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Apple Gives $100 Store Credit To iPhone Customers

MooRogue writes "In an open letter to all iPhone customers, Steve Jobs responds to hundreds of emails from upset iPhone customers. Apple will be giving early adopters who are not receiving rebates or any other consideration $100 store credit at the Apple store. Details will be posted on the Apple website next week"

452 comments

  1. Woohoo! by Cajun+Hell · · Score: 5, Funny

    I just found 1300 iPhones in a dumpster. That's $130,000!

    --
    "Believe me!" -- Donald Trump
    1. Re:Woohoo! by Anonymous Coward · · Score: 0, Funny

      hows the fast food business these days, proud new math graduate?

    2. Re:Woohoo! by Anonymous Coward · · Score: 0

      I'll take a McIrony to go, please...

    3. Re:Woohoo! by sheehaje · · Score: 1

      Let me guess, you were a CPA for Enron?

  2. Storm in a teacup? by Thwomp · · Score: 1

    Perhaps, but now many more people will know about the iPhone's price drop.

    1. Re:Storm in a teacup? by notclevernickname · · Score: 1

      Except the price cut has been all over the place, I think everyone knows about it. This is more of a "We feel bad for screwing over early adopters, please don't whine to the media/friends/blogs/complete strangers about getting stiffed $200".

      --
      Free porn, no Bullshit - thebestlinklist.com
    2. Re:Storm in a teacup? by falsified · · Score: 2, Insightful

      Eh, it was on the front page of USA today (distributed to the mass market) and on the front page of the Wall Street Journal (distributed to the affluent jackasses who actually bought this thing for $600). I'd say this news outshadowed the new iPod, which probably wasn't their intent.

      The way I see it, the price drop isn't the story, it's the previous high price. That just feels like they just wanted some free revenue.

      --
      HI, MY NAME IS ISAAC.
    3. Re:Storm in a teacup? by GulagMoosh · · Score: 1

      And anyway you look at it, the end results is: who cares? They suckered the first generation once and now are going to sucker them into buying something else that costs them next to nothing to sell, especially if it has no hardware element. Good marketing. Stupid consumers.

  3. Wow, that was quick by Tibor+the+Hun · · Score: 5, Insightful

    Say what you will, but what other company figurehead in recent memory has came out and apologized for other people's willingness to spend their money?

    Maybe it was all planned out from the day one though, and if that's the case, I wish Steve would run for the next presidential election. Talk about planing for every contingency...

    --
    If you don't know what AltaVista is (was), get off my lawn.
    1. Re:Wow, that was quick by Anonymous Coward · · Score: 5, Insightful

      I'm pretty sure it was planned. There no way Steve and his entire management didn't expect that it would upset a lot of the early adopters. Now they sacrifice a bit of their $200 early adopter tax, but the benefits are numerous. The much more affordable $399 price tag gets in the news not one but twice. The $100 credit still remains in the company, and probably gets spent on even more Apple products, or on accessories which costs them almost nothing. After venting their rage for a day, many of the upset early adopters become even more loyal to the company than before. They get a lot of good PR for listening to their customers. People will be less wary of being an early adopter for Apple products in the future. And they after all this, the _still_ get to keep $100 of the early adopter tax.

      This was brilliant marketing through and through. Bravo.

    2. Re:Wow, that was quick by Riquez · · Score: 2, Informative

      but what other company figurehead in recent memory
      Are you implying that Steve Jobs is a figurehead? or is that you just don"t know what the word means?

      figurehead a nominal leader or head without real power
      --
      * Game Over * High Score: 264,846,927 -- Your Score: 14
    3. Re:Wow, that was quick by Kelson · · Score: 4, Interesting

      After venting their rage for a day, many of the upset early adopters become even more loyal to the company than before. They get a lot of good PR for listening to their customers.

      Good point. I recall reading somewhere that people are more impressed by a company resolving a bad experience to their satisfaction than they are simply by good experience. (This is, of course, self-limiting. If every initial experience is bad, most people will stop slogging through repeated bad experiences to get to the good ones. Well, software .0 versions notwithstanding.)

    4. Re:Wow, that was quick by Paradise+Pete · · Score: 1
      I'm pretty sure it was planned.

      If it had been planned he'd have said it at the announcement. Then there'd have been nothing but cheers.

      They saw the reaction and knew they had to make a P.R. move. The reality is that hardly any phones ever get resold as used - they either break, get lost, or just wear out. So what the price drop really meant for early adopters was simply that now the replacement cost was a lot less. But since that's not how people saw it Apple had to do something, and so keeping their eye on the long-term picture that's what they did.

      Some outfits never learn that lesson. The RIAA, for example, has the stripper mentality of "what can we squeeze out of them today?"

    5. Re:Wow, that was quick by tknd · · Score: 0

      I don't know what's worse. A company that honestly admits they were ripping off early adopters by slashing the price $200 a month and a half later or a company that doesn't share that information. In fact, it's worse than that. A 4GB iphone was going for $299 and it was already stated that the product cost about $230 to build. So if we give a generous $70 to account for the more expensive 8GB flash chip, it becomes blatantly obvious why they would discontinue 4GB models and only sell 8GB. At $299 and 4GB, their margin is $69, but at $399 with an estimated $300 to make, their margin is $100 per a unit.

      Sure, it's their product and they can sell it for whatever they can get. But I at least hope it knocks some sense into fanboys that are willing to fund a company that is selling a product so blatantly overpriced to consider otherwise. If Apple had priced the product correctly from the start, this would have never happened and it would have shown some faith that they actually have some understanding of a consumer's pocket. But they didn't, they wanted your money and all $200 of it up front. It just reiterates the fact that at the end of the day, things like cash flow, net income, and revenues are what the Company wants.

      If Jobs is willing to refund $100, he should pay it back in cash with 1.5 months of interest, not in-store credit to save face by keeping his revenue.

      Finally, there's proof that if you respect the customer's wallet, they will reward you in return than had you ripped them off in the first place. Look no further than the Wii. Nintendo could have easily charged $300 and still come in under its competitors while increasing margin, but they actually thought about it. They figured if they set the price low enough, people would be more willing to buy so they could win on turnover (volume) rather than on margin. It was risky, but they had faith in their product and the consumers. But because they did, they're now taking over the market.

      Jobs had the same chance and he missed it by a long shot.

    6. Re:Wow, that was quick by EastCoastSurfer · · Score: 4, Insightful

      A company that honestly admits they were ripping off early adopters by slashing the price $200 a month and a half later or a company that doesn't share that information.

      I'm not sure how it was a ripoff. The price was clearly stated and the early adopters happily paid. Hell, they even stood in line for days to pay the original price. I always think of a ripoff as something not being worth what you paid. From what I've read, all the people who were early adopters love their phone and never complained about paying for it.

    7. Re:Wow, that was quick by suv4x4 · · Score: 4, Insightful

      Look no further than the Wii. Nintendo could have easily charged $300 and still come in under its competitors while increasing margin, but they actually thought about it.

      How about you look further than Wii. Of the top 3 consoles right now, Wii makes the highest margin of all three. That is, they make a margin >0, and PS3 and XBOX360 make margin 0.

      The rest of your story is about the same quality as well.

      I bought Nokia phone without sound, ringtones, color screen, or camera or anything at al, for $250 few years ago. Now I can't sell it for $10.

      That's life, and Steve only gave the $100 credit because he pays for the fanbase he built, a minority of fanatics who believe that iPhone costed every single dollar of those $600 they paid. Look at the forums and you'll see fans sing praises about how Apple is much better than Dell since they use better parts and have better QA (which is funny since they use the same parts and have about the same QA). You'll see talk about design, and how good design is expensive to do.

      They believed iPhone costed $600 hard dollars, and that would be so for a long time. They're now disillusioned since the imaginary value they purchased has just gotten 33% less.

      And hence have two options : 1. learn something new, get less fanboyish, more cynical and continue your life; 2. turn against your idol and whine like a sissy.

      Guess which was the easier one.

    8. Re:Wow, that was quick by bigstrat2003 · · Score: 0

      Well, the early adopters may not feel ripped off, but that doesn't mean the iPhone is worth $600 (to most of us). It's just a phone, there are countless others out there for much cheaper.

      --
      "16MB (fuck off, MiB fascists)" - The Mighty Buzzard
    9. Re:Wow, that was quick by EastCoastSurfer · · Score: 2, Insightful

      I agree. Value is a personal decision. The iphone wasn't worth $600 to me or $400 for that matter. I was mainly replying to the early adopters who suddenly feel they got ripped off. The value of their phone to them didn't change when Apple lowered the price.

    10. Re:Wow, that was quick by mgabrys_sf · · Score: 0, Troll

      Right getting ripped in the press, getting notices from AT&T on refunds, getting charge-backs from the credit card companies for untold amounts of revenue, open speculation on the financial news networks shaking investor confidence?

      GREAT FUCKING PLAN MORON!

      Could you spend some of that apologist effort on this Senator of Idaho for me? He needs your love!

    11. Re:Wow, that was quick by gordo3000 · · Score: 1

      hm.... amazon and every other major book retailer did it for the 6th harry potter when they realized that demand wasn't meeting orders, and they didn't wait to do it. They announced a price cut on the book before it was released and returned the money (CASH) to the people who bought it earlier.

        but if you already bought an apple iphone, what are your choices for this? their over priced (by a lot larger margin) accessories? an iPod to replicate function (and also greater margin)? their computers(doubtful, way too expensive compared to the size of the rebate)?

      all in all, they win huge without actually doing anything to reduce their profits. and they get about 80 mm dollars of zero interest loans during this time period. You're right, it's a good business move when your phones aren't selling anywhere near as well as you hoped. you are able to keep most of the profits in house. but they aren't being some benefactor feeling like they had overpriced their product and everyone deserves some money back.

    12. Re:Wow, that was quick by Tablizer · · Score: 0, Flamebait

      Say what you will, but what other company figurehead in recent memory has came out and apologized for other people's willingness to spend their money?.... I wish Steve would run for the next presidential election.

