Comments on: Apple's iPhone price cuts leave mixed feelings

Some iPhone fans are delighted that it now costs $200 less, but others wonder if Apple needed to stimulate demand for the closely-watched device.

[shanewalker]

RELAX and BUY STOCK NOW!--It's all Wall St. slight of hand.

I've seen this sort of conflagration and misinformation used to
cover up options plays on Apple stock before. It happens
before/after major Apple news and at very "odd" times ;) when
large market players (read, institutional buyers, etc) actually
want to see a sharp short-term dip in the stock price.

In the end, this is yet another manufactured 'Buy opportunity'.
The chicken little smokescreen about Apple's iPhone price drop
is just the convenient excuse. Just see where the stock price is
in a few days and you'll see what I mean.

[Ellusian]

DID YOU BUY STOCK? TOLD YOU SO!

Just as I'd said. The stock is 'miraculously' healing itself of its losses during last weeks panic. This is even AFTER the $100 rebate apology that "should've" sent the stock into another tailspin...

It's all smoke and mirrors, my friends.

Don't play into it. Just watch, learn and profit from it like the inside players do...

[thedreaming]

No more 4gb Iphone

I see that the 4gb is now listed in their clearance section for $299. That's the same price as the new ipod touch.

[grdaven]

The price cut makes sense!!!!!

By Apple using components from the Iphone in the Ipod touch
they will buy in much more volume bringing down the price of
the Iphone. The sales of Ipod touch will be sure to exceed the
sales of the Iphone. It is also a step product for all of the people
who cannot get out of cell phone contracts and like the features
and the interface of the phone. When their contract is up the
Iphone is the next logical step because they know the interface
and it is $100.00 bucks more for the phone. So I consider this a
great marketing move on Apples part. First adopters of any
product usually pay a premium for being first. This is true of
cars, TV's. I remember my first CD player was $399.00 and two
months later it was $199.00.

[cabinetshop]

apple iphone

OPEN LETTER TO APPLE:
I am I successful business owner for over 21 years. I purchased
the first mac in 1984, and have been a LOYAL Apple customer
ever since.

I have found that (never advertising in 21 years, working only by
"Word of Mouth") the only thing more powerful or vocal than a
satisfied customer (or

having wonderful customer service), is a customer who feels
cheated or "Ripped Off".

I camped out for the launch of the iPhone, and was interviewed
by the Palm Beach Post. I talked of what a HUGE fan I was about
all Apple products.

I was such a Apple fan, that ANYONE who knew me didn't ask IF
I bought an iPhone, but "How is it".

I can tell you you've completely turned that enthusiasm in the
complete opposite direction.

I had been planning a large purchase of iMac's, I've purchased
everything (iPods, iTV, Airport extreme, iPod HiFi,...you name it)
that you've put out.

I will not buy anything Apple unless I have no other alternatives.

I think you should do the math: your $200.00 slap in the face,

versus the average 1500.00- 2000.00 per year my household
spends with your company (multiply that by the numbers of
years you plan to be in business each year).

There's an old saying I go by: "Get me once, shame on you- get
me twice, shame on me".

I will promise the following:

that I will NEVER buy an Apple product for at least one year
after release (if at all).

I will always look for any alternative products first.

I will NEVER recommend an Apple product ever again with the
enthusiasm I did before September 5th 2007

As a foot note, you "Got me" in another way since I own Apple
stock, and it's falling like a rock.

You really shot yourself in the foot this time.

Regards

[oxtail01]

Your pathetic rant don''t hold up!

If you thought Apple offered you a good value back then at that given price, it shouldn't matter what the price is now. Any astute business person knows that value is calculated at the price of good or service at the time the purchase dicision is made. If you're such a successful business person, you would know that.

[AppleRetard]

We are the one who made iPhone app you see!!!

Steve,

Has you ever thought about who made numerous iPhone apps so people who buy iPhone now can enjoy those web app? especially that you never open its API.

And don't forget, who are the ones that defended APPLE when everyone else is saying your MAC are too expensive and there are much less applications out there.

IT'S US !!!!!!

and you SCREW us???? What the heck wrong with you?

[bechcorp]

Why should this surprise you?

This kind of price stuff happens all the time. I'll agree with the masses it's usually after an update. There's nothing like the feeling you get when you top of the line iBook goes to the bottom of the rung before you get the bill. It's all part of the technology business.

