Poll: iPhone price drop blues

It's never a bad thing when you can get good gear for less money, but we totally feel the pain of all those that spent hours or days waiting in line to buy an iPhone for $600 only to have that price cut by a third within the first few months. Then again, we know it's a little bit of a contradiction: c'mon, chances are if you bought an iPhone really early on you probably didn't care too much about the price anyway. Or maybe you did -- now's your chance to sound off.

P.S. -Apple offers a 10 day price guarantee -- you knew that right? If you snagged an iPhone in the past ten days (we've also heard two weeks), get some of that money back!

What do you think about the iPhone price drop?

$200 off? So soon? Man, I am PISSED.Paying $599 just proved I'm a true Apple fan. Obviously.Man, they must really want to sell some iPhones. Alt: Time to buy!Duuuuude, I just got one 11 days ago. I hate my life.Eh, it was bound to happen. $200 is a small price to pay for two months of smugness.Never cared about the iPhone; still don't. And after all this Apple news I'm drinking myself to sleep tonight.Vote

[JohnDoe303 @ Sep 5th 2007 8:47PM]

I laugh in the face of early adapters! Sorry guys, you lose.

[Geoffrey Sperl @ Sep 5th 2007 9:11PM]

And maybe even the early adopters, too, huh?

[Johan S @ Sep 5th 2007 9:17PM]

I bought the iPhone the day it came out. I am happy with my purchase. It works as advertised and promised. I'm not one of those people who considers themselves ripped off when others get something for less than I did. I only consider myself ripped off if I thought I was getting more features than what I agreed to pay for. I don't care that it dropped to $399. It could have dropped to $5 for all I care. I won't cry about it. And I'll still believe I got a good deal.

Why should I care about whether other people are getting it for less? I'm happy for them, and I am glad that more people can have access to this phone now.

[JohnDoe303 @ Sep 5th 2007 9:17PM]

@ Geoffrey Sperl

Nope, just the early adapters. Nice addition to the thread btw, get a life or post on-topic.

[Joe Smith @ Sep 5th 2007 9:25PM]

I walked a few blocks and got 200 back today at the apple store on fifth ave in new York (minus tax). I was in the two week grace period, and yes, its two weeks, not 10 days. But if the time has passed for you, my friends, I really feel for you. I NEVER thought apple would ever do that! Fuck apple! They make good products, but they treat the customer like hell! Fuck them!

[Cleverboy @ Sep 5th 2007 9:34PM]

@Johan S

Exactly. I swear, WTF. I get irritated when I hear Mac-addicts trying to second-guess themselves. Should I buy my laptop today? Oh dear, they might release a new one next month! Oh, dear! For petesake, life is short. Enjoy it while you can. No regrets.

I look forward to the intellectual capital of all the NEW iPhoners/iPod Touchers out there. The hackers are already going nuts with this stuff with the audience it has NOW. We need more iToner level development though. Getting there...

[Johan S @ Sep 5th 2007 9:34PM]

Anyone who feels bad about their purchase should be ashamed of themselves. The only reason for feeling bad is because of jealousy that others can get it for less.

If you agreed to a certain price for an item, then why feel upset if that same item is sold to others for less? It's pure jealousy, plain and simple. It's none of your business what deal others are getting as per the parable of the workers in the vineyard.

I don't believe Apple is "screwing" anyone by lowering their prices.

[Todd @ Sep 5th 2007 9:51PM]

Johan-

Thank you for eloquently summing up the opinion of most reasonable iPhone buyers.

Like you, I agree that it is ignorant and (in this venue) annoying when people complain about a product getting cheaper. If you've already purchased an iPhone, -you- (not Apple) made the decision that owning the hot gadget of the year was more valuable than saving your $600. This price drop simply rewards the patient.

[John @ Sep 5th 2007 9:55PM]

I think that it's not just jealously, it's the feeling that they got played by Apple. They (I didn't buy one, I thought it was far overpriced) paid top dollar for a product, and assumed that it was priced so high because it was such a quality product and Apple needed to recoup its R&D as well as parts costs. Then, Apple turns around today and says that, just two months later, they're actually fine at a price point 2/3 of the original. It's like being told, thanks for the money, chumps. Pricing it at 600 only to sell them two months later for 400 is just flat out admitting that they were overpriced - and you were dumb enough to fall for it.