      As a nation we made some grave errors in judgment with regard to Iraq and weapons of mass destruction. To help correct the situation, I've hired our top scientists to put Saddam's head back on, revive him, and restore his rightful position as President of Iraq.

      - George W. Jobs

    13. Re:Wow, that was quick by Anonymous Coward · · Score: 0

      (which is funny since they use the same parts and have about the same QA).

      Not true. 2 examples I know of:

      1) LCD monitors: Dell used to accept panels with 2x more dead pixels than Apple (don't know what it is now, but at the time I found out about this, both were getting their (20") panels from the same manufacturer.)

      2) Memory: At Apple, a single defective DIMM sampled in a batch means the entire *batch* is returned to the manufacturer. Not so at Dell, where it simply leads to more sampling (and more...)

      (A statistician friend had started to work on sampling procedures and experimental design for these kinds of problems at Dell. Ironically, he's been laid-off since!)

    14. Re:Wow, that was quick by Opportunist · · Score: 1

      If every initial experience is bad, most people will stop slogging through repeated bad experiences to get to the good ones.

      Just to give an example: Windows Vista sales.

      Though you have to admit, it took people a while to arrive there.

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
    15. Re:Wow, that was quick by Opportunist · · Score: 4, Insightful

      Bluntly? I don't even see why the price slashing is an issue.

      That appliances and new hardware are way overpriced at market introduction is a given and (hopefully) known. Take an arbitrary graphics card. Compare its price at introduction and after 3 months. Now tell me that the company making them didn't "rip off" its early adopters by charging about 3-5 times what the card obviously (judged by the price after 3 months) costs.

      You're not forced to buy it. There are many other models on the market, there is actually still some kind of competition between the manufacturers, so you do have a choice. You can settle for a smaller card for 3 months, then buy that superspecialawesome card and you still spend less. If you insist in having a certain piece of hardware before anyone else, pay the early adopter tax.

      I did with the 8800, because I wanted it. I was well aware that the 600 bucks I spend on it are going to be "wasted" and half a year later, I get it for half the price. I wanted it now, and I paid, and that's how it is. Don't like it, don't buy it.

      The same applies to the iPhone. Yes, it was overpriced at intorduction, and I hope everyone knew that. You want it? Ok, pay the price. But don't complain that 3 months later it costs a fraction, that's how the market works.

      Now Apple does something nobody else ever did. They actually offer benefits to their early adopters and hand out freebies to them. Yet, people complain and lament, that it ain't enough and that they feel ripped off, and that they should give back money instead.

      If I was Apple, the lesson learned would be to cease that kind of policy altogether and just let people sit there and fume. Hey, appearantly it's more acceptable than getting a rebate that's "not enough". At least I don't hear anyone complain to Intel, nVidia and all the other manufacturers who do essentially the same but do NOT offer anything to their early adopters.

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
    16. Re:Wow, that was quick by Anonymous Coward · · Score: 0

      They believed iPhone costed $600 hard dollars

      The past tense of cost is cost. Get it right. Yes, this is a spelling flame, and I'm a fucking pedant.

    17. Re:Wow, that was quick by suv4x4 · · Score: 1

      The past tense of cost is cost. Get it right. Yes, this is a spelling flame, and I'm a fucking pedant.

      Thanks :)

    18. Re:Wow, that was quick by Bill_the_Engineer · · Score: 1

      The Wii? You're comparing the iPhone to the Wii?

      Let's be honest, if Nintendo charged any higher for the Wii then the product would fail. It is only an incremental upgrade from the Gamecube with a new type of controller. Nintendo knows exactly how much their Gamecube was worth due to the fact that they had to lower the price to $99 just to stay in the game console market more than a few years back.

      Anyway, does it really matter what people spend there own money to purchase for themselves? I'm used to seeing sour grapes on these boards. I don't like the iPhone because... well because I don't like Apple... boo hoo. I don't like Windows because Bill Gates is the devil... I don't like Linux because it is a unfinished product and a huge time sink...

      But wait, maybe the real reason is "I'm bored, so I will start a flame war on Slashdot"... Yep I think this is the main reason. Not that Steve Jobs is a cunning capitalist, or that the iPhone was bad.. Nope because you were bored, and decided to try to flame something that you would finally have someone to talk to...

      While we are being honest... I replied to you because I was bored and everybody else is asleep... LOL

      --
      These comments are my own and do not necessarily reflect the views or opinions of my employer or colleagues...
    19. Re:Wow, that was quick by Rogerborg · · Score: 1

      *cough* Stockholm Syndrome *cough*.

      --
      If you were blocking sigs, you wouldn't have to read this.
    20. Re:Wow, that was quick by Anonymous Coward · · Score: 0

      I would answer that, but I am too busy recovering from the backstab... (whinning)

    21. Re:Wow, that was quick by RadioElectric · · Score: 1

      Would it have made the news if he announced it at the same time? This way the story gets big as an "apple bad?" story, then he flips it into good PR which usually the media isn't so keen on pushing.

    22. Re:Wow, that was quick by Ubergrendle · · Score: 0, Troll

      This was brilliant marketing through and through. Bravo.

      I would prefer Bill Hick's proposed methodology for addressing this marketing campaign rather than giving them kudos. (e.g. "If you're in marketing, kill yourslef. Now. Do the human race a failure. Yes I know you're thinking 'oh he's going for the cynical jaded anti advertising focus group...hot market'. KILL YOURSELVES."

      Seriously, how much cool aid have the apple zealots drunk over the years? Apple played you for brand loyalist SUCKERS. They didn't even wait until Christmas season...this was planned probably a year or more ago, they locked in the early adopters fast and quick, grabbed some quick cash, and they're happy.

      By the way, he's not giving you a $100 rebate...he's giving you another $100 of product. Which costs probably $50 for them to generate. Only available through their store. They're profiting from you while they're apologising for ripping you off.

      F@@@ Apple. They make Microsoft look like Salvation Army.

      --
      John Maynard Keynes: "When the facts change, I change my mind. What do you do?"
    23. Re:Wow, that was quick by eshefer · · Score: 1

      "the _still_ get to keep $100 of the early adopter tax."

      no. they keep much more. MUCH more. and they might even gain from this move.

      if people use that money to but a apple hardware product, apple loses very little, aspecially if goes towards an expensive product (like a laptop or an imac) - they will loose money only if it's a ipod, specificly an ipod shuffle or the low end nano.

      if people use that money to buy apple software (like ilife, iwork or Mac osX leopard, when it comes out) - apple wont loose anything but the shipping and packaging costs (which are negliagble).

      if people use it to buy songs from itunes (if that is possible at all, I'm not sure itunes and the apple online store are the same system, is it?)

      apple will loose arround 50$ per user - this means they pocket the difference - which is 150$ - and that's the WORST case scenario for apple, as I see it.

      brilliant PR move, brilliant marketing move. pretty sharp.

      plus: it gets people into the apple online store that might not have had that expirience before. to BUY something.

    24. Re:Wow, that was quick by nine-times · · Score: 1
      When you pair:

      I bought Nokia phone without sound, ringtones, color screen, or camera or anything at al, for $250 few years ago. Now I can't sell it for $10.

      with:

      They believed iPhone costed $600 hard dollars, and that would be so for a long time. They're now disillusioned since the imaginary value they purchased has just gotten 33% less.

      I wonder why you don't consider the possibility that Apple's dropping the price, as quick as it was, might have actually been for some reason. It's like you're imagining that Apple is nefariously giving huge mark-ups, but then when they cut their prices, it's because they had some attack of conscience for charging too much.

      Of course, the price cuts (like all price cuts) are designed to move more product. Fine. But there very well might have been some cause beyond that. Maybe Apple got a better price on the flash storage. Perhaps they renegotiated something with AT&T. It's even possible that the price was meant to account for a failure rate in the factory, and the failure rate was found to be lower than expected.

      Whatever the particular cause, as you indicated, this stuff happens all the time with high-tech devices. You buy something, and a year later, or sometimes even a couple months later, you can buy something better at a lower price. If you don't want to take that sort of loss, don't buy the expensive new gadgets. Buy the established technology from a couple years ago that people can't sell for $10.

      And this is coming from someone who got an 8GB iPhone the first weekend. If I could have paid an extra $100 to get it a month earlier than that, knowing the whole situation and exactly what that money would be buying me, I might have. And I damn well know that in two years, they'll have a new model that smaller, holds more songs, and has more features, and it'll cost the same or less. But I have the money and don't want to wait for two years.

    25. Re:Wow, that was quick by Anonymous Coward · · Score: 0

      If the ram has a defect, so what, that's what the warranty is for, dell will replace it, big deal. And extending your warranty on a Dell is cheaper than the stupid Apple Care. And Dell also offers an option for accidental damages, Apple does not, that's very useful for laptops and mini towers.

      I don't care much for this dead pixel issue, because you get so much less for your money by buying an Apple monitor that there is no way in hell i'd choose to get anally raped. Please, look at the fucking specs. The monitors Apple is selling at obvious high prices are getting seriously OLD. OLD. OLD.

    26. Re:Wow, that was quick by Shifuimam · · Score: 1

      And it's because of this that I despise Apple. The fanboys are going to scream about how much Apple cares about their customers, and what a great and generous guy Stevie is, when in reality all it comes down to is PR and marketing. Jobs is a slimy guy, and it's crap like this that feeds the fanboys worship of him as a great, wonderful, perfect person and the messiah of the computer industry. A $100 store credit isn't shit. Give the consumers their extra $200 back - in cash or check - if you really care about keeping your customers happy.

      --
      I'm a geek girl. Seriously.
    27. Re:Wow, that was quick by Stamen · · Score: 1

      Gasp! A company doing PR and Marketing to increase their bottom line, the horror! WTF people, that really goes without saying, it's the purpose of every commercial company. You despise Apple? Really? Apple is the thing in the world that you spend your time despising? Perhaps you should take some time and think about your priorities, Apple is just a commercial computer company, wether you like their products or not, that's all they are. Steve jobs loves both the fanboys and people like you, because you both are the same, you are elevating him and his company way too high, to the level of absurdity.

