A brief history lesson. Back when Apple Computing was essentially 2 guys and a garage, those 2 guys had alot of cool ideas. They created the Apple which only sold to computer geeks. the Apple II, however, really sold the lay audience that they wanted and needed computers.
When 5 1/4" floppy drive went on sale they cost thousands of dollars. The Steves (Jobs and Wosniak) designed a drive for the Apple II which drastically cut down the number of chips required. By doing this they significantly reduced the cost and size of the apple. the drive cost under 200 dollars to make, but they sold it for about 600. This seems evil, but if you consider the fact that they were still a small company and that they were still pricing far below the competition you can see that they were justified in charging for their creativity.
And now we have the mac book air. Starting at 3500 dollars, we have the most stripped down computer you can find. The thinnest perhaps, but the functionality is minimal. And people wonder why Microsoft is the leader. I would love to own a mac, but they simply cost to much. A 1000 dollar PC goes for at least 1500 in mac terms. and PCs have so much more software support it isn't funny.
the same goes for iPods. They cost about 250 to make AT MOST. add another 50 bucks for transportation and R&D and they still charge almost double for the best models. I have an iPod, but that's only because iTunes is so darn good. They are coasting on a piece of software. and those 600 dollar iPods? Your lucky if it lasts a day after the warranty expires.
Apple has forgotten about the innovation that allowed them to get away with this kind of behaviour.
Tuesday, January 22, 2008
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