the iPad 3) now it is £120 (2019 models) or £130 (2018 models.)