      Apple is great at marketing, well no kidding; and water is wet, and the sky is blue.

      As for this particular bit of PR by Jobs and Apple, it was brilliant, and daring. If you think most companies would take the risk or the financial hit (if if a $100 store credit only costs them $20, it is still a financial hit) by doing a PR stunt like this I'd question if you've actually worked in a big company.

    28. Re:Wow, that was quick by seriesrover · · Score: 1
      I disagree - Jobs has set a precedent that Apple customers will now EXPECT - that he's prepared to give refunds in contradiction to Point 2 in his letter.


      The initial price was set too high and he corrected that mistake but by giving the early adopters a refund (of sorts) he's wanting his cake too. He's binding himself to any future price decisions they make - he has to add the 'we have to bump the price up a bit to counteract a possible refund for early adopters' factor - thats not the sort of confidence Wall Street likes. The stock has taken quite a hit in the last 48 hours or so and hopefully the very people that developed the iPhone aren't the ones that will bear the brunt.


      I seriously think this decision will come back to haunt him.

    29. Re:Wow, that was quick by citog · · Score: 1

      Just being bitchy (I'm back from the pub) but software doesn't cost $0 as you imply. The rest is fairly solid and points to the fact that Apple didn't realise first adopters would be that fucked off but they've made a gesture. Few people will call it fair on here but most people will recognise that no one else would have done it. Apple won't hurt much because of it (the stock will be back in a couple of days) but they'll gain the good old intangible goodwill. I became a fanboy about four years ago when I bought a powerbook (so, feel free to take what I say with caution) and I've bought some more macs since. I've never been done wrong by Apple - I've always been pleased with what I got. Course I've seen newer models released after my purchase but that's tech. As you say, Apple will make a PR killing on this. Apple users love Apple and they'll/we'll feel vindicated now.

    30. Re:Wow, that was quick by shmlco · · Score: 2, Interesting

      "if people use that money to buy apple software (like ilife, iwork or Mac osX leopard, when it comes out) - apple wont loose anything but the shipping and packaging costs (which are negliagble)."

      Well... it might be also be assumed that I'd buy Leopard anyway. In which case that's an additional $100 (theoretically in pure profit) that they did NOT get from me. Or an extra $100 that I didn't spend at the iTunes store. Or so on.

      In short, your "logic" only holds for items that, but for the $100 gift card, I would NEVER have purchased in the first place.

      --
      Any sect, cult, or religion will legislate its creed into law if it acquires the political power to do so.
    31. Re:Wow, that was quick by eshefer · · Score: 1

      "Just being bitchy (I'm back from the pub)"

      nah. I think we, basicly, have the same view.

        but software doesn't cost $0 as you imply."

      the develpment costs, the distribution doesn't (almost) - software that is shipping and is in apple's store is software that apple losses 0$ on by offering this rebate.

      "Apple didn't realise first adopters would be that fucked off "

      could be. it was just such a smart move, I found it hard to believe it was a mistake. On second thought, I think you are probably right.
      I also agree that a different company wouldn't have made a move like this, definetly not respond THIS fast.

    32. Re:Wow, that was quick by GPL+Apostate · · Score: 1

      It is only partially accurate to describe Apple customers as victims of Stockholm Syndrome.

      --
      Microsoft says legacy (serial/parallel) ports are bad. They don't obfuscate the hardware enough.
    33. Re:Wow, that was quick by GPL+Apostate · · Score: 1

      Maybe Steve Jobs will sell you a sticker for $200 that says 'I paid an extra $200 for this sticker to put it on my iPhone' for you to show off to your friends.

      --
      Microsoft says legacy (serial/parallel) ports are bad. They don't obfuscate the hardware enough.
    34. Re:Wow, that was quick by Anonymous Coward · · Score: 0

      I totally agree with you and posted a similar thought in the Apple discussion forums the day they announced the $100 credit. Apple promptly deleted my post (after about 40 people responded (mainly agreeing with me)).

      When it comes to marketing and getting people to pay premiums for their stuff Apple (Jobs) has always been masters.

      Does anyone really think that Jobs is so stupid that he didn't know there were going to be a whole lot of pissed of people when he announced the $200 price cut?

      As soon as he did that, he went from God status to being related to Bill Gates (several levels below Satin!).

      Gates, I mean Jobs, then releases a letter to his deciphals giving them $100 back in store credit which probably really only costs apple about $30 (given their margins).

      Jobs instantly goes back to God status yet he gets to keep 170 of the 200 clams that he got from the early adopters.

      In my opinion, if Jobs had announced the $100 credit at the time of the announcement of the $200 price cut people would have not been satisfied with that. By delaying it for 24 hours he not only got more (and good) press, he got to keep $170 of the $200 from the people who bought the iPhone in the first 6 weeks.

      As soon as the pool of people willing to pay $400 for the iPhone dries up, the price will drop to $300. This is probably close to what the phone costs to make, but remember, he gets kickbacks from A T & T every single month for every single iPhone that is sold and those kickbacks last for a minimum of 2 years.

      I agree that this plan was brilliant. I just wish the morons in the press would realize it and point it out to people.

  4. waaaa i want my money back by Anonymous Coward · · Score: 5, Insightful

    wtf is wrong with these early adopters who complain about paying more? they knew from the beginning that apple will drop prices. whiney bunch of pussies

    1. Re:waaaa i want my money back by notthe9 · · Score: 1

      Whining with good reason or not, the squeaky wheel gets the $100 rebate.

    2. Re:waaaa i want my money back by gfxguy · · Score: 1

      Now it's time for Apple shareholders to whine.

      --
      Stupid sexy Flanders.
    3. Re:waaaa i want my money back by Skynyrd · · Score: 1

      wtf is wrong with these early adopters who complain about paying more? they knew from the beginning that apple will drop prices. whiney bunch of pussies

      The only early adopter I know said (yesterday) "damn, if I waited a month, I would have saved $200". He wasn't angry, emotional or whiny - he made a statement.

      Today when I told him he was getting $100 of Apple credit, he was pleased about. Not excited, just happy to get something back.

    4. Re:waaaa i want my money back by dhollist · · Score: 1

      Of course they knew the price would drop, but a 33% price drop in less than 70 days is both more of a discount and sooner than usual, if not unprecedented. Some of the open letters to Steve Jobs say exactly that.

    5. Re:waaaa i want my money back by SSG+Bryan · · Score: 1

      Name 1 other Apple product that had it's price slashed 1/3 in 60 days.

  5. Re:Why not $200 store credit? by Liselle · · Score: 5, Insightful

    How can you "lose" $100? Does Steve Jobs mug you on the street? You paid $599 for a working product, end of story. Early adopters pay out the nose for bragging rights, film at 11.

    --
    Auto-reply to ACs: "Truly, you have a dizzying intellect."
  6. next week.... by weirdcrashingnoises · · Score: 2
    > Details will be posted on the Apple website next week

    "Please provide apple with your phone number, address, receipt from the place of purchase, original UPC..."

    *slaps forehead*

    --
    sigs... don't talk to me about sigs....
    1. Re:next week.... by Bomarc · · Score: 5, Funny
  7. Why the surprise? by chill · · Score: 0, Flamebait

    At $599 with a 2-year contract and no rebates, early adopters HAD to know they were paying a hefty premium. By now Apple fanboys should be so used to this Steve Jobs could've stuck his entire fist up their asses, without lube, while reaching for their wallets, and they'd be chanting "Thank you sir! May I have another?"

    If you buy new gadgets on Day 1, especially from companies that charge a premium for brand, expect to get reamed.

    --
    Learning HOW to think is more important than learning WHAT to think.
    1. Re:Why the surprise? by DeepZenPill · · Score: 5, Funny

      Unfortunately I only bought my iphone because my beloved Samsung D807 suffered a premature demise.

      That said, I think most of us early adopters aren't angry so much that we might have saved $200 by waiting, but by the fact that all kinds of riffraff can now afford the most fabulous object in the world. We paid a premium to assert our superiority and now we have to hear: "Oh, you bought it before the price drop?"

    2. Re:Why the surprise? by Anonymous Coward · · Score: 0

      > If you buy new gadgets on Day 1, especially from companies
      > that charge a premium for brand, expect to get reamed.

      Well, like Steve Jobs pointed out if you'd read TFA, it goes for any technology-related product; it has little to do with brand names. If you buy Cheap Brand Product #1 and it's outdated the next day by Better Cheap Product #2, you still lose. And this happens all the time. In fact, usually it stings worse when you buy something that is outdated by another (perhaps less expensive) product in a matter of days (as opposed to early adoption like you point out). That's not what happened to the "Day 1" early adopters, who had several months of iPhone usage; it only happened to those who bought one a few days ago; and again, this happens all the time. Also like Steve pointed out, if we always waited for the upgrade or the next version, we'll never end up buying anything.

      The news here is that Apple is even doing anything at all; certainly nothing is owed to current iPhone users since this is such a common occurrence. Would you expect any other company (especially no-brand) to have done anything? Apple is obviously going well out of their way to keep people happy, and they're obviously expecting to gain a lot from their new iPod line-up.

  8. Re:Why not $200 store credit? by woodchip · · Score: 5, Insightful

    They didn't "lose" anything. That is just the price you pay for having it a few months before people are willing to wait. If your stupid enough to waste $600 or so on a phone, it your own fault.

  9. Just be sure credit not handled by Vastech by ackthpt · · Score: 3, Funny

    The dumpster hungers.

    --

    A feeling of having made the same mistake before: Deja Foobar
  10. Re:Steve; make it retroactive to all Apple product by HBI · · Score: 3, Informative

    When the SE/30 was released Jobs was not in charge. That was Sculley's reign.

    --
    HBI's Law: Frequency of calling others Nazis is directly correlated with the likelihood of the accuser being Communist.
  11. Re:Why not $200 store credit? by DarkArctic · · Score: 2, Informative

    Correct, and apparently people two weeks before the price cut and still have the receipt get the full $200.

