Comments on: Thank You Sir, May I Have Another? http://digitaldaily.allthingsd.com/20070907/iphone-pricecut/ by John Paczkowski Tue, 24 Nov 2009 23:15:59 +0000 http://wordpress.org/?v=2.8.4 hourly 1 By: Lloyd Budd http://digitaldaily.allthingsd.com/20070907/iphone-pricecut/comment-page-1/#comment-477 Lloyd Budd Sat, 08 Sep 2007 00:37:22 +0000 http://digitaldaily.allthingsd.com/20070907/iphone-pricecut/#comment-477 Not so good for the stock though. The negative reaction of Apple stock price is being attributed by some as a result of "this $200 less admission" that sales of the iPhone weren't hitting the targets. Not so good for the stock though. The negative reaction of Apple stock price is being attributed by some as a result of “this $200 less admission” that sales of the iPhone weren’t hitting the targets.

]]> By: William Adkins http://digitaldaily.allthingsd.com/20070907/iphone-pricecut/comment-page-1/#comment-476 William Adkins Fri, 07 Sep 2007 22:26:29 +0000 http://digitaldaily.allthingsd.com/20070907/iphone-pricecut/#comment-476 don't forget that the $100 is credit, not cash. Apple doesnt bear that complete burden due to wholesale margins. So depending on what people buy - itunes or hardware, apple's margins are probably between 20% and 50%, so their true monetary cost for the $100 credit is at worst case, 20% less than that - $40mm, and probably even lower than that. don’t forget that the $100 is credit, not cash. Apple doesnt bear that complete burden due to wholesale margins.

So depending on what people buy – itunes or hardware, apple’s margins are probably between 20% and 50%, so their true monetary cost for the $100 credit is at worst case, 20% less than that – $40mm, and probably even lower than that.

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