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Technology Stocks : Apple Inc.
AAPL 266.38-0.8%Nov 20 3:59 PM EST

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To: slacker711 who wrote (102903)9/12/2010 12:42:22 PM
From: Doren  Read Replies (1) of 213173
 
>> margins are bound to fall

1) A 90% margin on a $1 candy bar doesn't matter.

2) a 50% margin on a $200 high tech device doesn't matter much.

3) a 50% margin on a $500 device starts to matter.

4) a 50% margin on a $2000 device matters.

What is surprising is that Android devices are almost as expensive or more expensive than an iPhone despite the fact they are not paying for their OS.

You can buy an HTC droid on Amazon for $80 with a 2 year verizon contract. But that $120 savings over 2 years is $5 per month. Not much to worry about.

It's more the carrier or the perception of the carrier since there really are no accurate comparisons in most urban areas.
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