Apple is trying to cut costs and remove some barriers to entering its ecosystem, Tim Cook said yesterday, but the company doesn’t want to sacrifice quality to achieve this, even in products focused on emerging markets.
Apple’s CEO says that “the company is making moves to make things more affordable”
In the same interview at the Goldman Sachs Conference in which Tim Cook talks about the big screen iPhone, he was also asked about how the company planned to create a great user experience for customers who find the price of the current one too high for them and must rely on other terminals instead.
Cook pointed out the recent strategy with the iPhone, which consists of keeping the 4 and 4S on the market at a lower price, instead of creating a new, cheaper terminal, i.e. a “mutilated” version of the 5.
Cook also recalled that the original iPod was priced at $399 and noted that consumers today can buy an iPod Shuffle for $49.
Similarly, Cook said his team struggled several years ago to find a way to build a cheaper Mac.
Cook didn’t say a single word about when consumers and investors would see a more affordable iPhone. Gene Munster, analyst at Piper Jaffray , after Cook’s speech, sent a note to his clients predicting that the cheaper model would be launched sometime during the fourth quarter of this year, a little later, we saw, than Topeka Capital had planned. Here’s what Munster said:
As you can see Munster, taking advantage of Tim Cook’s words that the iPad is the cheap Mac, indicates the possibility that the rumored iWatch is the cheap iPhone that is being talked about so much lately.
What do you think? What Apple products do you think we’ll see this year?
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