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Technology Stocks : Apple Inc.

AAPL 259.95

-0.4%

Jan 14 3:59 PM EST

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HerbVic

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To: pyslent who wrote (154912)	6/6/2013 9:48:30 AM
From: slacker711	2 Recommendations of 213182

The iPhone is not seeing any real pricing pressure. ASP has been steady and unchanging for years-- there was a slight dip to $600 in the mrq, but management attributed that to mix, not price cuts (although the 4 was discounted for sure in emerging markets). We'll see if there's a trend in Q3. The margin pressure on the iPhone has only been because the iPhone 5 appears to be fairly expensive to make, and its cost should come down over time, as Slacker predicted. Exactly. If you want to say hardware margins are going to collapse in the future is one thing. However, to say that hardware margins have collapsed (or are collapsing) in the high-end smartphone segment is demonstrably false. Slacker

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