Apple court filings disclose up to 59% gross margin on the iPhone, twice the iPad spread
0. phoneArena 27 Jul 2012, 04:05 posted on
Court filings for the trial with Samsung reveal individual gross margins for the first time, both for the iPhone, and for the iPad. The documents peg an Apple iPhone to have commanded 49-58% gross margin for the two years between April 2010-March 2012, which is an astonishing figure. The iPad doesn't earn nearly as much for the same period, commanding a normal gross margin premium of 23-32%, depending on the model.
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3. nyuvo (Posts: 72; Member since: 10 May 2012)
Yeah it is very over priced but actually a very decent marketing strategy. They are a "Premium" device which look all pretty and thus become a status symbol. But you do have a good point with the statement "ifools" because in reality, people are some reason willing to shell out all this money for a device with less tech than cheaper devices.
36. gallitoking (Posts: 4718; Member since: 17 May 2011)
so what you are saying is. pick the phone based only on specs?.. wow.. you still dont get it. there is people that is not about specs.. if it were.. no low end Androids would exist..theDroid Charge would be a memory...
4. Ohrules (Posts: 327; Member since: 11 Jun 2012)
so THAT'S why apple is so wealthy despite selling far less phones than samsung
8. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
Yep, and it's also y Pepsi is so wealthy despite selling less than coke, and y bently lambo, and Ferrari r so wealthy despite selling less than Toyota Nissan, and Honda. It's called big business idiot every one does it. U thought u were bashing apple, but no it's what all companies do. Samsung is out to get your money too fool
9. Ohrules (Posts: 327; Member since: 11 Jun 2012)
Bently, Lambo and Ferrari make super cars, so naturally they make more money.
Of course samsung is out to make money. I never said they were out to save the world. All i am saying is that they offer better value for your money, not just money for a logo on the back
41. remixfa (Posts: 14255; Member since: 19 Dec 2008)
actually, those super car companies dont turn profits many years. Lambo recently had to sell out to Audi just to stay a float. Those cars are super expensive because they are hand built and made with very expensive materials for light weight (and some nice sitting leather too :) )
When you buy a Lambo, you know your getting extreme engine tech/horse power for that price.
When you buy an iphone, you pay the "lambo" price but you dont get any of that stuff. you get an over priced Civic. Yea, its reliable and to many its nice, but its not worth anywhere near what they charge. If your going to pay for top end, you should get top end. Thats why Samsung has been so successful. You cant argue the power per dollar ratio that they deliver. That's high end + value. They charge a Porsche or Ferrari price for their top phones, but they give you a Porsche/ Ferrari for the money.
48. OSFantasma (Posts: 119; Member since: 27 Sep 2011)
I couldn't have said it any better. But many people don't see it that way. they argue that software makes the difference.. I would agree but when a system has minimal change because of the upgrade model being used well that,s a whole new story.
21. OSFantasma (Posts: 119; Member since: 27 Sep 2011)
Really? There is a big difference between phones and cars.
5. ardent1 (Posts: 2000; Member since: 16 Apr 2011)
It makes sense since it spends a ton on R&D and patent filings.
19. Fallout09 (Posts: 421; Member since: 17 Oct 2011)
Wait a minute... I have seen Apple's patent filings of late... I dont believe that they are paying millions for "Slide to Unlock" or "Rectangles with round courners" or today's listing of "Google Glass clone with Retina display". These are thre great ideas that come out of a couple of guys sitting on the couch smoking dope coming up with "the next best thing". The sad part is that the world has fallen for them over and over again. My dad always said...."A new sucker is born every day."
20. roscuthiii (Posts: 2217; Member since: 18 Jul 2010)
How much R&D does it take to do an incremental increase? Their patent filings are overly broad and only taking advantage of an (very) imperfect patent system. Just about everything Apple is known for is built on the back of someone else's work. The GUI, the processor, the display, the OS, voice assistant? More like Xerox PARC, ARM, various display manufacturers, BSD/Unix, and Nuance.
The only truly successful thing Apple ever did on it's own is iTunes, which is after they agreed not to get into the music business after losing a trademark battle with the Beatles over an apple being used as a logo.
10. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
Yes they do, but your post is to take jabs at apple for doing what all companies do. Lambos sell for upwards of 1 million. It takes no where near that to build one, and name one company that wouldn't wanna make 1 billion a year while paying out $100 a year.
