Tuesday, January 15, 2013

20. "Worry Over Sales Spurs Talk of Cheaper iPhones"

Brian Chen posted an article on January 14 about the new problem Apple is facing, whether to keep the cost of the iphone high or go lower so that they will be able to compete with other brands such as Samsung. Apple began to worry with there low income competitors after noting that sales have dropped and were worse than what they were expecting. Although the iPhone is still the top seller in America, it is not like that in other countries such as Brazil and Germany. The cheaper iPhones are still more expensive than the cheapest Android phones as Tero Kuittinen said. Lately, Apple has been cutting down on the amount of iPhone 5 to be produced. At first it was said to make 19 million but now it has been changed from 11 to 14 million. A main reason Apple is loosing money is because their workers often predicted a number too high to produce. A way Apple can grow to an even larger brand is if they partner with China Mobil which has 600 million subscribers. Apple will probably create a phone that is cheaper than the new iPhone 5 yet more expensive than the cheapest iPhone, like the iPad mini.

The purpose Chen wrote this article is to inform readers about the possibility for more afordable iPhones. Chen includes many quotes in his article to show how Apple is thinking for the future. He is able to provide the reader with a lot of information so that the reader is able to completely understand the situation.

http://www.nytimes.com/2013/01/15/technology/worry-over-sales-spurs-talk-of-cheaper-iphones.html?ref=technology&_r=0

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