Advertisement
To all iPhone customers:
I have received hundreds of emails from iPhone customers who are upset about Apple dropping the price of iPhone by $200 two months after it went on sale. After reading every one of these emails, I have some observations and conclusions.
First, I am sure that we are making the correct decision to lower the price of the 8GB iPhone from $599 to $399, and that now is the right time to do it. iPhone is a breakthrough product, and we have the chance to 'go for it' this holiday season. iPhone is so far ahead of the competition, and now it will be affordable by even more customers. It benefits both Apple and every iPhone user to get as many new customers as possible in the iPhone 'tent'. We strongly believe the $399 price will help us do just that this holiday season.
Second, being in technology for 30+ years I can attest to the fact that the technology road is bumpy. There is always change and improvement, and there is always someone who bought a product before a particular cutoff date and misses the new price or the new operating system or the new whatever. This is life in the technology lane. If you always wait for the next price cut or to buy the new improved model, you'll never buy any technology product because there is always something better and less expensive on the horizon. The good news is that if you buy products from companies that support them well, like Apple tries to do, you will receive years of useful and satisfying service from them even as newer models are introduced.
Third, even though we are making the right decision to lower the price of iPhone, and even though the technology road is bumpy, we need to do a better job taking care of our early iPhone customers as we aggressively go after new ones with a lower price. Our early customers trusted us, and we must live up to that trust with our actions in moments like these.
Therefore, we have decided to offer every iPhone customer who purchased an iPhone from either Apple or AT&T, and who is not receiving a rebate or any other consideration, a $100 store credit towards the purchase of any product at an Apple Retail Store or the Apple Online Store. Details are still being worked out and will be posted on Apple's website next week. Stay tuned.
We want to do the right thing for our valued iPhone customers. We apologize for disappointing some of you, and we are doing our best to live up to your high expectations of Apple.
Steve Jobs
Apple CEO
I have received hundreds of emails from iPhone customers who are upset about Apple dropping the price of iPhone by $200 two months after it went on sale. After reading every one of these emails, I have some observations and conclusions.
First, I am sure that we are making the correct decision to lower the price of the 8GB iPhone from $599 to $399, and that now is the right time to do it. iPhone is a breakthrough product, and we have the chance to 'go for it' this holiday season. iPhone is so far ahead of the competition, and now it will be affordable by even more customers. It benefits both Apple and every iPhone user to get as many new customers as possible in the iPhone 'tent'. We strongly believe the $399 price will help us do just that this holiday season.
Second, being in technology for 30+ years I can attest to the fact that the technology road is bumpy. There is always change and improvement, and there is always someone who bought a product before a particular cutoff date and misses the new price or the new operating system or the new whatever. This is life in the technology lane. If you always wait for the next price cut or to buy the new improved model, you'll never buy any technology product because there is always something better and less expensive on the horizon. The good news is that if you buy products from companies that support them well, like Apple tries to do, you will receive years of useful and satisfying service from them even as newer models are introduced.
Third, even though we are making the right decision to lower the price of iPhone, and even though the technology road is bumpy, we need to do a better job taking care of our early iPhone customers as we aggressively go after new ones with a lower price. Our early customers trusted us, and we must live up to that trust with our actions in moments like these.
Therefore, we have decided to offer every iPhone customer who purchased an iPhone from either Apple or AT&T, and who is not receiving a rebate or any other consideration, a $100 store credit towards the purchase of any product at an Apple Retail Store or the Apple Online Store. Details are still being worked out and will be posted on Apple's website next week. Stay tuned.
We want to do the right thing for our valued iPhone customers. We apologize for disappointing some of you, and we are doing our best to live up to your high expectations of Apple.
Steve Jobs
Apple CEO
posted by:
|
Washington, D.C.
|
Advertisement
Advertisement
-
Re: Own iPhone? ***READ THIS****
Fri, September 7, 2007 - 2:38 PMSloppy I didn't site my source, my apologies and addendum:
www.apple.com/hotnews/openiphoneletter/ -
-
Re: Own iPhone? ***READ THIS****
Fri, September 7, 2007 - 6:00 PMDo the math:
a $100 in-store credit isn't a rip-off. There's a little thing called markup that will absorb what, 40% of that refund?