25. MorePhonesThanNeeded (Posts: 645; Member since: 23 Oct 2011)
Sorry but you must be crazy if you see any Lamborghini selling for a million dollars, only collectors' Lamborghini's like the '67 Muira would cost more, all the others are under half a million, get your figures correct before jumping down someone throat. Putting Apple in the same league as super car makers who live and breathe performance machines is dumb. Only people with some sort of self esteem problems go around flaunting an iPhone as if it's some sort of status symbol. It's a damn cell phone, stop the bs and get a life. With a lamborghini you get to have a sleek super machine that will still look the part 10+ years later, with an iPhone it will get replaced in one year and to keep up your delusional status you will have to pay full price for another with incremental upgrades. Drip feeding the idiots who willfully fall into their plans to monopolize the market with basically everyday tech but at a premium price. Let me make my decision on what tech I want by trying out different things and holding my phone to my ear how I have been for years.
28. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
There r currently two special editions that sale for a mill. Lambo reventon, and the s.p.a. Look it up cuz i don't make dumb no research posts my man.
29. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
Strong statement but full of hot air lol. Look up the million dollar lambo and eat ur words
13. remixfa (Posts: 14255; Member since: 19 Dec 2008)
just think how much more they would make if they werent paying laywers 500 million a year in fees
18. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)
Or if Samsung and Google weren't stealing their IP.
22. OSFantasma (Posts: 119; Member since: 27 Sep 2011)
Taquito ya callate....if your going to post post something relevent and informative please.
26. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)
Because remix post was informative?
39. gallitoking (Posts: 4718; Member since: 17 May 2011)
relevent and informative??... please fantasma... you clearly havent read the fandroids comments on their endless hates towards Apple
47. OSFantasma (Posts: 119; Member since: 27 Sep 2011)
Your one to talk as your comments usually support your taco buddy... anyway both sides have there trolls but you and taco are the stem that continue a needless argument.
50. Zero0 (Posts: 592; Member since: 05 Jul 2012)
I know, right? Ever since Android implemented Slide to Unlock, devices flew off the shelves! Apple must protect its IP!
24. darktranquillity (Posts: 284; Member since: 28 Feb 2012)
oh is it?. But the last time i checked there was no standard usb, bluetooth connectivity or a micro sd slot in iphone though these are available in an entry level phone. Got anything to say?
27. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)
Actually iPhone does have USB and Bluetooth.
38. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
It tickles me how just saying apple garners a thumb down from the androidiots lol watch this taco. APPLE. Watch them thumb it down
32. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
Yes the iPhone is the first phone with Bluetooth 4.0 connectivity it had standard USB thru its charger and doesn't need sd due to 64 gigs internal and iCloud. That's lots to say jackass. Entry level phones have plastic resistive screens, no apps let alone the best apps, they don't have 64 gigs, dual core chips or stainless steel and gorilla glass. They don't have every developer and accessory maker catering to them. U should just hush dumbass. The iPhone is the benchmark for a reason idiot
30. mas11 (Posts: 1034; Member since: 30 Mar 2012)
And this is why Apple is so overpriced. Look at the $99 Atrix HD vs. the $200 iPhone 4S. The Atrix HD comes with a large HD screen, 4G Lte, a processor running at almost twice the speed (800 MHz vs 1.5 GHz) and twice the RAM, but the iPhone is the one that costs twice the price? WTF?! You would think the iPhone 4S would be free if the Atrix HD is $99. So why isn't it? Apple is greedy as s$$$.
33. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
Who even cares about the atrix. It's about demand bro, and the iPhone oozes it
34. mas11 (Posts: 1034; Member since: 30 Mar 2012)
Because the average smartphone owner doesn't know much about phones. They see that the iPhone is popular so they want one. Even though the Atrix HD is superior in pretty much every way.
37. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
Atrix hd is new. The 4S is 9 months old. A new iPhone nears.
42. mas11 (Posts: 1034; Member since: 30 Mar 2012)
Dude I don't care how pretty it is. I care about how fast it is.
44. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)
Specs don't matter, it's how the phone performs. iPhone 4S runs circles around the Atrix.
45. mas11 (Posts: 1034; Member since: 30 Mar 2012)
What are you talking about the S4 chip and ICS make the UI very smooth. Paired with Lte, which is it's faster than HSPA+, it beats the crap out of the iPhone as far as speed is concerned.
46. darkkjedii (Posts: 21319; Member since: 05 Feb 2011)
That's great, it's jus too bad they won't sell any for people to find out. Lets be honest here... 3 phone makers matter, apple, Htc, and Samsung. The rest r just out there.
49. mas11 (Posts: 1034; Member since: 30 Mar 2012)
Motorola one of the most important phone manufacturers, heck not only did they invent the cell phone, they also made Android popular when they released the OG DROID. The DROID RAZR MAXX actually outsold the iPhone on Verizon and now that they are owned by Google Motorola is more important than ever.
51. taco50 (banned) (Posts: 5506; Member since: 08 Oct 2009)
Maxx didn't even come close to outselling the iPhone