360° Coverage : Apple Makes Big Margins on Memory Used in the iPhone

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Apple Makes Big Margins on Memory Used in the iPhone
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Apple Makes Big Margins on Memory Used in the iPhone

Sep 18 2013, 12:56pm CDT | by

Big profits on memory at Apple

One way for smartphone manufacturers to gain market share in a crowded marketplace is to reduce the price of their devices. That is a method of gaining market share that Apple doesn't want to use....

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1 year ago

Apple Makes Big Margins on Memory Used in the iPhone

Sep 18 2013, 12:56pm CDT | by

Big profits on memory at Apple

One way for smartphone manufacturers to gain market share in a crowded marketplace is to reduce the price of their devices. That is a method of gaining market share that Apple doesn't want to use. Bloomberg reports that buying memory to store photos, video, and other apps on a smartphone typically costs about $50 for the consumer.

However, the publication reports that for Apple customers memory costs about four times more than that. The iPhone 5S with 16 GB of memory will cost $199 while the 64 GB version costs $399. Apple charges of $200 for additional memory in the iPhone even though pricing for memory itself has declined significantly.

Analytics firm's claim that a gigabyte of flash memory costs about $.60 today. This premium is evidence that Apple plans to squeeze all profit can out of it smartphones rather than trying to reduce prices to gain market share. The plan makes sense, why discount the device when it's already incredibly popular and profitable.

 
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11

18 minutes ago

Apple Q4 Earnings Sliced And Diced

Oct 20 2014 8:52pm CDT | Source: The Mac Observer

Apple reported Q3 earnings information Monday. Kelly plays a little Fun With Math and shows some interesting stats about how Apple di ...
Source: The Mac Observer  Full article at: The Mac Observer
 

 
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10

18 minutes ago

iPhone 6/Plus adoption rate doubles to 7 percent of the iOS smartphone market

Oct 20 2014 8:52pm CDT | Source: Mac Daily News

google_ad_client = "ca-pub-9654279268749293"; /* Article Body, 336x280, Above the fold */ google_ad_slot = "0670981169"; google_ad_width = 336; google_ad_height = 280; //--> “Following on from Apple’s conference call and quarterly results this afternoon, the impact of the iPhone 6 and iPhone 6 Plus on the iOS ecosystem is clear,” Ewan Spence reports for Forbes. “The two handsets are breaking Apple’s sales records, and demand in the 32 countries ...
Source: Mac Daily News   Full article at: Mac Daily News
 

 
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18 minutes ago

Tim Cook, in His Own Words, on the iPad’s Future

Oct 20 2014 8:51pm CDT | Source: Daring Fireball

Dan Frommer: Apple’s iPad business was the lone drag in its otherwise strong earnings report today. iPad sales last quarter dropped 13% from the previous year, to 12.3 million, their third straight quarter of decline. The iPad, which once looked like it could become an iPhone-sized pillar for Apple, represented just 13% of the company’s sales last quarter. It would be better for Apple if the iPad we ...
Source: Daring Fireball   Full article at: Daring Fireball
 

 
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51 minutes ago

iPad sales narrowly beat expectations as Tim Cook targets "negative commentary," says market isn't saturated

Oct 20 2014 8:18pm CDT | Source: Apple Insider

In today's earnings conference call with analysts, Apple's chief executive Tim Cook explained why he remains "very bullish" about iPads despite the tablet's sales not maintaining the growth rates of iPhones or Macs in every region. ...
Source: Apple Insider  Full article at: Apple Insider
 

 
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7

1 hour ago

Spotlight Suggestions Sends Minimum Amount of Data to Apple, Exact Location and IP Addresses Not Collected

Oct 20 2014 8:03pm CDT | Source: Mac Rumors

Following the release of OS X Yosemite with new Spotlight Suggestions, some users noted that Apple's Spotlight privacy policy began offering a warning letting users know that search terms were being uploaded to Apple's servers, with some of the info being forwarded to Microsoft's Bing search engine. The search terms were being shared with Apple in order to enable Spotlight's new capabilities ...
Source: Mac Rumors   Full article at: Mac Rumors
 

 
Update
6

1 hour ago

How to send and receive SMS text messages in OS X Yosemite

Oct 20 2014 7:56pm CDT | Source: Apple Insider

With today's release of iOS 8.1, Apple finally activated SMS text forwarding from iPhone to OS X Yosemite, allowing users to send, read and reply t ...
Source: Apple Insider  Full article at: Apple Insider
 

 
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4

1 hour ago

[Sponsor] Pixate

Oct 20 2014 7:50pm CDT | Source: Daring Fireball

Designers, do in minutes what yesterday was impossible. Have a voice to show your ideas in their final form. Pixate enables you to visually prototype mobile apps that run natively on iOS and Android. A Pixate user said it best: “Designing with Pixate is like using the original iPhone for the very first time.” Pixa ...
Source: Daring Fireball   Full article at: Daring Fireball
 

 
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3

1 hour ago

Tim Cook praises Apple’s growth and new products in letter to employees

Oct 20 2014 7:38pm CDT | Source: 9to5Mac

Following today’s release of Apple’s quarterly earnings report, Tim Cook has sent a letter to employees praising the company’s growth and the dedication of Apple employees to the development of new iPhones, iPads, and Retina iMac. Cook calls the iPhone 6 and 6 Plus launch the “most successful” in the history of the device. Cook also talks about the Apple Pay launch and reiterates the points made during today’s earnings cal ...
Source: 9to5Mac   Full article at: 9to5Mac
 

 
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2

1 hour ago

Find NFC-compatible merchants around you with MasterCard Nearby

Oct 20 2014 7:15pm CDT | Source: 9to5Mac

With today’s launch of Apple Pay alongside iOS 8.1, iPhone 6 and iPhone 6 Plus owners can now use their phones to pay for goods using NFC & Touch ID. Apple states that over 220,000 stores are accepting Apple Pay, but finding nearby merchants can be a bit difficult without referring back to our running list 24/7. As it turns out, the MasterCard Nearby app has a map view of merchants with Contactless (read: NFC-compatible) POS ...
Source: 9to5Mac   Full article at: 9to5Mac
 

 
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2 hours ago

iOS 8.1 Brings iCloud Photo Library to All Users, With Images Accessible on iOS Devices, iCloud.com

Oct 20 2014 7:06pm CDT | Source: Mac Rumors

iOS 8.1, released to the public earlier today, included Apple Pay support as its most notable feature, but it also brought several other updates to the mobile operating system, including iCloud Photo Library. With iOS 8.1, the iCloud Photo Library beta is now available to all iOS 8 users, as is a new iCloud Photos app that can be found within iCloud.com. First introduced during WWDC, iCloud Photo Library stores all of the photos and videos that a user takes in iCloud, making t ...
Source: Mac Rumors   Full article at: Mac Rumors
 

 

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<a href="/latest_stories/all/all/3" rel="author">Shane McGlaun</a>
Shane is a self described car aficionado. He loves muscle cars, but also knows how green cars work. He has years of experience in testing cars and writes about cars with deeply felt emotions.

 

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