Apple's new strategic direction

[russell]

Because they want to be seen as a premium brand, and its a tactic that is working very well for them so why change

Mo' Money!

[SimonMac]

Mo' Money!

Apple cash reserves: $147 billion, 10% of all U.S. corporate cash | BGR

[amcdonald]

I don't understand why apple don't release a cheap iPhone/iPad that is crippled/lower quality and cost. Say £100 iPhone and £150 iPad. The income they would get from iTunes/app store etc would make it more than worthwhile. People with more income would still buy the top end tulip.

They could subcontract it to the clone makers, and make them legal

[stek]

They could subcontract it to the clone makers, and make them legal

They do already sort of, isn't Foxconn Chinese?

[NickFitz]

I don't understand why apple don't release a cheap iPhone/iPad that is crippled/lower quality and cost. Say £100 iPhone and £150 iPad. The income they would get from iTunes/app store etc would make it more than worthwhile. People with more income would still buy the top end tulip.

The same reason that Ferrari don't do an 1100cc Corsa competitor. Why should they cheapen their brand by producing trash? They have Samsung for that

[amcdonald]

They do already sort of, isn't Foxconn Chinese?

It is indeed, but whatever people views of their behaviour they are at least legal in China

[SimonMac]

The same reason that Ferrari don't do an 1100cc Corsa competitor. Why should they cheapen their brand by producing trash? They have Samsung for that

Said like a true fanboi!

[doodab]

The same reason that Ferrari don't do an 1100cc Corsa competitor. Why should they cheapen their brand by producing trash? They have Samsung for that

Ferrari are slightly different though, in that they are part of a larger group that produces plenty of low end options.

Perhaps that's what Apple need to do.

[scooterscot]

I don't understand why apple don't release a cheap iPhone/iPad that is crippled/lower quality and cost.

Isn't that like asking, why don't Porsche make a milk-cart?

There's a good reason.

[NickFitz]

Ferrari are slightly different though, in that they are part of a larger group that produces plenty of low end options.

Perhaps that's what Apple need to do.

"Need" for what reason? They seem to have raked in an absolutely bloody humongous pile of cash without knocking out cheap crap, so where is the "need"?