[JohnDoe303 @ Sep 5th 2007 9:59PM]

Patient? How patient do you have to be to wait a whole month and some days..? Please. Those of you OK with this are crazy IMO. Yes pricedrops happen but they took the rug out from under you all. We're talking about a 33% price decrease just over a month after release! $200. If you find more comfort in the fact you had the "it" phone for just over a month then you'd be better served IMO saving your money next time and investing it in a shrink.

[ARobinso0502 @ Sep 6th 2007 1:10PM]

This device was released toooooo early... If you thought about it, an 80 GB iPod ran you about $280-$350 when it first came out... With all the new technology going into the iPhone I could image it selling for $200 over again, the 80 GB iPod, providing I had 80 GB of available space on it... Just the fact that the version of the iPhone they put out, 4/8 GB I would expected the iPhone to sell for around the current price point...

[Wildness @ Sep 5th 2007 11:46PM]

Thank you to everyone who has ever bought early on new technology at an inflated price so people like me can sit back and wait and make sure it works and get a more REALISTIC price.

[Dave @ Sep 6th 2007 1:19AM]

If you bought one and couldn't afford it, I can see why you might be pissed, but you've got bigger problems...
If you can afford it, then bfd.

[strider_mt2k @ Sep 6th 2007 9:12AM]

JohnDoe303 can't hang.

[jlx @ Sep 6th 2007 12:47PM]

I think the poll needs one more option.

"The price is right now all we need is Apple to drop ATT"

[Benson @ Sep 12th 2007 4:13PM]

@johndoe303:
Patient? How patient do you have to be to wait a whole month and some days..? Please. Those of you OK with this are crazy IMO. Yes pricedrops happen but they took the rug out from under you all. We're talking about a 33% price decrease just over a month after release! $200. If you find more comfort in the fact you had the "it" phone for just over a month then you'd be better served IMO saving your money next time and investing it in a shrink.

This is how economics works. Apple wants to sell at as high a price as possible, so they charged a high price to get people willing to pay it. Then, they lower the price to get people to whom it's worth at least $400, but not $600.

The point is people who bought the iPhone at $600 thought they were better off with the phone than with 6 Franklins. So they came out ahead. Maybe not as far ahead as if they had waited, but still ahead of where they started. Then, people who thought $600 was worth more than the iPhone, and thus didn't buy the iPhone, got a better offer from Apple. Apple not only thinks it's better of with your $600 than with an iPhone sitting on the shelf, they think they're better off with $400. And if you think you'd rather have an iPhone than the cash, they'll happily trade with you. Result: you come out ahead of where you started.

In the end, no-one gets ripped-off, because these exchanges were made voluntarily -- both parties thought they were coming out ahead. And you say anyone OK with this is crazy?!?!

As for the notion of it being worth $200 to have an iPhone for a month, well arguably so. But you didn't have any way to know that the price would drop so soon, so you respond with a shrug.

Perhaps now, with hindsight, you can see the iPhone shouldn't have been worth $600 to you at that time -- it wouldn't have been worth that if you had known that you could get one for $400 a month later. But rational people are very much OK with this, they just chalk it up as a lesson learned, and remember that it _was_ worth that much to them, they paid it, and that's life.

[Evan @ Sep 5th 2007 8:47PM]

It's a fact of life, early adopters always get screwed over in one way or another...

[humpty @ Sep 5th 2007 9:07PM]

Yea, but a $200, 33% price drop 6 weeks out?

[Cody @ Sep 5th 2007 10:41PM]

6 weeks out? Try 9 there ace.

[OGHowie @ Sep 6th 2007 1:59AM]

2 months is the kicker. I could've waited another 3 weeks if I thought the price drop would be 33%! That's just not right....

[Iain @ Sep 5th 2007 8:48PM]

Mind adding a I can't buy it because Apple doesn't sell an unlocked version for all us non-Americans in the world (yes we do exist)?

[Matt Blank @ Sep 5th 2007 10:23PM]

the us americans at apple doesn't know you exist because they have no maps

[greg @ Sep 6th 2007 12:57AM]

@ Matt Blank,

only some ah people out there don't have maps. As stated in the video..

http://www.youtube.com/watch?v=RQc6oBCuDXk

Back..and to the left..back..and to the left..back.. and to the left..

[Richard @ Sep 5th 2007 8:48PM]

I found this maybe the biggest surprise of the whole presentation and if I would have bought it in the past 2 months, I would have been pretty pissed today.