[alawaiblowfish]

At least I got my $600 worth

I actually broke my iphone by dropping it on the ground (shhh,
don't tell apple), took it to a genius bar, and they replaced my
unit with no questions asked. Paying such a high initial price, in
my opinion, forced apple to treat me with kids gloves, since I
had purchased something from them that hadn't hit
"commodity" status yet. Of course, now with this price cut, the
opposite is more than likely true. iPhone is now mildly afordable
for the masses and if i break it, ill be expected to buy a new unit
thanks to the new low price. Thank god i invested in a case
since then :)

[jkmedia]

An "Open Letter" to Steve Jobs

Dear Steve,

As an apple stockholder, and a long time user of apple products
for many years, I am very disappointed by some recent actions
taken by Apple.



On June 29th, less than three months ago, I purchased an
iPhone. I paid $499 for the 4GB model. Just yesterday, I
discovered that now, not even 90 days later, Apple has decided
to discontinue the 4 GB model, lower the price to $299 for the
remaining stock, and lower the price of the 8 GB model to $399,
less than I paid for a 4 GB model. I feel wronged and misled by
Apple. Such a quick price reduction indicates that Apple pre-
meditated this reduction before the initial release. Many of the
customers who purchased the iPhone on it?s release weekend
were long time, loyal, Apple customers. I know that I am not the
only customer who feels angry about this issue.



On another note, during recent calls to Apple sales and support,
I sadly discovered that the quality of Apple?s support seems to
have degraded in the past year. Apple has been known for years
for making high quality products, and standing behind them
with excellent customer care and service. I spent over an hour
and a half on the phone, and spoke to six different
representatives, before getting an answer to a simple technical
question about my iMac. I feel that the quality of Apple?s
support has gone from outstanding to un-acceptable.



The loyal Apple customers who purchased the iPhone at its
initial release, waited in lines for hours and paid a premium
price, feel taken advantage of. I feel that I should be reimbursed
for the $200 more that I paid for my iPhone, or be given a free
upgrade to an 8 GB model.



I read your public response on apple.com to this issue, but I still
feel that the solution you are offering is not adequate. As I
mentioned, I would like to receive a free replacement or some
kind of upgrade to the 8 GB model. I work in the technology
field, and I am very aware that new products are release very
quickly, but I also feel that Apple has not done anything like this
in the past, and that this marketing strategy was, as I said
before, planned from the beginning. I expect, and would greatly
appreciate, a response to this letter.



Thanks,

Jake Kushner

President, JK Media

P.S. Feel free to post replies or email me
([e-mail]) with other comments.

[SeizeCTRL]

Nice

Very well written. I sympathize with you. As I stated previously, not even Sony or Microsoft would attempt something like this. Sony at least waited a few more months before lowering the price of the PS3 due to sluggish sales.

The iPhone has no excuse...

Good luck with your letter!

[Vegaman_Dan]

Apple responded

They feel strongly sympathetic for people who paid the price that Apple listed the products for and want to ease your pain a bit by offering you not a refund or rebate, but instead a $100 store credit on any Apple Store item.

No, they won't give you the money back. It's theirs now, not yours. You don't have anything to say about it. It's their money, don't forget it.

It's the way business is done. Apple has made it clear what they think of their customers. Now it's up to the customers to indicate to Apple what they think of Apple with their purchasing dollars.

Personally, I would be happy if Apple jacked all their prices up. They should be free to charge whatever they think you will pay plus a little bit more.

[guyretired]

It's a Phone not an Ipod

As someone who has been in the Retail Cellular phone world for 15 years... This is not an unusual move.

Blackberry's have been hitting the street with a new unit per quarter and your Mar 07 $500 BB 8700 is now
less than $199.


Same with the HP iPAQ Palm Treo's / HTC /years.

My 12 month old $4,000 Sony LCD big screen is now > $1900

Early adapters "always" overpay.

If your really ticked try the travel industry where the guy sitting next to you on the plane paid 1/2 what you did.

If you think calling for Apple support drove you nuts...wait 'til you call AT&T tech support..(suggest you do it about 3 in the morning so you can get through)

[pikeman666]

you're absolutely right Jake

Yes, but aren't you pleased that Apple is doing so well?
I apologize, that was a cheap shot. But I parted company with Apple years ago after spending way too much money on an Apple computer that was not upgradeable and left me with a very expensive doorstop. That's when I decided that although Apple stuff was indeed the coolest in the land, I was not going to contribute to the Apple gold mine.I'be happliy built my own PCs since then.
So it's time for people to wake up and realize that customers are not respected by Apple. They don't love you - they just want your money.
Not that Nokia or Motorola don't. They just aren't going to con you about it.
Pete

[hal1999]

Open Letter to Jake Kushner

Dear Jake, Like you I am also a long time user of Apple products.
I also bought an iPhone on June 29th. I have been extremely
pleased with it and have had no problems using it. It does
everything it is supposed to do in an elegant typically Apple
fashion.