  12. Funny by EaglemanBSA · · Score: 1, Insightful

    Funny how that's vastly different from refunding $100, or even the $200 the phone users are out -- Apple will simply lose the production costs of the items sold under that store credit (not to mention gaining profits from any accessories bought as a result beyond the $100 credit). It's not to say such hardware prices wouldn't normally fluctuate, but a month or two is a bit quick for something that's seemingly so successful. I wonder where to draw the line between truly normal price decreases, and jacking the price on something you know will sell like hotcakes...I'm not all that business-savvy, so feel free to educate me if there is indeed such a line.

    --
    Quiz: True or False -- On a scale of 1 to 10, what is your middle name?
    1. Re:Funny by rlbond86 · · Score: 1

      I'm sure a bit of the $200 comes from early fabrication costs and some comes from business knowledge. Still, $100 store credit is nice publicity.

    2. Re:Funny by RedElf · · Score: 1

      Mod Parent Up!

      This is really just another self-serving grab by Apple. To be honest I'm surprised at how many comments are blindly thanking them for this.

      --
      You know, I have one simple request. And that is to have sharks with frickin' laser beams attached to their heads!
    3. Re:Funny by bjourne · · Score: 1

      I wonder where to draw the line between truly normal price decreases, and jacking the price on something you know will sell like hotcakes...I'm not all that business-savvy, so feel free to educate me if there is indeed such a line.

      Supply, demand. If the stupid iPhone was selling like hotcakes right now (high supply), then you wouldn't lower the price with $200 because that is the same as losing $200 on every product sold. Therefore, not as many people wants an iPhone right now (low demand) and earning $200 less is better than not earning anything at all. Something is fishy!

    4. Re:Funny by cowscows · · Score: 2, Insightful

      Honestly, I'm surprised by how many people feel like the whole world owes them something. And when someone out there in that world offers them something, they bitch about it.

      Steve Jobs didn't do this purely out of the kindess of his heart. He knows full-well that Apple will get some good PR out of this. But the best deals in life are the ones where both sides benefit. I fail to see how any iphone owner can feel like they're worse off by being offered this deal.

      It's a gift, maybe not given 100% out of kindness, maybe not exactly what you wanted, but it's still a gift.

      --

      One time I threw a brick at a duck.

    5. Re:Funny by deft · · Score: 1

      You aren't business savvy... thats not "jacking the price up" but actually just charging what the market will bear. In order to make a profit, you ALWAYS have to "jack it up" over what you paid to make it.

      it happens ALL THE TIME with cell phones. If you want the newest today, it costs about $400, like the razor did. Now you get it for $100.

      --

      There's nothing Intelligent about Intelligent Design.
    6. Re:Funny by larry+bagina · · Score: 1
      Around half of early iPhone sales weren't activated by AT&T. Translation: They're essentially being used as iTouch iPods. Now look at the typical cell phone business model: sell the phone below cost (or give it away) then make it up over the 2 year contract. (Apple gets $9/month or so from AT&T during the life of the contract).

      With the iTouch available, people buying an iPhone are going to be using it as a cell phone and Apple will be able to recognize that monthly revenue, so the profit margin at the time of sale isn't as important.

      $9/month * 24 months = $216.

      Apple makes $16 more from someone buying a $400 iPhone with service than someone that buys a $600 iPhone and hacks it. (and that's not counting any money AT&T pays at time of activation and for bringing in new customers from other networks).

      --
      Do you even lift?

      These aren't the 'roids you're looking for.

    7. Re:Funny by bigstrat2003 · · Score: 1

      I fail to see how any iphone owner can feel like they're worse off by being offered this deal. Not worse off exactly, but I can see someone very reasonably being miffed by the fact that Apple is giving them store credit, not cash.

      Hell, Slashdot was all up in arms (for the most part) a few weeks ago when Google did a similar thing with their video service, offering Google credit instead of a true refund... why not have the same hostility now?

      --
      "16MB (fuck off, MiB fascists)" - The Mighty Buzzard
    8. Re:Funny by bwy · · Score: 1

      Well, if was absolutely going to buy Leopard no matter what, even before this happened, and now I apply the $100 to that purchase, Apple is actually out the $100 in terms of opportunity cost.

      The case you presented is valid however for people who decide to buy something they wouldn't have ordinarily bought.

    9. Re:Funny by ContractualObligatio · · Score: 1

      "I wonder where to draw the line between truly normal price decreases, and jacking the price on something you know will sell like hotcakes...I'm not all that business-savvy, so feel free to educate me if there is indeed such a line."

      The idea of goods being sold at cost + a fixed margin is commonly accepted to be non-business savvy. Charge what the market will bear. However, large scale retail of high profile electronics goods tends to avoid re-pricing at the speed of e.g. airplane tickets, which rapidly fluctuate according to demand, not cost. Look at games consoles - they attempt to pick a price that will last some considerable time, rather than jacking them up for a Christmas launch.

      So two months is quick. The whiners have no reason to complain, but then people get irked by small things and typically you would expect a company not to inflict PR pain upon a high profile product line. Accusations of gouging can hurt - it's been in the pricing for sports events, even when black market ticket values are way higher than face value.

      Presumably there was some trigger at Apple. I would guess that the price change was forced by the introduction of the new iPod touch, their rate of sales is not considered fast enough to meet their market share targets, or the imminent European launch has been analysed as requiring a lower entry price for some reason and they need to bring US pricing in line.

      It would make me chuckle if it was simply intended as a lesson to early adopter fanatics though...

    10. Re:Funny by Anonymous Coward · · Score: 0

      Hell, Slashdot was all up in arms (for the most part) a few weeks ago when Google did a similar thing with their video service, offering Google credit instead of a true refund... why not have the same hostility now?

      Maybe because their iPhone still works.

    11. Re:Funny by mstone · · Score: 1

      Oh, for a world where companies only had to think about one thing when setting prices..

      Profit per unit sold is only one thing a company can want. It can also want market share. The iPhone is toward the top of the hot-shit-must-have items right now, and the Christmas buying season is right around the corner. Dropping the price will mean that many more people find iPhones in their stockings come Christmas morning, and Apple's share of the cellphone market will grow by that much more.

      Apple also gets a cut of the service contract from AT&T, and that revenue isn't tied to the purchase price of the iPhone. Selling one iPhone at $500 and getting a single $100 payment from AT&T brings Apple $600. Selling two iPhones at $300 and getting two $100 payments brings Apple $800. And the $100 payments are pure profit for Apple, where you have to subtract the materials, development, shipping and marketing costs from the initial $500-or-$300 payment.

      Beyond that, Apple also sells stock. A lot of investors and analysts are still leery about Apple's ability to make it in the cellphone market. A 2007-Q4 report that shows iPhones selling like mad over the holiday season will help those investors and analysts feel more comfortable about Apple's ability to succeed in that market. That will take stock prices up, and it doesn't take much of a boost in stock price to offset a $200-per-unit accounting loss on the iPhones themselves.

    12. Re:Funny by mstone · · Score: 1

      ---- Presumably there was some trigger at Apple. I would guess that the price change was forced by the introduction of the new iPod touch, their rate of sales is not considered fast enough to meet their market share targets, or the imminent European launch has been analysed as requiring a lower entry price for some reason and they need to bring US pricing in line.

      The Christmas buying season is right around the corner. The iPhone is toward the top of the 'must have' tech products list right now. That buzz won't be there in another year, so Apple's capitalizing on it while they can.

      Plus, Apple wants a share in the cellphone market. The faster it can build its installed base, the sooner all the pundits and analysts saying, "well, we don't know whether Apple will be able to stay in this for the long term.. they're only a niche player after all, and other, bigger companies have tried to tackle this market and failed" will shut the hell up. Three or four quarters of iPhone sales numbers climbing like nothing the cellphone market has ever seen will drive Apple's stock price through the roof.

      Another point: The frenzy surrounding the iPhone was fueled largely by Apple's success with the iPod. The question then was, "will they be able to do it again?" If the iPhone turns out to be another runaway hit, imagine the buzz Apple's next hardware product will get.

    13. Re:Funny by ContractualObligatio · · Score: 1

      The Christmas buying season is right around the corner. The iPhone is toward the top of the 'must have' tech products list right now. That buzz won't be there in another year, so Apple's capitalizing on it while they can.

      Very possibly. I just feel that a mere two months premium isn't worth the PR impact of a fast drop in price. An open apology at the launch of a new product doesn't suggest everything went to plan. I give Apple a lot of credit for knowing about product sales. Not thinking about Christmas sales would be hard to forgive a product manager for. Failing to take into account the effects of as yet unreleased product lines, and not considering that Apple might in fact be its own biggest competitor for Christmas gadgets - still bad but comparatively understandable. Therefore my first guess would be the introduction of the new iPods has caused a revision of iPhone pricing.

      Plus, Apple wants a share in the cellphone market.

      Yes, I did mention they have market share targets.

      The question then was, "will they be able to do it again?" If the iPhone turns out to be another runaway hit, imagine the buzz Apple's next hardware product will get.

      Absolutely. But then why risk the buzz being, "just wait a few weeks, it'll be better to buy when you can get a refund if there's a price drop"? Wouldn't you want your reputation for being flawless, controversy free launches?

    14. Re:Funny by darthflo · · Score: 1

      Don't forget to factor in interest. While $200 would generate about $33 over two years at 8 percent per year, $108 over one year would only generate some $9 (resulting in $233 vs. $227).
      Those numbers are probably quite a bit off (Interest would probably be calculated on a daily basis; Apple's interest expectations may be higher), but I couln't imagine Apple not having thought this through very, very deeply (until AT&T can screw up however bad they want to without affecting Steve's profits too much).

    15. Re:Funny by heinousjay · · Score: 1

      It's not exactly reasonable to be miffed, Apple doesn't owe them anything. The people who bought an iPhone at 599 did so with full knowledge of the price.