[j0nkatz @ Sep 5th 2007 8:49PM]

I just went and got my $218.50 back from Apple today (I bought on Friday). I'm still tempted to get a full refund because you know that with a price drop this soon, it can only mean one thing...

16GB 3G phone soon!

[dcny @ Sep 5th 2007 8:49PM]

im so glad i aint buy one last week looks like im gonna go get it tommrow

[Homeboy @ Sep 5th 2007 8:51PM]

The price drop was all planned. The iPhone isn't Apple's golden child, the iPod is. Even Steve said that the iPhone is the third priority after the iPod.

What many of you don't know is the the iPod touch is THE touch screen device. The multi touch thing was initially destined for the iPod but Apple are very smart. They launched an iPod with phone functionality, set the price dead high + contract requirement, and made some quick cash.

The iPhone is nothing but a 15 minute cash cow who has gotten slaughtered now when the iPod touch is here. Just look at the iPod touch, 100% iPhone cannibalization without any care at all. The iPhone has the latest weeks been a way for Apple to over charge or made Bugs Bunny money quicker than a Cocaine supplier.

A 200 dollar price cut just 1 month and a few days after launch!! I've never seen anything like it. That's a kick in the nuts to all those who acted hookers to Apple's marketing team.

Apple really jerked their most loyal customers this time. I would be pissed if i bough a 8GB iPod last month.

[J @ Sep 5th 2007 9:28PM]

That doesn't really make any sense. The amount of cash and time they spent doing joint development with AT&T was immense. The way I see it, Apple wants to dominate the handheld computing market, and taking a chunk of the smartphone business from RIM and MSFT was the only way to even begin that. I agree the iPod is where they will make a killing, but to be ubiquitous, they need to conquer the phone as well. If the touch screen was always destined the the iPod, they wouldn't have bothered with iPhone at all. Sure they made $x Million on it in 6 weeks, but they spend $xx Million in development over 2 years, and had to work with AT&T.

[Homeboy @ Sep 5th 2007 9:35PM]

J:

The reason why the touch screen debuted in the iPhone was to make the first Apple phone special. If they would have launched the iPod Touch first and the iPhone second the iPhone wouldn't not have been anything special. It would not have sold like it has. The work with AT&T is only a small piece of it, bringing Apple some extra bucks.

The 2 years development should be seen from a broader view. The technology and software used in the iPhone is used for the iPod as well. Not only that but the multi touch technology will be used for many of the Apple products coming in the future. The iPhone is only a derivative of all the projects Apple is working on.

[Xzavier @ Sep 5th 2007 10:44PM]

Well this stuff about Apple wanting to dominate the handheld market. I doubt that very much. They are not going to dethrone RIM. And MicroCashSoft has TONS of resources invested in handhelds. Microsoft has been trying for awhile with little success trying to topple RIM. Not to mention being in I.T. The I.T. folks that I know "which are a lot" are not too crazy about MAC products integrating in windows work environments "but they know very little about MAC's to begin with". And there is NO WAY I.T. management is going to let RIM/BB go for a pretty little device that can't even do half the things a BB can do! Corporate production would come to a quick STOP!

Apple thinks/produces more flashy devices and less corporate/so-called productive devices. Apple is there own worse enemy here and if they really were trying to dominate or even get a small foot hold on PDA devices. And remember... Apple did NOT launch a PDA device; then they have a very unique strategy here. So to me, that means Apple has a looog way to go.

I understand that they is another market out their besides the corporate market, however I don't think Apple is trying to dominate the market. They may be secretly testing the market, what they can make, how much to charge, what people are saying after 1 month of a new product release, what people will put up with for features that are not their... etc, etc for a future, very REAL attempt in putting a dent in the PDA market like most of us would like for them to do and to restore the forgotten pioneer/innovation product of the Newton!

Besides They still have to sidestep Microsoft and Windows Mobile is almost everywhere! Just ask Palm, they'll tell ya!

[Bloobie @ Sep 6th 2007 1:39AM]

You don't make much sense, but are correct in one or two points. Apple's iPhone is an experiment, IMO, and a successful one at that. It's a device that has been craved by Mac users for years, after dealing with the frustration of out-of-box incompatibility with PocketPCs, Palms, and Windows Mobile devices. The multitouch interface and Cover Flow worked, and they later implemented it in a flash-based iPod.
All consumer products, especially mobile phones, drop in price after a while. Sometimes just a few months after. I have seen many RAZR models come out at $200 w/ 2-year contract just to be available for $50 (or even for free) a few months later. It happens, so get over it. And this price drop happened over 2 months after the release of the iPhone, not a month and a couple of days as you state. Just shows how little you seem to know about how Apple's internal marketing, business model, and R&D work.