When the price was reduced bu $200 I was initially somewhat
upset. However, when I read the "open letter" from Steve Jobs I
was amazed. No other company to my knowledge has ever given
any type of credit to customers who bought a product after
reducing the price of the product. I think that Apple certainly did
something that is a credit to the company. I hope that the price
cut works and that they sell millions of the iPhones so that
customers who have not bought Apple products in the past can
experience a beautifully designed and functional product.

You then comment on one experience of poor support service
and state that Apple support has gone from excellent to
outstanding to unacceptable.

You must have some sort of hidden agenda. To state that the
support services of a company have changed based on one bad
experience is ridiculous and you know it. Also unless you can
name other companies that refund money to customers when
they reduce the price of their products you complaint regarding
the price reduction of the iPhone makes is silly. If you bought
the phone for $499 and the phone worked as advertised and you
did not return it after 2 weeks then the fact that the price was
reduced does not impact on the value of the product. You did
not but the phone with the hope of selling it for a profit in the
future!

Please tell us the real reason for your Apple bashing (advertising
dollars from a competitor maybe)...you are far from impartial.

[mattmoo]

Apple are playing with fire

I find it amazing that a company can launch a product and then about 2 months later drop its price by a staggering 33+%. In which other industry does that happen?!

Apple could have burnt their bridges with all the potential customers who would go across to their PC products. Will they now be scared of a similar price cut?

If Apple decide to launch another mass market consumer device (think video game player) maybe they have set a worrying precedent that will kill their launch?

With the launch of the iphone touch it would make more sense to keep the price of the phone much higher.

Apple's business motivations for this risk taking? 1. My feeling is that AT&T aren't happy with the volume of activations and maybe Apple want to make more from their network usage kickbacks.

2. Also the new price is more inline with market expectations for pricing an Iphone in Europe...£199 plus contract (approx $400) would be about right.

An interesting development.

[jay lueckel]

comments I sent to Apple via their iPhone story line

Me and most of people I know who bought iPhones on June
29th, and in July and August are Mac computer owners and we
are multiple ipod owners. I am a Mac user in my business.
Because of the quality of the products, ease of use, and
company's past committment to customer support, I also own
Apple stock. I think I am a typical iPhone owner and I think the
early iPhone buyers also reflect the core of the Apple buying
public.

Cutting the price two months later and offering those of us who
took the risk half of the savings all future consumers will accrue
is still a slap in the face of the core Apple base.

In most cases, when someone buys a new product such as a
HDTV or Home Theater, the retailer will match advertised price
drops that occur within a short period of time. In the case of the
iPhone, I read that Steve Jobs indicated that the price drop was
planned before the initial sales date.

I believe Apple has an obligation to its customer base to give the
original buyers the same measure of savings, not a half
measure! Proceeding without treating all buyers with the same
level of respect jeopardizes confidence in the company's
management, business strategy, and ultimatley Apple's
products.

Giving equal credit is not just a good idea, it's the right thing for
Apple to do.



It's clear that you and I and all the other early iPhone owners are
also Mac computer owners and multiple ipod owners - we're the
core of Apple's consuming public. Such mistreatment will affect
the company.

[fxstsb]

Apple Iphone

No where in writing is the 14 day return policy. I have the Terms of Service agreement plus ATT's own and there is nothing about refunds limited to 14 days. ATT is really doing to take this one with furious customers. Thanks to Steve.

[mickiavellian]

What company has a fire sale when a product is selling well?

I'm flabbergasted that people think the price drop is a "good idea".

What company has the equivalent of a fire sale when a product is allegedly "selling well"? Please guys.

I think the iPhone price drop is a disaster for Apple long term.

Part of the attraction to Apple products was the music-have-on-or-I-will-die fashion accessory aspect of the branding. They were expensive items, so not everyone had one and therefore became a status symbol for those who subscribe to the 'Paris Hilton school of sensibilities and self esteem'.

That's a huge market and it means you don't have to compete on features or 'value for money'. All you do is make it expensive and apply some cool trend-setter marketing.

