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Technology Stocks : Apple Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Keith Feral who wrote (149075)	1/24/2013 12:14:52 PM
From: yofal	Read Replies (1) \| Respond to of 213172

why has Apple's cost of goods risen so dramatically over the past year Divorce Samsung = move to lower tier suppliers = transition delays + lower yields + longer delivery times.

To: Keith Feral who wrote (149075)	1/24/2013 1:34:46 PM
From: pyslent	Read Replies (1) \| Respond to of 213172

The real question is why has Apple's cost of goods risen so dramatically over the past year. GM's haven't sunk because of lower ASP's, it's primarily been lowered by the higher cost of goods. This is true of the iPhone, but obviously, iPad ASP did drop (predictably so). As for the iPhone, yes, huge increase in revenue, but not as much earnings to show for it is disappointing. It's certainly an argument against front loading the international rollout as much as Apple did this time around. Financially, it makes a lot more sense to ramp production more slowly on a new product.