09-10-2012, 09:43 AM | #31 | |
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Add in the costs of over bearing building regulations and the move overseas was a no brainer. Say we were bringing in new injection molding machines in the plastics department. The new machines were heavier than the floor could bear, so we had to tear up the old floor, re-do the plumbing, and lay a thicker slab with more rebar to support the weight. Waiting on mandated inspections made a five day job take six weeks. That is five additional weeks of down time we would not have had overseas. At the end of the day job flight from the west is self inflicted. |
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09-10-2012, 10:24 AM | #32 | ||
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09-10-2012, 10:58 AM | #33 |
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In the US, you can get an iPhone 4GS for $199 with a 2-year contract with AT&T.
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09-10-2012, 10:59 AM | #34 |
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09-10-2012, 11:00 AM | #35 |
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Beyond just the part cost of the phone, there's shipping costs, storage costs, Apple store costs, staff costs, OS research costs, software development costs, patent licensing costs, legal fund pools, hardware and space for data centres and I bet there's a lot I've missed out...
The break even point Apple will need to charge for an iPhone will be quite a bit more than the part breakdown cost imo. What that point is, only Apple knows and I bet they're not going to tell :P |
09-10-2012, 11:14 AM | #36 | |
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09-10-2012, 11:17 AM | #37 | |
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09-10-2012, 11:40 AM | #38 |
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Android is open source, so Android phone makers do not pay a license to Google to use it. iOS is derived from OS X, with which it shares the Darwin foundation. Of course the present iOS is a long way from it's open source roots, but the development cost to Apple is incremental, and not on just one iPhone version. Manufacturer's that use the Android OS do not pay for the OS itself but they do have a ( likely higher) cost in tuning the OS and it's core drivers to their hardware. They also have to do it in a relatively short time, since they do not get it from Google until Google is ready. Also, all of the top tier companies do a lot of software development in custom user interface design to differentiate their product from their competitors. The whole system of phone design is not simple enough make many very accurate comparisons, but manufacturing costs elements are pretty much the same for all of them. The possible exception is Apple due to the extortion they apply due to their gorilla status on vendors, dealers, and service providers.
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09-10-2012, 11:53 AM | #39 | |
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09-10-2012, 12:12 PM | #40 | |
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I guess a lot of us just dont see Clinton as being an experement in small government the way you do. More inspectors means an even bigger gap between government cost and the tax base. Inspectors who, (if a permemant hire) will have a pension cost decades after they leave the work force. The west has run for just over seven decades on credit, and it is about to crash. |
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09-10-2012, 12:20 PM | #41 |
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09-10-2012, 12:23 PM | #42 |
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Apple's large profit margins are no secret. Even when you factor in everything their markup is atypically large. That isn't something they've ever been shy about, and why should they? Apple's customers and shareholders seem content with the situation.
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09-10-2012, 12:28 PM | #43 |
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Absolutely - Apple do make decent profits. But to claim, as the original article does, that the difference between the manufacturing cost of the iPhone and its selling price is all "profit" is just... silly.
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09-10-2012, 12:38 PM | #44 |
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Of course, you are correct that to call the figure that was given the actual "profit" is at least an exaggeration and maybe a little silly. However, that number is not diluted by very much, because all of the ancillary costs are spread over huge numbers of phones, only exceeded by Samsung's phone output. Since Samsung's phones are of a generally higher quality and much higher performance, while being sold at a lower unit cost, would seem to indicate that Apple's realized profits border on the obscene.
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09-10-2012, 12:42 PM | #45 |
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I tend to be pretty skeptical of third-party cost analyses in general. I recall that when the Kindle Fire was released, reports varied so much between 'professional' cost analysts that you could almost pick a price and find someone to corroborate it.
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