Mo money, mo money...
-
-
Re: Own iPhone? ***READ THIS****
Sat, September 8, 2007 - 9:38 AMlike the phone, holding out till its readily available....still like for other companies (service providers) besides ATT to have it....monopoly!...I understand first to market, dislike only to market.... -
-
Re: Own iPhone? ***READ THIS****
Sat, September 8, 2007 - 11:22 AMThere's a big difference between being the first one on the market to offer something, and holding a monopoly on it. I'm sure the other GSM providers are madly cutting deals to deliver the full feature set for the iPhone in anticipation of the end of the two-year initial contract with ATT.
But I know how you feel, I won't give any more money to ATT than I have to either. I remember the pre-monopoly ATT and the crap we had to deal with. That's why I'm practically giggly over the new iPod Touch. :) -
-
Unsu...
Re: Own iPhone? ***READ THIS****
Sat, September 8, 2007 - 2:38 PMI don't understand why so many people are upset by this price drop. Isn't that what happens with every product? Or are people just upset about getting suckered into buying the iPhone when it first came out?
"must consume latest gimmick now" -
-
Latest Technology
Sat, September 8, 2007 - 3:31 PMI am not surprised this happened, though I am surprised it happened after 2 months, I figured on 4-6 months.
I like Steve's letter, he said what I have been telling people for years. I have felt that way many times, "should I buy that now? or wait?" Yeah, if you wait you will never get anything. If you don't want the latest wait a year and pay less. Every one knew the price was going to drop nearly half from the beginning. I don't see what is wrong with these people. I did not even bother buying one because I said it was too expensive from the beginning (also I do not care to go back to Cingular/ATT.) I think that is was very considerate of Apple to do a $100 store credit (I personally do not think they needed to.) The only down side I can see to that is what are PC users who do not shop at Apple going to do with it to begin with? :)
You want the latest you are gonna pay.
Now how about the iPod they finally released? I was waiting for this one, however I was hoping it would be a higher capacity. I wonder if this is the Apple PDA? It's not quite a Newton but... -
-
Re: Latest Technology
Sun, September 9, 2007 - 11:43 AMSteve Jobs didn't score big on that one.
Even if he offered $200 in rebates, Apple is still only "losing" $100 or less...
Score:
Apple - 1
Consumers - 0
-
-
-
Re: Own iPhone? ***READ THIS****
Tue, September 11, 2007 - 5:44 PMyeah!...two year hold out...somethig to look forward to.....and yes big difference between first to market and monopoly, yet with an exclusive contract it still seems like a monopoly...although short lived......
-
-
-
Re: Own iPhone? ***READ THIS****
Sun, September 16, 2007 - 3:19 PMPeople should really quit bitching. okay what yeah you bought the thing when it first comes out and only two months later the price drops. No one forced you to purchase this device in the first place. At the time, the early adopters felt it was worth the price to pay to be the cool kids on the block with their shiny new toy. Now, their shiny new toy is accessible to early-late majority. Boo fucking hoo. Before you even ask, no I <i>don't</i> have an iphone, my $100 RAZR works just fine and I did not feel a need to get this just yet. Will I get one in the future? probably, I think it is a cool device and with national avarice day, er, x-mas coming up, I will probably be a little indulgent.
The point is everyone knew this product was going to drop in price. Yeah the 2 month time-frame was a little surprising to most people, even me. This type of thing happens all the time in the real estate market DAILY, consumers are ultimately going to get raped in some form or fashion. You at least get the reach around this time. Get the fuck over it. -
-
Thing is..
Mon, September 17, 2007 - 9:34 PMI really stretched and was able to lick my own balls. The feeling was so special I forgot the iPhone existed. About two hours later, the novelty wore off .
-
