Apple is one of the largest company in the mobile and consumer technology. Whenever new iPhone or iPad launched then rumors are going rampant on the next major announcements. The speculations also surrounding the physical Apple Television, that it is going to hit the market on November 2013. Multiple reports have come out this quarter about Apple not being able to reach a deal with cable companies for an AppleTV.
Munster the analyst of apple believes that apple have to rethink their pricing strategies of releasing an iPhone for $200. It is currently commonly in the market that many network providers to provide the iPhone to their customers with an initial down payment starting from $200. This network providers purchase the hardware at full price from Apple and sell that iPhones to customers for $200. Later they collect the money as data charges through minimum term contract.
The countries like India and China doesn’t follow this strategies because Apple has very low market here and also consumer;s cannot pay the full price for a SIM free device. Munster believes that Apple will take the chance in 2014 to introduce cheaper and less powerful iPhone in order to capitalize billions of potential customer in those markets.
Apple has never sold a cheap phone anytime It is a premium company that believes in charging a premium for its products. Just look at the iPad Mini. The world was expecting it to be US$250 at the most so it could compete with the Kindle Fire HD and Nexus 7, which start at US$200. Instead, Apple charged US$329.If Apple is going to sell a US$200 phone, it’s going to take a major change in corporate philosophy. But, the company has a new CEO in Tim Cook. He might think different about Apple’s pricing.
We hope in 2014, the cheaper iPhone will raise the market share for Apple company? Share your thoughts via Facebook and Google+ pages.