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Apple is not in the “Junk Business” so says Apple’s CEO, Tim Cook ๐ŸŽ๐ŸŽ๐ŸŽ๐ŸŽ๐ŸŽ๐ŸŽ๐ŸŽ

September 19, 2013

Apple is not in the "Junk Business" so says Apple’s CEO, Tim Cook. It is amazing to me that the "Analysts determined" that Apple must produce a low price iPhone if it’s to compete on a global scale. Its never been the intention that Apple delivers low price low value Junk devices to satisfy what the "talking heads" may dream up. With Apple’s September 10th announcement of the iPhone 5C (which is a replacement for the iPhone 5) and the iPhone 5S a true new iPhone model (not an incremental release), its clear there will be no Junk in Apple’s line-up of iPhones.

Apple’s iPhone Line-up covers quite a wide spectrum of prices and features. For 2013 the iPhone line-up contains 6 models-configurations, with pricing from $450 to $850 in $100 steps depending on which of the three models desired and what memory configuration one may desire, ranging from 8GB, 16GB, 32GB, 64GB measured in $100 steps.

1โƒฃ iPhone 4S priced at $450,
2โƒฃ iPhone 5C priced at $550, $650,
3โƒฃ iPhone 5S priced at $650, $750, $850

Five Apple Observations:
(A) Apple is likely to sell (my guess) profitably over 140,000,000 iPhones, and 80,000,000 iPads in the next 12 months. Recall it was these same "talking heads" that said Apple doesn’t know anything about smartphones in 2007, and no one would want an iPad, its just a big iPod… and these arrogant "analysts" are telling Apple how to run its business, then down-grade Apple’s stock, because Apple did not deliver a product that the analysts believed it should… most recently, Apple needs a Junk smart-phone to capture global market share.
(B) Apple does not need marketing advice or product direction from the Media and the Wall Street Analysts.
(C) Apple has not hinted that it may introduce a budget-priced, low-featured, Junk iDevice, for the purpose of challenging global market-share statistics.
(D) Apple’s goal is to design and deliver very high quality products that improves people’s lives.
(E) Apple smart phones are attracted to a Higher Educated crowd (College Degree, Masters, PhD’s)
(F) Apple smart phones are attracted to a Higher Income level ($50k to $150k),
(G) Apple smart phones are attracted to the Younger Hip Crowd (18 years to 44 year olds).
(H) There is a detailed chart comparing SmartPhone Buyers, namely Apple customers as compared to Galaxy customers.

Apple’s Senior Team: CEO Tim Cook, design chief Jony Ive and software chief Craig Federighi have come together, these top three at Apple, to talk about Apple’s latest and greatest products: the iPhone 5c and iPhone 5s. For the iPhone 5c in particular, Cook was particularly vocal while speaking to Bloomberg at its recent interview:

Tim Cook says with conviction โ€œThere is always a large junk part of the market. Weโ€™re not in the junk business. The upper-end of the industry justifies its higher prices with greater value. Thereโ€™s a segment of the market that really wants a product that does a lot for them, and I want to compete like crazy for those customers.โ€

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