[Curtis @ Sep 5th 2007 8:52PM]

I'm an Apple guy. I didn't get an iPhone because I seriously don't use ANY phone enough to justify to justify spending $600 on one plus the AT&T montly contract. But I bad for all you early adapters. It must hurt you a lot. This was a completely crappy move on Apple's part. First time I have seen them really shaft their customers. First time I see a real reason from some really and honest complaints to be leveled at them.

Hopefully Apple will have you guys some sort of monetary refund, rebate, iTunes coupon, or a combination off three.

[Jean-Michel Decombe @ Sep 5th 2007 8:52PM]

The $200 make little difference when your AT&T bill will probably be $1,500 over the course of a year anyway, even if you buy the iPhone only now.

[Cleverboy @ Sep 5th 2007 9:33PM]

@Jean-Michel Decombe
I feel sorry for people so dim-witted that they think some other phone company charges less. Believe it or not, I moved from Sprint/Nextel, and I'm paying LESS for MORE. More minutes (with rollover), unlimited Internet, more than enough SMS texts. $60 bucks per. Oh no! Gasp! Verizon starts at $79/per for Smart Phones. Anyway. I'd love to find this fairytale land where mobile plans at $20/mo. and you can pay with Monopoly(tm) money.

[Jean-Michel Decombe @ Sep 5th 2007 10:02PM]

@Cleverboy:
You probably have a point but I am not sure how it is related to my own point, which is that the actual cost of the phone is nothing over the long term, compared to the phone bill. Apple makes a cut of all these phone bills. That is called the tollbooth, whereas the money they get from the hardware is just a one-time fee. So I guess what I am saying is "stop bitching over a $200 price cut, it's not worth it. Enjoy the iPhone like I have been enjoying mine since June 29." Thanks.

[Harleigh Quinn @ Sep 6th 2007 12:02AM]

Actually, the thing that makes this interesting is Apple usually doesn't DO price cuts. If they do it's to discontinue or introduce a better product. I agree with the person that stated there will soon be a 16GB one coming soon. That is more than likely true. Also, no one said one couldn't do what is most done with a BB on an iPhone. The most used and best integrated funciton on a BB is the push email and that is mostly what it's used for. It CAN'T view PDFs. It CAN'T view word documents. It CAN'T view excel. In those regards, the iPhone is just like a BB and BB nearly dominates the market right now.

Looks like we now know where Apple was looking when the decided to steal a market share. Except for the lack of push email, it's a BETTER BB.

And to be honest you don't see that many Motorola Qs around do you? What about the BlackJacks from Samsung?

You may see alot of palms around, but those are provided by company IT guys who don't understand they aren't practical. The touchscreen on a Palm is utter crap. I had one, and went to a pearl when I switched from AT&Ts price gouging to T-Mobile.

And that's another issue. The BEST plan AT&T has is the iPhone plan!

None of thier other plans are actually that great, especially if you want data.

[Albert @ Sep 5th 2007 8:54PM]

who gives a shit....lets just be glad that the price has gone significantly down for customers like me who are about to buy the iphone. lol

[Constable Odo @ Sep 6th 2007 1:16AM]

I absolutely love this poll, since so many bloggers are covering the iPhone price drop. I can't believe there are so many whiners, gripers, crybabies and those who are shocked, disappointed, disrespected???, betrayed, shanked, ripped-off, etc. My goodness. Is it really that personal?

This is life and there are absolutely no guarantees. Prices in the world change all the time. But a measly $200 creating such a furor is rather unbelievable. So many people on Engadget pointed out that the iPhone was an overpriced, overhyped product, yet Apple backers said these people were crazy.

iPhone users had two whole months to dance around waving their iPhones in everyone's faces as early adopters to new technology. Yet now they're angry that Apple lowered the price. Apple had no choice. How else could they move inventory to reach those promised high sales numbers. Should they have kept the price high and have warehouses full of iPhone boxes with cobwebs growing all over them.

It's very possible that the drop of NAND memory prices allowed them to lower the price by $200. Of course there's always the possibility that the iPhone was overpriced to begin with. People are saying that a price drop in only two months is unfair. Would three months have been fair? Four months?