      --
      Slashdot - where whining about luck is the new way to make the world you want.
    16. Re:Funny by cylcyl · · Score: 2, Informative

      Where do you get this statistic? From the AT&T reports that there were 130k activations but apple reports that 250k sold in the first 2 days? Has anyone considered the fact that at&t only stocked their stores with 50-100 phones in 1000 locations and there being only 160 apple stores? I suspect that retail only physically sold ~150k phones (10% had activation problems). The other 100k probably came from people like me who bought it on-line or placed an order thru at&t store. NONE of those people got their phone till AFTER July 1st, but Apple has SOLD it during the first two days. I sincerely doubt that the number of people who used it as iTouch iPods was anywhere near 50%.

      (in addition, iirc you couldn't even use it as iTouch iPods until the hack came out a couple of weeks later, so 50% people bought bricks they can't use in the first couple of weeks?)

    17. Re:Funny by The+One+and+Only · · Score: 1

      The Google analogy only holds up if Apple took away your iPhone and gave you $600 in Apple Store credit. That's not what happened at all. Plus, Apple Store credit is good for lots of neat things, like third-party software and iPhone accessories. Or iPod socks!

      --
      In Repressive Burma, it's not just your connection that dies. slashdot.org/comments.pl?sid=314547&cid=20819199
    18. Re:Funny by bigstrat2003 · · Score: 1

      That doesn't mean that it's legitimate to offer you Apple store credit. If they really are trying to make it up to their customers, give them cash. Else, this is lip service, nothing more, in my opinion (and would be from any company, I was similarly disappointed in Google's decision).

      --
      "16MB (fuck off, MiB fascists)" - The Mighty Buzzard
    19. Re:Funny by The+One+and+Only · · Score: 1

      It's perfectly legitimate for them to offer nothing. Were you this bratty to your parents on Christmas morning?

      --
      In Repressive Burma, it's not just your connection that dies. slashdot.org/comments.pl?sid=314547&cid=20819199
    20. Re:Funny by bigstrat2003 · · Score: 1
      I don't have an iPhone, so don't give me that. I get nothing out of this one way or another.

      Anyways, yes, it IS legitimate for them to offer nothing. It's NOT legitimate to offer store credit. They should have offered cash or nothing, not a cop-out in-between solution that doesn't really satisfy anyone.

      --
      "16MB (fuck off, MiB fascists)" - The Mighty Buzzard
    21. Re:Funny by The+One+and+Only · · Score: 1

      I'd be satisfied with it--and I'm pretty sure the type of people who buy $600 of Apple gear the day it comes out can find a productive use of $100 of Apple store credit. It's not only better than nothing, it's significantly better than nothing, unless you want to act like a bratty child.

      --
      In Repressive Burma, it's not just your connection that dies. slashdot.org/comments.pl?sid=314547&cid=20819199
  13. Early Adoptor by cpaalman · · Score: 1

    Yeah, Dell owes me too, big time. I can buy this laptop from them for much cheaper now, pay up, err gimme *in store* credit.

    I hope this sets a precedence. I will give Apple products much more consideration in the future if a few months after buying it I can get credit towards my next techy purchase from them.
    1. Re:Early Adoptor by MightyMartian · · Score: 1

      I hope this sets a precedence. I will give Apple products much more consideration in the future if a few months after buying it I can get credit towards my next techy purchase from them.


      Arithmetic wasn't your best subject in school, I see.
      --
      The world's burning. Moped Jesus spotted on I50. Details at 11.
    2. Re:Early Adoptor by Scruffy+Dan · · Score: 1

      I bought my dell 24 inch monitor on sale and a few weeks later it was further reduced... I want my money back!!!

      As far as I am concerned this move will probably generate lots of goodwill towards apple and create many more rabid apple fanboys. They probably figured that was worth more to them than whatever it cost them to offer the $100 in credit.

      --
      Just another crappy blog
  14. How will Apple stay in bussiness? by Nymz · · Score: 2, Funny

    If everyone that purchased an iPhone, goes out and purchases an iTouch for $100 less, how will Apple ever make any money?

    1. Re:How will Apple stay in bussiness? by JordanL · · Score: 1

      Why would anyone who bought an iPhone go get an iPod touch? It's not like it has that much more storage...

    2. Re:How will Apple stay in bussiness? by Anonymous Coward · · Score: 0

      Because iPod Touch already costs $200 more, like the iPhone

    3. Re:How will Apple stay in bussiness? by RedElf · · Score: 1

      It's called interest, just like banks make interest off your money when you place it in their hands. The difference being that banks give you a cut of their profits, Apple just takes more of your money in exchange for the next tech toy.

      --
      You know, I have one simple request. And that is to have sharks with frickin' laser beams attached to their heads!
    4. Re:How will Apple stay in bussiness? by hcmtnbiker · · Score: 1

      The ipod touch is virtually free for apple. It's 90% iphone hardware and software, almost all of their R&D(the biggest cost to them) was already done on their first project. Any ipod touches sold will be almost pure profit.

      --
      If i had one dollar for every brain you dont have, i would have $1.
    5. Re:How will Apple stay in bussiness? by Anonymous Coward · · Score: 0

      Well, you already spent $600 on the iPhone, so methinks giving you $100 to buy *another* Apple product seems pretty smart.
      Chances are you will purchase something more expensive, so not only did you spend $600, but now you're also likely to spend more than the money you're getting back.

    6. Re:How will Apple stay in bussiness? by Anonymous Coward · · Score: 0

      Either that or you'll do like me and buy $100 worth of media from the iTMS. There are several albums I've been wanting for a while.

  15. Re:Steve; make it retroactive to all Apple product by Otter · · Score: 5, Insightful
    So what is the real reason Mr. Jobs?

    If you give $100 Apple Store credit to the sort of people who bought an iPhone on iPhone Day, that's all the excuse they need to buy a new iPod, or a MacBook or another iPhone.

    What would you have bought with a credit for your SE, a IIe?

  16. Re:Steve; make it retroactive to all Apple product by ILuvRamen · · Score: 0

    So what is the real reason Mr. Jobs?
    Well duh, he wants them to buy an ipod touch with the credit hehehe
    --
    Google's Super Secret Search Algorithm: SELECT @search_results FROM internet WHERE @search_results = 'good'
  17. If Apple iPhone was Google Video.... by Anonymous Coward · · Score: 0

    your iPhone would stop working, and you'd get a $2 store credit! -ichabod

  18. Brilliant Marketing by TMonks · · Score: 2, Funny

    Damn you apple! Now I have no more excuse to not buy that 160GB iPod classic... Somehow I feel like they will actually get a net profit from this move.

    --
    I, for one, welcome our new karma-whore sig writing overlords
    1. Re:Brilliant Marketing by Computershack · · Score: 1

      Damn you apple! Now I have no more excuse to not buy that 160GB iPod classic... Somehow I feel like they will actually get a net profit from this move.

      And the Mac fanboyz have the cheek to say that Microsoft sucks you in?

      --
      I only please one person per day. Today is not your day. Tomorrow isn't looking good either. - Scott Adams
    2. Re:Brilliant Marketing by Jinjuku · · Score: 0

      Gasp, a for profit company creating a no lose scenario for making a profit. Who woulda' thunk it?

    3. Re:Brilliant Marketing by Cheapy · · Score: 1

      If I recall correctly, the price of the iPhone dropped by $200. This store credit is for $100, so Apple still made $100 off the early adopters and the early adopters are forced to spend the money at Apple stores, thus spreading the brand even more and selling more devices.
      Seems like a win-win for Apple.

      --
      Would you kindly mod me +1 insightful?
    4. Re:Brilliant Marketing by jimicus · · Score: 1

      All joking aside: how many other music/video players are there on the market with 160GB hard drives, 40 hours battery life (audio), 7 hours battery life (video), 13.5mm thick and weigh less than 170g at ANY price point?

      I'm happy to go with whatever product I think is best for a purpose, but TBH I think that Apple deserves the strong position they're in because their product is actually pretty damn good.

  19. Old news... by BigBadBus · · Score: 1

    ....but you've probably seen theregister.co.uk lately?

  20. Re:Why not $200 store credit? by MightyMartian · · Score: 2, Insightful

    Hell, if you pay $400 for a phone, you're a complete moron.

    --
    The world's burning. Moped Jesus spotted on I50. Details at 11.
  21. Re:Why not $200 store credit? by Anonymous Coward · · Score: 3, Insightful

    It's not just a phone, so it's hard to evaluate the price. Early customers thought they could trust Apple about the fact that the iPhone was worth $600. Now they lost their trust in Apple, and Steve Jobs is trying to buy it back.

  22. $100.00 credit is NOT $100.00 by gearloos · · Score: 4, Insightful

    No one has mentioned it but it is a great move by Jobs, $100.00 "Apple Store Credit" probably costs them $40.00 and in addition it is that incentive mentioned earlier. So,in no way does it cost Apple 100.00 to look like they are meeting Joe "early adopter" halfway.

    --
    "Computers are a lot like Air Conditioners" "They both work great until you start opening Windows"
    1. Re:$100.00 credit is NOT $100.00 by truesaer · · Score: 5, Insightful
      $40, except half the people wont claim it at all. And of those that do, how many will buy something that costs a hell of a lot more than $100? I bet apple profits off this.


      Steve Jobs can't even fucking give away money without making money.

    2. Re:$100.00 credit is NOT $100.00 by Anonymous Coward · · Score: 0

      Well if $100 is all the way, by your calculations they're coming 4/10ths the way, with is only 1/10th away from being half way.

    3. Re:$100.00 credit is NOT $100.00 by noidentity · · Score: 1

      Don't worry, they'll issue $100 in real credit in a few weeks. See Google.

    4. Re:$100.00 credit is NOT $100.00 by Kjella · · Score: 1

      Something tells me that the people who buy $600 phones aren't the small spenders either. For every sale they make using this credit, they're making more money. Sure, they might lose some profit on one or two people who would have come back now anyway, but I bet most of those people picked up all the accessories and such they want back when they bought the phone. Making more sales now is probably above-and-beyond sales you wouldn't have amde anyway.

      For example, say you bought a 130$ Bluetooth headset for this. Distributing the rebate, they just made you buy a 520$ phone with a 110$ headset and left you with a good feeling of Apple since your last buy was so cheap ($30 after rebate). Apple's reality destortion field is stronger than ever, and Jobs is a marketing genius. He's the kind of guy that could steal your wallet and still make you feel good about the whole experience.

