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| Name: | ihateiphone | | Time: | 04/14/2012 at 2:26pm (UTC) | | Message: | That poor carriers love Android is not really a surprise. Go to any carrier, anywhere in the world, and you’ll notice that most of their smartphones are now based on Android. They even have their best promotions and marketing campaigns around Android smartphones. Android phones are a great way for carriers to also hook customers that have never used a smartphone before and never needed data, on their data plans, and get them to sign more expensive contracts. The conclusion: carriers make more money with Android.
But is the same true about the iPhone? Do carriers love the iPhone, too, and are they making money from it? Apparently not, and this is why it’s a nightmare for them. The iPhone can bring them some extra customers, but at what costs? Some carriers are even forced to subsidize the most of iPhone’s price, as we’ve seen with the Sprint deal, where they’re paying $650 to Apple for every iPhone. That would be $450 subsidized by the carrier.
Considering other manufacturers command the carriers from $400 to $500 pro their high-end phones, that means the carriers are giving Apple an super $150-$250 in the service of every take phone. That also means that inasmuch as every 1 million extra customers, it costs them an superfluous $200 million. That’s a heaps of scratch, and it in fact puts a dent in the bearer’s profitability.
This also explains why Apple is skilled to imagine so much profit compared to each else in the industry with <a href=http://www.graphics4design.com/stock-icons/android-menu-icons.htm>android context menu icon</a>. Apple can take in several times the profit on their phones compared to other manufacturers because the carriers are at rest passive to pass on Apple a fortune of money. If no greater than they would gain that Apple is at a suggestion where losing a oustandingly carrier would not be satisfactory to them anymore, which means the carriers could procure the power to look after Apple down a notch in their negotiations.
I don’t believe anyone should peer at out on the “on one's uppers” carriers. They can crook be concerned of themselves. But these negotiations that are heavily favoring Apple are also hurting all the other manufacturers. If the other manufacturers would be competent to charge the carriers more because Apple is doing it, then it would be high-grade, but I think the contrary is happening. The carriers are giving in to Apple, and then adjudicate to retake their losses by way of squeezing all the profit from all the other manufacturers, which is grim with a view all of us, because our favorite manufacturers journey catch less money to line with on future devices. |
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