Now that Apple is competing at a price point lower than the new Nokia n-gage series (the high end models of which hits the USA in December) they are competing on a 'value for money' front.

I can see Steve Jobs resigning soon.

[tundraboy]

Nice to hear they're not making the Macintosh mistake again.

Would have been nice if the insanely high price of $599 could have been sustained a little longer but Apple is learning a few things about the cell phone market. Chief among which is that no matter how Apple slices and dices things six hundred bucks is still a lot of money for a cell phone because it's not just $600, it's also the subscription fee that you pay every month for two years.

Dropping the price so soon is never welcome news. But I'd rather they do this to generate the volume rather than repeat the same mistake they did with the Mac. Which was to cling to insanely high prices for years and years and years.

[jmsntn]

Thanks for those (Early Adapter) who hold the line

First and foremost I would like to thanks those early adapter who bought the Iphone. These past few days must be an emotional roller coaster ride for you. There are those who say you (loyal APPLE fanatics) have been had. And if history is to be our guide, you brave APPLE fanatics are in good company. (remember NEWTON pda, overpriced too much too soon, like the LISA computer) But without you who wait in line, jubilant and shouting at the top of your voice (I wish I was there) the moment you possessed your Iphone, us mere mortals would not have known what APPLE fans had known for years that APPLE makes great products.
I still remember the sad days before the return of Steve Job, how APPLE fans were asking what went wrong. Where software developer were then going to the dark side, and critics were already writing the epitaph of APPLE computer. And I hope after the emotions had subside, some day you can tell your grandchildren the day the first Iphone came to town. My salute to you.

[sospel]

I feel like a fool

My 25-year-old son warned me not to buy the IPhone when it was first offered. While he was concerned Apple would immediately release an upgraded model and I would be stuck with a dinosaur, neither of us anticipated I would be rewarded for standing in line with the offer of a $200 discount to those who had the sense to stay home and wait. I will never - NEVER - again purchase a newly released Apple product. I paid big money to be duped.

[tek115]

14 day return policy?

Most retailers that I know have a 30 day return policy -- what is up with their ridiculous 14 day policy. As if they do not have faith in their products, they limit the amount of days a customer has to return. They should be a better retailer, like Amazon, that allows refunds with any price reduction under 30 days. While I do think that the $100 refund on all iPhones older than 30 days is fair, I think it is unfair to those who purchased their iPhone between day 16 and 30.

[tek115]

Clarification

While I think it's fair to receive a credit for iPhones purchased beyond 30 days, they should allow a full $200 refund to those who purchased it under a 30 day period.

[butsiriusly]

Never again

I've been an Apple customer for over 15 years.
I love my iPhone.
But I am INSULTED by the recent PREMATURE price drop.
It was a SLAP IN THE FACE in dropping the price SO SOON after
product release.
I have been an early adopter for SEVERAL Apple products, but never
again.

[James P. Larsen]

Why angry? This is normal!

Early adopters pay a premium. It's always been this way--if you
want to be the first on your block to have the fanciest new
gizmo, you have to pay extra. If you don't way to pay extra, wait
a while. The price always comes down and, as a bonus, you get
a model that has added features with the bugs worked out.

Really, get a grip!


JPL

[tubaplayr]

Whaaa!

Early adoption of computer hardware, software, firmware, BIOS updates, etc. is foolish. It is an invitation to disaster and a waste of money at best. Foolish is a poor choice of words in this case. To be more exact, early adoption is childish, particularly for a shiny new consumer toy. Grow up and stop whining about the vagaries of the market, particularly when Steve Jobs was kind enough to coddle you and provide rebates to people who should have had the sense to suck it up and learn a lesson they should have learned by age 12. Spoiled brats in a grown-up world. I can only imagine if they were responsible for something genuinely important in the workplace, like network maintenance as an arbitrary example, and a Windows update brought the whole thing down. It's not likely they would have that kind of position- with that type of mentality they'd probably work in HR- but if that scenario came to pass they'd probably sweat a little and then "delegate", meaning "pass the buck". As a side note, do you think that Bill Gates would reimburse you?
In any case, people who measure their stature in life by the adage that he who dies with the most toys wins are empty-headed fools.
Have a nice day.
Erich von Sterich, world's loudest tubaplayr.

[xxnycxx]

Apple

I receoved mine on 9/20. I asked when I bought the iMac if the new OSX is coming out and they said they did't know when...later this year. I missed it by 10 days. This is ********. Why release a new iMac and then the new OSX the following month....early adopters screwed again....this is the last time.