      --
      Live today, because you never know what tomorrow brings
    5. Re:$100.00 credit is NOT $100.00 by kwerle · · Score: 1

      No one has mentioned it but it is a great move by Jobs, $100.00 "Apple Store Credit" probably costs them $40.00

      I am not an economist. But I think their profit margins are closer to 20% than 60%, which I think is the implication you're making.

    6. Re:$100.00 credit is NOT $100.00 by ManifestAmbiguity · · Score: 1

      You just called the Apple Faithful "Joe", you might want to look into some serious self protection.

    7. Re:$100.00 credit is NOT $100.00 by GeckoX · · Score: 1

      He's the kind of guy that could steal your wallet and still make you feel good about the whole experience. You know, you're right! I would feel good after kicking Steve Jobs in the nuts!

      C'mon Steve, steal my wallet, I know you want to!
      --
      No Comment.
  23. Apple's open letter by Experiment+626 · · Score: 3, Interesting

    Really? Steve sat down and personally read hundreds of emails that all boiled down to "I paid $200 more than I could have so you suck."? Really? You don't think that after 35 or so he'd have gotten the idea?

    (My GF's response when I showed her the article)

    1. Re:Apple's open letter by ivan256 · · Score: 2, Insightful

      "I paid $200 more than I could have so you suck."


      Really, I can understand being upset, but anybody who thinks/says that has the wrong person in mind when they're thinking of who sucks.
    2. Re:Apple's open letter by Anonymous Coward · · Score: 0

      how would you know if he did or didn't read those emails?
      just because you or your girlfriend wouldn't , you assume that Jobs wouldn't.

      Perhaps there is a difference between you & Jobs.
      Perhaps the fact that he doesn't do things the same way that you do might explain why he is running one of the most innovative and successful companies in the world and you just sit there making useless assumptions.

    3. Re:Apple's open letter by Gregory+Cox · · Score: 1

      You don't have to read something to write a reply to it.

      You should know that - you're reading Slashdot.

      --
      If you all Google Slashdot, will it Slashdot Google?
    4. Re:Apple's open letter by Gregory+Cox · · Score: 1

      Oops, the letter actually says he read them all.

      --
      If you all Google Slashdot, will it Slashdot Google?
    5. Re:Apple's open letter by SuSEboy · · Score: 1

      No, his GrandFather is a woman.

    6. Re:Apple's open letter by summernot · · Score: 1

      former apple employee who spent some time in customer service here...

      steve does personally read a lot of his mail. what he doesn't read himself is read by a team of high level customer service agents who go through all communications he receives, categorizing them, investigating issues as required and responding to each. especially significant issues are escalated at each agent's discretion.

      reports are generated that show the trends and hot issues that are prompting customers to contact steve. I would assume that based on the communications read by steve, as well as the data on feedback trends this led to the decision to offer compensation.

      that, or the whole thing was planned from the begining.

    7. Re:Apple's open letter by Anonymous Coward · · Score: 0

      Really? Steve sat down and personally read hundreds of emails that all boiled down to "I paid $200 more than I could have so you suck."? Really? You don't think that after 35 or so he'd have gotten the idea?


      He wasn't being sarcastic at all.
  24. Whiners by Pinky3 · · Score: 5, Insightful

    Years ago, when the HP LaserJet 4 first came out, I bought one at Fry's for $1600. Three weeks later, they were selling it for $1200. I didn't whine.

    Who hasn't bought a computer, a flat screen tv, or a car where there wasn't a discount or price reduction a few months later? Why would anyone expect the iPhone to be exempt from economics?

    Clearly, Apple is doing the right thing as far a public relations are concerned, but the idea that you are entitled to a refund for something you bought two months ago is ridiculous.

    1. Re:Whiners by Anonymous Coward · · Score: 0

      Clearly, Apple is doing the right thing as far a public relations are concerned, but the idea that you are entitled to a refund for something you bought two months ago is ridiculous.

      Apparently this idea doesn't seem too ridiculous to these people. I have no idea whether you can purchase an iPhone from Costco, but they guarantee 90 days on any of the electronic products they sell.

    2. Re:Whiners by Anonymous Coward · · Score: 0

      I have never bought a product that had its regular price reduced by 33% after two months.

    3. Re:Whiners by Anonymous Coward · · Score: 0

      Who hasn't bought a computer, a flat screen tv, or a car where there wasn't a discount or price reduction a few months later? Me - but that's because I'm a tight git, not because other companies don't do what Apple has just done. I'll always buy stuff that's been out there a while. Still haven't bought a flat screen TV because the CRT I've got ain't broke yet.
    4. Re:Whiners by Anonymous Coward · · Score: 3, Funny
      I have never bought a product that had its regular price reduced by 33% after two months.

      I guess you didn't get in on the Vonage IPO then.

    5. Re:Whiners by jcouvret · · Score: 2, Insightful

      Well, me thinks you're a friggin idiot since fry's has a 30 day return policy. If I could make $400 by packing up the HP LaserJet 4 and returning it and then buying it again, I would. Maybe I'm cheap - I dunno.

    6. Re:Whiners by Chris+Brewer · · Score: 1

      Years ago, when the HP LaserJet 4 first came out, I bought one at Fry's for $1600. Three weeks later, they were selling it for $1200. I didn't whine.
      Wow, and I just bought one last month for NZD10 (about USD7), it even came with a small stack of paper still in the tray. The previous owner dropped it off in the original box. :)
      --
      Consultancy: If you're not part of the solution, there's money to be made in prolonging the problem
    7. Re:Whiners by Ecuador · · Score: 1

      > the idea that you are entitled to a refund for something you bought two months ago is ridiculous.

      Whoa there cowboy! Next thing you tell us is that the idea of being able to listen to the music CD you paid for is ridiculous...

      Many Credit Cards offer a two month price guarrantee. I guess that is ridiculous. One of Amazon's best features is the no-hassle 30-day price matching guarantee, I guess that is also ridiculous. Many stores have no-fee return policies which can work as price guarantee if you do return-rebuy, I guess that is even more ridiculous.

      I am of the opinion that iPhone early adopters should have known they were grossly overpaying and should not really complain now. However there is nothing ridiculous with consumer-friendly concepts such as price guarantees.

      What seems ridiculously suspicious to me on the other hand is the fact that while many people paid with credit cards and credit cards that offer price protection have a 2 month limit, the price lowering happened 2 MONTHS + 1 WEEK later! Take that first week buyers!

      --
      Violence is the last refuge of the incompetent. Polar Scope Align for iOS
    8. Re:Whiners by RzUpAnmsCwrds · · Score: 1

      Clearly, Apple is doing the right thing as far a public relations are concerned, but the idea that you are entitled to a refund for something you bought two months ago is ridiculous.


      Absolutely true. But consider this: if the iPhone was selling at $600 two months ago and $400 today, there was at least $200 of pure profit in the item. So much for "it's not overpriced for a phone with so much advanced technology".

      Also, interestingly, this seems to be an acknowledgment by Apple that the iPhone was too expensive. $400 sure is a lot easier to stomach.
    9. Re:Whiners by Anonymous Coward · · Score: 0

      You've never bought an Intel processor?

    10. Re:Whiners by Iftekhar25 · · Score: 1

      I'm not sure if their grievances are totally unfounded. The issue here isn't about money, it's time.

      I purchased an iBook 900 3 months before they upgraded to the G4 line back in late 2003. I didnt whine, though, because the iBook 900 had been out for a while.

      That is different from me buying something that has just been released to find the price got cut only 2 months after the fact. Cutting prices of products so soon after their release is a bit odd.

      If Apple had done the price cut an additional 4 months later, nobody would have complained, because that would be more in line with what customers expect of a reasonable product cycle.

      Early adopters pay as much for "the latest and greatest" as they do for exclusivity. Say what you want about that attitude, but they're not getting their money's worth if Apple makes the product mainstream so soon after endowing them with said exclusivity.

    11. Re:Whiners by Anonymous Coward · · Score: 0

      Years ago, when the HP LaserJet 4 first came out, I bought one at Fry's for $1600. Three weeks later, they were selling it for $1200. I didn't whine.

      I wouldn't whine either, but I would check to make sure I couldn't get $400 for showing my receipt at the store. Fry's will give you the difference if the price drops, even for an advertised price from another store. I've received free money this way (it only took a few minutes).

    12. Re:Whiners by dwater · · Score: 1

      >So much for "it's not overpriced for a phone with so much advanced technology".

      Surely no one said that. It's clearly behind in terms of technology.

      --
      Max.
    13. Re:Whiners by bigstrat2003 · · Score: 1

      Surely no one said that. It's clearly behind in terms of technology. $20 (of Apple store credit, heh heh) says that you could go through the articles here about the iPhone, and find one person who said that, if not multiple people. Most Apple customers may not be like this, but there are some raving Jobs fanboys who want to enshrine him as a deity because he regularly releases products which cure cancer and AIDS at the same time.

      Reasonable Apple customers: you guys should go out and beat them up. They give you a bad name.

      --
      "16MB (fuck off, MiB fascists)" - The Mighty Buzzard
    14. Re:Whiners by dwater · · Score: 1

      ...can't argue with that, I guess.

      --
      Max.
    15. Re:Whiners by russotto · · Score: 1

      but there are some raving Jobs fanboys who want to enshrine him as a deity because he regularly releases products which cure cancer and AIDS at the same time.

      Reasonable Apple customers: you guys should go out and beat them up. They give you a bad name.

      Bad name or no, they're the beta tes... err, "early adopters" who work the bugs out of first-generation hardware, and pay those first-day prices so the rest of us don't have to. Wouldn't be prudent to beat them up.

    16. Re:Whiners by Doppler00 · · Score: 1

      I bet you got your moneys worth out of that printer though! My HP LaserJet 4L is still alive and kicking.

    17. Re:Whiners by Anonymous Coward · · Score: 0

      because they are Apple fanbois and do not live in the real world.

