Here's who suffered most from Apple's 'at launch' prices leading to the iPhone 11

Here's who suffered most from Apple's 'at launch' prices leading to the iPhone 11
The OG iPhone was $499 at launch, while its 2019 equivalent the iPhone 11 Pro would likely start from $999. While it took a decade to double the nominal price in the US, globally iPhone prices have risen 70% on average when you account for things like inflation and new, cheaper models introduced.

That's the gist of the research done Darren Kingman for the credit-builders of Self Lender. While we know that the prices of the OG iPhone and Galaxy S were much lower than they are now, but the more interesting bit in the research is the mapping of a so-called "iPhone price index."

The basic idea is to gauge how much has the price of an iPhone increased since its introduction against the purchasing power of the buyer in various countries. You know, the real inflation of Apple's pricey iPhone when the nation's decade-long prosperity or economic demise is taken into account.

Long story short, we in the US have had it good since the Great Recession of 2008, and the price of an iPhone has increased only 54% since its inception as a product due to GDP and employment growth. 

That is way below the global average but not below places like Russia and China where the price increase is 37% on average. Ireland and Poland have it the best, as their unprecedented real GDP growth means that for the average citizen, the price of an iPhone in 2019 currency hasn't budged much compared to what they had to pay for the OG. 

The Philippines too, but there the iPhone price takes the highest percentage of the average citizen's purchasing power, so no comfort.

Who has it worse, though? Surprisingly, the champion is the UK, not in terms of absolute iPhone pricing (that's usually Brazil), but price increases compared to the purchasing power changes with a whopping 133% bump. 

Next in line is Brazil with 127%, followed by places like... Canada, Sweden and Australia that are feeling the iPhone price increase pinch worse than most other countries. Ouch! 


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22 Comments

1. notfair

Posts: 761; Member since: Jan 30, 2017

well my salary didn't double in a decade, hell it did not increase even by 5%. but yeah, something something, billionaires need more profit and stuff.

6. mackan84

Posts: 609; Member since: Feb 13, 2014

Comment of the year. Since 2008 each laborer has gained production-rate of 100% while salaries has barely risen. A combination of a lazy work-rate pre 08 and billionaires pushing production to max profit.

12. sgodsell

Posts: 7514; Member since: Mar 16, 2013

There is no mention of Apple's service. Apple's service use to be okay a long time ago. But now it's considered a legal racketeering and extortion insurance service. Others just call it Apple care. You pay a good amount for so many years. Then you have to pay for each incident service (max 2 a year). Plus that's if Apple decides that they can do it, or they will just say we can do it, but it's not covered. As if it cost $400 USD, $570 CAD to fix the glass back on the iPhone XR. Apple fought hard to stop independent repair shops, and even the import of 3rd party components and parts to be allowed into the country. Apple is a joke these days.

16. mackan84

Posts: 609; Member since: Feb 13, 2014

You blame that one on countries with bad home insurances. Here in sweden smartphones are included in our home insurance. Boy are they tired of me...

20. sgodsell

Posts: 7514; Member since: Mar 16, 2013

Come on, how can you blame a country. As if it cost $400 USD, or $570 CAD for the glass back on any iPhone. That is just Apple bending you over, and having their way with you.

2. Reza27121986

Posts: 3; Member since: Jun 03, 2019

In Iran is more dramatic I'm a typical person with average salary and because of sanctions I've to pay more than 10 times of my salary to buy a new iPhone And the dollar price is going haigh more and more

4. OneLove123

Posts: 1244; Member since: Aug 28, 2018

Why buy an iPhone if the price are so ridiculously high?

11. notfair

Posts: 761; Member since: Jan 30, 2017

sammy is in the same boat, no excuses for them also.

21. sgodsell

Posts: 7514; Member since: Mar 16, 2013

Sammy makes midrange, and inexpensive smartphones as well. To top it off Sammy makes over 40 different models every year. Because the competition make midrange, and inexpensive smartphones every year as well. Except Apple. Apple purposely only makes expensive iPhones. A perfect example of this is the overpriced iPhone XR. That iPhone is not worth Apple's asking price of $750 USD, $1030 CAD. It's made of cheap materials, a single 12 mp camera, a really low resolution HD+ LCD display, no 3D touch, only ip67, no audio jack, or dongle in box, no quick charger included.

22. sgodsell

Posts: 7514; Member since: Mar 16, 2013

I should also add that Apple is the only OEM that purposely goes out of their way to use words like inexpensive iPhone XR, or the XR is great value. Really great value because Apple said it. That's like people going around saying am I a good person. If you have to ask, or tell someone that you are, then most likely your not.

15. surethom

Posts: 1729; Member since: Mar 04, 2009

Its about the software, Because lack of choice, only Apple makes iOS devices, at lease if you are on Android & Samsung are too expensive you can choose 1 of hundreds of other phones using the same software.

18. 47AlphaTango

Posts: 738; Member since: Sep 27, 2015

Why buy a new iphone when you can buy a 2nd hand iphone at a less of it's original price?

19. gadgetpower

Posts: 283; Member since: Aug 23, 2019

The same with samsung too. People find good with iphones though. They still buy old models though.

14. strangeprotocol

Posts: 16; Member since: Aug 15, 2014

You guys have bigger things to worry about like war and stuff instead of an iPhone.

3. mackan84

Posts: 609; Member since: Feb 13, 2014

Some Swedish prices in dollars including taxes: iPhone XS Max 64gb $1316 Note 10+ 256gb $1295 As a Swede I know Apple won’t swallow any tariffs for long. Apple is always the first to increase the price to exchange rates while others take the loss.

5. OneLove123

Posts: 1244; Member since: Aug 28, 2018

Simple, don’t t buy it and the price will come down.

7. mackan84

Posts: 609; Member since: Feb 13, 2014

I bought my iPhone XR used, so I did my part. In fact everything We own from apple is used except for AirPods and two iPads.

13. notfair

Posts: 761; Member since: Jan 30, 2017

not true, it will not just because the mobile phone it's something indispensable in the human life and they know it and the prices will go always up. best thing is to buy phones only when they break just not to feed this consumerism machine.

10. cmdacos

Posts: 4302; Member since: Nov 01, 2016

In Canada, you can still defer the cost and get flagships for 0 up front if you wish. Price isnt that much of an inhibitor here.

17. path45th

Posts: 407; Member since: Sep 11, 2016

On the other hand one should consider how well Apple devices age. My 5 years old iPad Air 2 is still very fast today and it gets iPadOS with lots of new features. Although I have used it heavily (in fact, I only use my pc for storage when my iPad memory is full ) I can still get 8 hours of battery life. If I had purchased the equivalent tablet by Samsung it would had been useless in a couple of years and if I had purchased another Samsung tablet then it would have been useless by this time last year. The iPad seems to be as fast on the iPadOS beta that I currently use as on iOS 12 and in some cases it is even faster. And that means my iPad will continue to serve me well until this time next year the least. If I were into Samsung tablets by this time next year it would be about time to get another one!

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