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    How much does Apple profit from its $99 iPhone?

    Question #106172. Asked by dj168. (Jun 08 09 8:56 PM)


    queproblema

    		Since it just hit the market yesterday, it's far too early to tell.

    Back in February, analysts were predicting,

    "Cheaper iPhone will eat into iPhone 3G and iPod sales. And a lower subsidy and lower margins means Apple will have to sell three times as many to make the same gross profit from one iPhone 3G. He expects fiscal 2010 iPhone gross margins to shrink to 35%-37% from 50%+."

    http://www.businessinsider.com/2009/2/99-iphone-coming-this-summer

    No hard figures there, anyway. When they become available, remember subtracting production, distribution, and advertising costs from sales revenues doesn't give the complete answer; lost sales on other products must be factored in.

    Jun 09 09, 7:58 AM

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