    18. Re:Whiners by iperkins · · Score: 1

      Yeah, I got a LaserJet IV when it first came out at $1600 as well. The difference is I still have that LaserJet IV, still use it every day and can get parts and toner for it.

  25. Why I was surprised by OS24Ever · · Score: 2, Insightful

    There wasn't a 16GB Model at the $599 price point.

    I was annoyed, but not 'urge to kill rising' simpsons style or anything. Just seemed cheap that I've barely gotten my second bill for it and yet somehow they can drop the price $200 for no reason other than because it makes sense.

    I'm no stranger to buying tech, I paid $499 I think it was for the Treo 300 when it came out day one. It didn't get a discount until probably six or so months later. But 10 weeks? Bit much but meh.

    --

    As a rock-in-roll Physicist once said, No matter where you go, there you are.

    1. Re:Why I was surprised by Anonymous Coward · · Score: 0

      Oh fuck off. Thems the breaks if you want to be a consumer whore.

  26. How to make a fanatic fan by chriss · · Score: 5, Interesting
    1. Sell him something
    2. Kick him in the balls
    3. Wait till he complains and declares to hate you
    4. Give him a band aid and a lollipop
    5. He now loves the big brother again

    I'm myself bordering the state of Apple fan boy, but this is scary. People crying fool yesterday now praise the company for being responsive. I'm not into conspiracy theories, but if Apple had had this planed, this would be pure genius. Lowering the price and then getting the people who payed more to cheer you. Just scary how perfectly they play their crowd.

    I don't think this was planed. But I think Apple knows that we now live in an attention society and that people highly regard companies who admit errors and change. In fact people overvalue this since they do not expect it (yet. Microsoft will obviously copy it someday). They did it with "greener Apple", they do it again with credits for iPhones which will generate more money for them due to people buying stuff in the Apple store.

    1. Re:How to make a fanatic fan by DogDude · · Score: 1

      You're missing half of the equation. Not only are your fanatical customers even more fanatical now, but you've also got those customers buying more crap, and needing more accessories, etc. $100 in an Apple store won't buy you much. Apple is going to make even MORE profit on every one of those people who gets a $100 credit. Guaranteed.

      It's a smart thing for Apple to do. Their customers have more money than they have sense. It's a win-win for Apple.

      --
      I don't respond to AC's.
    2. Re:How to make a fanatic fan by artg · · Score: 1

      It works for W Gates. Even though he misses out step 4.

    3. Re:How to make a fanatic fan by chriss · · Score: 1

      Apple is going to make even MORE profit on every one of those people who gets a $100 credit.

      Now add the value of the PR. Today half of the blogosphere knows that:

      1. the iPhone now only costs $US 399
      2. Apple are the good guys, less evil than Google

      Tomorrow: Nobel price in economics for the Apple sales and PR departments.

    4. Re:How to make a fanatic fan by Trojan35 · · Score: 4, Insightful

      The price cut was planned but not for the reasons analysts are speculating.

      The price cut was to compete with its own product, the iPod. The goal is to convert iPod users into iPhone users. And really, at that price why not? People are used to paying $200-$300 for their iPod, so the iPhone now looks like a very good bargain.

      With that, apple adds revenue streams from ATT, even better integration with the iTMS, and the opportunity for even more revenue streams through new WiFi/Edge services (Starbucks, Ringtones, etc). Freakin' Brilliant.

    5. Re:How to make a fanatic fan by davidsyes · · Score: 1

      CLEARLY, Jobs would not make a very good Ferengi. He doesn't have the LOBES...

      He's violating # 1 and #299:

      1. Once you have their money, never give it back *
      299. Whenever you exploit someone, it never hurts to thank them. That way, its easier to exploit them the next time.

      BUT I wonder how many of these go through the minds of board room execs....:

      http://freepages.genealogy.rootsweb.com/~wakefield /ferenghi.html

      1. Once you have their money, never give it back *

      2. You can't cheat an honest customer, but it never hurts to try

      12. Anything worth selling is worth selling twice
      13.Anything worth doing is worth doing for money
      14. Anything stolen is pure profit
      16. A deal is a deal (...until a better one comes along) *
      19. Don't lie too soon after a promotion
      20. When the customer is sweating, turn up the heat
      23. Never take the last coin, but be sure to get all the rest
      53. Sell first; ask questions later
      55. Always sell at the highest possible profit
      64.Don't talk shop; talk shopping
      65.Don't talk ship; talk shipping
      67. Enough is never enough
      68.Compassion is no substitute for profit
      70. Get the money first, then let the buyers worry about collecting the merchandise
      82.A smart customer is not a good customer

      115.Greed is eternal

      125. A lie isn't a lie until someone else knows the truth
      144. Theres nothing wrong with charity... as long as it winds up in your pocket

      161. Never kill a customer, unless you make more profit out of his death than out of his life

      162.His money is only your's when he can't get it back.

      208. Give someone a fish, you feed him for one day. Teach him how to fish, and you lose a steady customer

      http://members.tripod.com/~ds9promenade/Ferengi_Ru les.html

      299. Whenever you exploit someone, it never hurts to thank them. That way, its easier to exploit them the next time.

      --
      Previously: "Linux... Toward the Sunrise..." Now: "Linux... Toward the-- No, now, part of Every Sunrise"
    6. Re:How to make a fanatic fan by Nazlfrag · · Score: 1

      It truly is the kind of marketing money can't buy. You need talent, foresight and vision to pull off a stunt like this. I've always admired Apples marketing efforts - if only Commodore had that attitude my beloved Amiga might have survived. *sulks away*

    7. Re:How to make a fanatic fan by bugnuts · · Score: 1

      It works for W Gates. Even though he misses out step 4. That's because W Gates uses the much better 3-step model, where step 2 is "???".
  27. Re:Why not $200 store credit? by Stripsurge · · Score: 4, Insightful

    For the same reason that I can't go to Intel and ask for $200 after every round of price drops. If someone chooses to buy a product he or she must make a decision if the purchase is good value. Yes= buy. No= don't buy. Just wait. Early adopters thought the price was right at launch. Just because a new, better deal comes along it doesn't change their initial decision; the purchase was good value. Surely they knew a price drop was innevitable, granted perhaps not so soon or so much, so any free money is a terrific deal.

    As Mr. Jobs so delicately points out these people technically aren't entitled to anything but Apple wants to keep them happy. If they were given all $200 then they get the benefit of being the first to have an iPhone for nothing. People who decided to wait for a price drop would be a little upset if there is no 'early adopter penalty', and that they could have been using an iPhone all this time if only they had known they could get $200 back.

  28. Ha hah! by SlshSuxs · · Score: 0, Troll

    Ha hah!

  29. Re:Why not $200 store credit? by Macthorpe · · Score: 3, Interesting

    It's even better than that - since it's store credit, the insane markup on Apple products means they are probably only going to end up giving away $30 to $40 worth of things away.

    I agree with what someone else said though - if you want things on the day, you pay extra. It's always been the way, though maybe 2 months after release is a bit soon for a price cut like this. Jobs cites the holiday season as a reason - why not cut the price in November then? At least that lessens the chance that every iPhone owner is going to want your head impaled upon a pike so they can wave at it in a funny way.

    --
    "It does not do to leave a live dragon out of your calculations, if you live near him." - Tolkien
  30. Re:Steve; make it retroactive to all Apple product by peacefinder · · Score: 4, Interesting

    "If you give $100 Apple Store credit to the sort of people who bought an iPhone on iPhone Day, that's all the excuse they need to buy a new iPod, or a MacBook or another iPhone."

    Even better if most of them spend it on Apple software. Such as, I dunno, maybe Leopard? Due out next month?

    Teh Steve is laughing all the way to the bank, and this time I'm laughing right along. This is so brilliant it almost has to be on purpose.

    --
    With reasonable men I will reason; with humane men I will plead; but to tyrants I will give no quarter. -- William Lloyd
  31. Re:Steve; make it retroactive to all Apple product by mux2000 · · Score: 1

    Selling more songs on iTunes. Getting more people on iTunes that otherwise wouldn't have. Lock the iPhones in like the iPods.

  32. I will buy an iphone when... by FudRucker · · Score: 0, Offtopic

    the price of the iphone gets below 120 US dollars and I can use the iphone with any provider including the no-contract providers like tracfone or gophone...

    --
    Politics is Treachery, Religion is Brainwashing
    1. Re:I will buy an iphone when... by cuzco · · Score: 1

      Looks like you'll never own one then.

    2. Re:I will buy an iphone when... by Tangent128 · · Score: 1

      ...and it runs the mobile version of Duke Nukem Forever?

    3. Re:I will buy an iphone when... by Anonymous Coward · · Score: 0

      you can set up the iphone with a gophone account.

    4. Re:I will buy an iphone when... by Anonymous Coward · · Score: 0

      Well, I don't think Apple will take a huge net loss just so you can have a cheap hi-tech phone. If you can't afford a high-end phone, better save your pennies or just use a lesser phone. Thanks for your comment (I'm being serious), but you may not be in Apple's target market.

  33. Re:The Translation by Anonymous Coward · · Score: 0

    Please don't call iphone buyers "Technology Whores". the Iphone is old technology that even myself as a self confessed technology whore openly scoffs at. "Technology whore wannabe's" may be a better term. or simply "Gullible".

  34. I've just gained some respect for Steve Jobs by bl8n8r · · Score: 4, Insightful

    Certainly not the normal "Please piss off, and have a nice day." response of:

    "We're sorry to hear of your disappointment with our product.
      Unfortunately, we have a very large volume of customers who
      are very satisfied with our products, at the the prices
      we offer. We do our best to please every customer"

    .

    --
    boycott slashdot February 10th - 17th check out: altSlashdot.org
    1. Re:I've just gained some respect for Steve Jobs by Morris+Thorpe · · Score: 1

      Right! This is more like, "Please fuck off, and have a nice day."

