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Technology Stocks : Investing in Exponential Growth

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From: Paul H. Christiansen7/20/2016 6:44:32 AM
   of 1084
 
This $50 Smartphone May Be All You Need

Lock screen ads and an inadequate camera aside, the Blu R1 HD sold by Amazon gets the job done

In life, you get what you pay for.*

*Exceptions: Costco wine, $1 New York City pizza and the Blu R1 HD smartphone, now sold by Amazon for $50. In those cases, the quality of the product far exceeds your low expectations.

Yes, you read that right, there’s an Android 6.0 smartphone that costs less than family dinner at the Olive Garden. It’s cheap, but it’s not, you know, cheap.

There’s a reason for that. Even though Amazon sells the R1 HD for as little as $50, on the open market it starts at $100. Why the discount? Ads. Sorry, “special offers.” Which are ads.

If you’re an Amazon Prime member, you pay $50 (plus an extra $10 if you want more memory and storage), and on the lock screen, you see a rotation of promotions similar to what appears on Amazon tablets and e-readers. The shopping giant knocks down the price knowing it will make back the money and then some.

wsj.com

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