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Technology Stocks : Apple Inc.

AAPL 262.22

-1.9%

3:59 PM EST

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To: sinclap who wrote (83650)	7/7/2009 3:12:04 PM
From: Cogito	4 Recommendations Read Replies (2) of 213179

>>Support cost myth.. I have a 16 month $820 Dell quadcore mid tower with dual link gpu and have yet to call Dell for support. My neighbor has a mini 9 for primary use and has yet to contact Dell for support.<< Sinclap - Surely you don't think that the fact that two specific machines haven't required a call for support means that Dell incurs no costs in supporting those models. The fact is that there is a certain cost for support, and that cost doesn't necessarily scale down at the same rate that profits do when you sell cheaper machines. Dell is, evidently, a company that doesn't mind operating on razor thin margins. They have to, because they compete almost exclusively on pricing. Apple operates on a different business model. The sooner you stop expecting Apple to Dellify its product line, the sooner you'll stop being disappointed when they don't. Yes, they lowered the prices of their notebooks, and yes, that has stimulated sales. But I don't believe there's any chance that they'll come out with a four hundred dollar netbook. - Allen

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