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Apple: lessons learned from crazy prices of the new iPhone

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iPhone X in hand

On September 12th, Apple presented the iPhone X, a smartphone worth more than 1,000 euros. Premium devices push the technological limits… and tariffs.

Cupertino’s firm struck again. On September 12, Apple’s CEO Tim Cook unveiled the new iPhone X. On the design side, it has been stripped of the front button in favour of a on-board screen on which one swipes, it has gained a double photo sensor and an increasing autonomy. Thanks to the Face ID technology, which develops a 3D model of the face, the device can be unlocked without a password. Safer.

But what surprises especially, it is its sharply rising price: 1.159 euros for 64 GB and 1.329 for 256 GB. Samsung had already launched the trend in March, with the S8 + wide-screen S8, sold for 909 euros and above all with the Galaxy Note 8 this month, which starts at 1,009 euros. Fortunately, the consumer rarely pays this rate. In Europe, smartphones are heavily subsidized by operators and cost several hundred euros less.

iPhone X wirelesss charging

Hardware

Over the years, electronic devices have become increasingly technologically advanced. The memory (storage) of the first iPhone, for example, was 4 GB for 64 GB or 256 GB today. TV sets have also made great strides in the last ten years, with the democratisation of the flat screen between 2007 and 2011.

Down trend

In ten years, the average price of television sets sold in Europe has fallen by half. This is exactly the opposite with each generation of iPhone, whose prices almost tripled over the period. No impact on volumes.” The iPhone 7 was the most popular product and its sales are up sharply from the 6S at the end of the same period last year,”said Tim Cook.

Status

Apple has always positioned itself as a luxury brand that offers a jewel of technology: design, sobriety and identity. Above all, the iPhone visible in all hands, used for everything by the native mobile generation, is statutory, while the TV screen does not leave the confined atmosphere of the living room and is not even noticed anymore.