I'm sure most of the iPhone purchasers have been happy with the phone and happy that they were the objects of attention for two long months. That alone should be worth $200. It has been said that the typical iPhone owner has a college degree and makes $75,000 a year. So $200 should be a drop in the bucket in that context.

I didn't buy an iPhone since I have no use for any cellphone and I'm not being smug or jealous of iPhone users. I'm glad they're happy with them. I really like fancy devices and I've had my share of being an early adopter. I honestly don't feel cheated on price drops because I've also been on the receiving end of price drops. I like being an early adopter and grabbing the latest and greatest technology. I've also bought stuff that became obsolete, too. The iPhone hasn't become obsolete, just less expensive.

Sitting around fuming and cursing isn't really going to change much. Just enjoy what you have. I don't think most of you iPhone purchasers had to give your blood or sell your soul to buy an iPhone. I'm sure none of you were forced to buy an iPhone. It was something you coveted and got it. Some people claim they're core purchasers of Apple products and feel that Apple betrayed them. It's not exactly a love affair. It's a business. It makes no sense to me at all. Are there going to be class actions suits for this price drop, too?

If you early adopters are so upset, then I sincerely hope you learned your lesson before the next revolutionary Apple product hits the streets.

[Constable Odo @ Sep 6th 2007 4:27PM]

That's very cruel and inconsiderate of you. You could at least feign sympathy for the suckers....oops, I mean early adopters. It's much more polite to laugh at them behind their backs than right in their faces. ;)

You might buy the iPhone tomorrow and two months from now it'll half the price you paid. I'm soooo very sorry to hear it....Teehee

[Michael @ Sep 5th 2007 8:54PM]

Early adopters always pay more. Though the $200 back in my pocket for the iPhone would be nice having the iPhone for the past couple months has been awesome.

[David Blank @ Sep 5th 2007 8:55PM]

hmmmmm...... Typical past history means that maybe another larger version. Maybe 16M might be in the wings. It's only logical. I mean they now have the 16M iPod Touch.

It wouldn't surprise me if they are just getting rid of the 4M versions since the 8M's are selling. i think Apple also had to figure out what price point to put them at. Since it is a breakthrough product, you have to give them a little time to figure out what the market will accept. Plus, they had a ramp up time to get the shipments out.

i think Apple is primed to basically take over this market as Microsnot might be coming out with their pathetic Zune Phone. They might as well put Microsoft in the back peddling mode.

It is always prudent to wait a little bit when a new product comes out. At least for the cautious. Some people want to be first on the street, some don't mind waiting.

Just my two cents for free.

[Zach @ Sep 5th 2007 8:55PM]

I gotta say I'm a little shocked that they did that to their loyal customers. The phone has been selling like GI Joes (pork-chop sandwiches) so why lower now... its not the PS3.

[JohnDoe303 @ Sep 5th 2007 9:18PM]

wow an apple fanboy by day and xbot by night.. don't bother replying.

[Zach @ Sep 6th 2007 12:30AM]

don't bother replying? so you shoot some troll shit like that, and then end with don't bother? Why because you're so braindead that you spend your entire days looking for people to call fanboys?

For the record, I hate the new iPods. Not a big fan of the iPhone. The Xbox holds no interest to me. And the PS3 was meant in jest, sprinkled with some truth.

[Sean M. @ Sep 5th 2007 8:56PM]

Man oh man. I think I can without the shadow of a doubt say that it is time that Microsoft Take all its warehouses filled with those Zune's and just take them to the nearest landfill. Its over Microsoft, Go home, Go to bed, Tuck yourself in, See ya later and goodnight.

[Mark @ Sep 5th 2007 8:57PM]

EDGE still sucks at any price.

[AC @ Sep 5th 2007 9:02PM]

Apple has a 14 day return policy. go to the store and get a price adjustment if you are within the 2 week period.

[jtbandes @ Sep 5th 2007 9:02PM]

It's not that I feel particularly screwed, it's that I'd be happier with $200 more in my pocket.

[Steve @ Sep 5th 2007 9:05PM]

All they have really done was go to the price point where I felt it should be all along. In fact, I wrote that very thing back in January. http://theprofessornotes.com/archives/156

[CharlieX @ Sep 5th 2007 9:05PM]

now if they'd suddenly drop the prices on their 8-core Mac Pro's by 33%.... my ass totally hurts - my wallet keeps kicking me in it.