    2. Re:I've just gained some respect for Steve Jobs by Anonymous Coward · · Score: 0

      this is suck a bunch of "let me bend over so you can fuck me in the ass again, mr jobs" fanboism that it nearly hurts to read it. fucking fanbois and their shitty hero worship. if this was microsoft doing the same the macfags would all be shouting some shit about bait and switch or some shit.
       
      i'll never buy another apple product again, fanboi. i'd rather laugh as you get fucked by jobs. fucked without lube to boot!

  35. Re:Why not $200 store credit? by toleraen · · Score: 3, Insightful

    Telling a bunch of geeks that they're morons for buying tech gadgets on a site specifically targeting the people who would purchase those items just seems...moronic. Or did you forget to click AC?

  36. So... by Qwell · · Score: 1

    ...who wants to sell me their apple store credit for $50?

    --
    As of 10/06/03, I hate COBOL developers.
  37. Re:Steve; make it retroactive to all Apple product by Lemmy+Caution · · Score: 2, Funny

    This is the "market will bare" guy.

    I thought that was Larry Flynt.

    (You don't mean "bear," do you?)

  38. Re:Why not $200 store credit? by ivan256 · · Score: 5, Insightful

    Intel's a great example, considering they just re-priced their Xeon line so that the quad-core chips cost what the dual core chips of the same clock speed had cost the day before. How many end users that purchased quad core processors the day before do you think saw a refund of any of the several hundred dollar difference? What about the people who bought the dual core chips the day before? Is intel going to send them a free core?

    If a product is worth the price to you when you pay for it, then you should be comfortable with price changes after you made the purchase.

  39. Shhhh, Mommy's here by itcomesinwaves · · Score: 1

    Baby, meet bottle.

    1. Re:Shhhh, Mommy's here by EraserMouseMan · · Score: 1

      Any excuse to suck on the Apple nipple is a good one. A $100 refund when I paid +$200 current retail? Being your bee-otch for 2 months before everybody else? It's definately worth it!

      I love you long time, Mr. Jobs.

  40. Re:Why not $200 store credit? by MightyMartian · · Score: 0

    Telling a bunch of geeks that they're morons for buying tech gadgets on a site specifically targeting the people who would purchase those items just seems...moronic. Or did you forget to click AC?


    And yet the post got modded up. Maybe the demographic here ain't quite what ya think, eh?
    --
    The world's burning. Moped Jesus spotted on I50. Details at 11.
  41. So what? by hcdejong · · Score: 0

    With this rebate, the price goes down from $2000+ to $1900+ ($60x12x2+the purchase price+charges for use beyond your plan). The rebate (and the price drop) don't seem so significant anymore.

    1. Re:So what? by yabos · · Score: 1

      Yeah and all other phones come with free cell plans right? Screw off with that tired old argument. I pay about $40 CAD for my cell phone right now and I get a lousy 200 minutes and zero data included.

  42. Re:Steve; make it retroactive to all Apple product by Anonymous Coward · · Score: 1, Funny
    This is the "market will bare" guy.

    Don't buy stuff from naked people...

  43. Re:Why not $200 store credit? by toleraen · · Score: 4, Informative

    I take it you don't meta mod very often. You'd be amazed at the crap that gets modded insightful, or how many informative posts get modded troll. Give it a try sometime.

  44. It will be interesting to see... by ebcdic · · Score: 1

    ... what they charge in other countries. If it looks like the price is going to drop dramatically after a couple of months, who's going to buy? On the other hand, if they don't charge so much and don't drop the price, people will complain that they were expecting a refund.

    1. Re:It will be interesting to see... by cowscows · · Score: 1

      The lesson there is... Many people will always complain. Mostly because it's an easy thing to do, and it works occasionally enough that it's worthwhile for many. In that way, it's a lot like email spam. The majority of the complaining is ignored because it's worthless, but every now and then someone relents and gives in to you. It doesn't happen often, but the complaining doesn't take much resources, so even the few scarce responses put you ahead of where you were before.

      That plus people like to feel sorry for themselves.

      --

      One time I threw a brick at a duck.

  45. Re:Steve; make it retroactive to all Apple product by micromuncher · · Score: 0, Flamebait

    Heh I knew someone would point that out, but the pricing model (imho) has always been Steve's (until Spindler and the clones about 95).

    --
    /\/\icro/\/\uncher
  46. Spot the Pea by Anonymous Coward · · Score: 0

    It isn't a refund. It is store credit.
    So customers who feel jipped by the $200 price drop can pick up $30-40 worth of additional apple merchandise.
    Of course to get your full value on this offer you will have to pick up something that is at least $100, but will probably be $120+. So you still end up paying $20 for a product that costs Apple $40-50 to produce. They just soothed your $200 feeling of injustice for $20.

    Or, very likely you will use it to buy a $250 iPod for $150. So you will fork out another $150 to Apple for a product that costs $125- to produce. Apple will end up making money on this little conciliatory offer.

    Another way to look at it is that instead of saving $200 on your formerly $600 iPhone (a 33% savings), you instead get a $100 discount on $850 ($600 + $250) worth of merchandise (an 11% savings).

    This isn't a criticism of Apple. I'm just observing how the game is played.

  47. Re:Why not $200 store credit? by frdmfghtr · · Score: 5, Insightful

    It's not just a phone, so it's hard to evaluate the price. Early customers thought they could trust Apple about the fact that the iPhone was worth $600. Now they lost their trust in Apple, and Steve Jobs is trying to buy it back.
    There's nothing here to trust--the iPhone was, in fact, worth $600 on June 29, as evidenced by the throngs who paid $600 after waiting in line for hours. If it wasn't worth $600, people wouldn't have bought it, or would have quickly realized it wasn't worth the price and returned it.

    An item will sell for exactly what both parties (seller and buyer) believe is a fair price at the time of sale. Those that claimed that they got ripped off are just complaining that they fell for the "early adopter" technolust that comes with the launch of a new gadget. Instead, we should be cheering on those who couldn't afford one before but can do so now; "Hey, good for you! You're getting a deal!" instead of "Oh screw Apple, they let me buy something on my own free will at a higher price! Maybe I can join up with those non-user-replaceable-battery whiners and bitch about my lack of self-control and impulse buying."

    And for the record, I paid $600 in early July, and feel that it was worth the price I paid. Mind you, if somebody wants to give me some form of credit after the fact, I won't turn it down, but I won't bitch about being allowed to spend my money on my own free will, either.
    --
    Government's idea of a balanced budget: take money from the right pocket to balance...oh who am I kidding?
  48. Win-Win, but not as much a win for Apple as that by SuperKendall · · Score: 1

    APple has publicly stated they are lowering margins for the next few quarters - did you not notice that in addition to the iPhone drop, the new iPods are cheaper than the old or offer significantly improved features?

    Beyond that since they did not even really have to do ANYTHING to start with, why can't it just be great for Apple and the iPhone customer that we get a rebate? Sounds like a win-win.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  49. if you pay even less for a contract-locked phone by vlad_petric · · Score: 0, Flamebait

    ... you're just as moron.

    --

    The Raven

  50. Compared to... by SuperKendall · · Score: 1

    In the phone world, I've found that other companies stop right at step 2, except perhaps to add "3. Repeat" right after. So why shouldn't we like Apple more? Are you upset that rather than a constant ball kicking there is some relief to let you notice there once was pain?

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  51. Re:Why not $200 store credit? by MightyMartian · · Score: 5, Funny

    Fuck you broke asshole


    Hmmm... I'm trying to decipher this. Is English not your first language? Are you saying there's something with my anatomy? Are you saying someone should copulate with me until I cease to function?
    --
    The world's burning. Moped Jesus spotted on I50. Details at 11.
  52. How I look at it... by SilentChris · · Score: 1

    For me, they lowered the price of my phone $100.

    $100 over a 2 month period, while a fair amount, isn't crazy high.

    I'll take it.

  53. Re:if you pay even less for a contract-locked phon by MightyMartian · · Score: 0, Flamebait

    I see the mental retards that spent small fortunes on a stupid web-surfing phone are feeling a little inadequate, but rather than looking the mirror to look at the half-wit really responsible, they like to blame those that point out the severe lack of intelligence they exhibit with their pathetic Apple groupthinking mindfucking ways.

    I laugh at you, sir. You're a sad, sad human being.

    --
    The world's burning. Moped Jesus spotted on I50. Details at 11.
  54. Re:Why not $200 store credit? by timeOday · · Score: 5, Insightful

    What I find annoying about Apple pricing (or rather "potentially" annoying, as I'm not one of their customers) is the centralized, tightly controlled pricing, combined with a strategy of infrequent price changes. The cost of a flashy new CPU or videocard will start high but drop steadily day by day (with some fluctuation). With Apple, they keep their cards close to their chest and then Wham! the thing you bought yesterday depreciates 30% overnight. It's perfectly reasonable for customers to be annoyed by this, because it's Apple's secrecy and pricing strategy that create the problem.

  55. You're not thinking like a normal American by Wesley+Felter · · Score: 1

    Anything beyond this month doesn't really exist. Besides, a lot of people already have big cell phone bills, so it's not really fair to account the cost of service to the iPhone.

  56. Re:Steve; make it retroactive to all Apple product by QRDeNameland · · Score: 0, Redundant

    This is the "market will bare" guy.

    Does that mean Apple's target market consists of strippers and nudists?

    --
    Momentarily, the need for the construction of new light will no longer exist.
  57. If it was planned, why now? by SuperKendall · · Score: 4, Insightful

    Think about it - if this had really been planned, the best timing would be to announce the credit a week or two AFTER the new iPods go on sale. That way a lot of customers buy new iPods, then head back to the Apple store for accessories after they get the rebate. If Apple was as devious as people claim, issuing an announcement about a rebate ahead of the actual rebate is a terrible non-profix-maximizing idea.

    Like everything else in life, the reality is probably between the two extremes - Apple probably thought recently about deep price cuts, and held in reserve the strategy of a rebate if complaints about the price drop from current owners were loud enough (which they were). Apple is a company yes, but Jobs is not a Ferengi (or Mother Teresa in a turtleneck).

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
    1. Re:If it was planned, why now? by porcupine8 · · Score: 1

      But since all of the people we're talking about bought an iPhone within the past two months, not all of them were necessarily planning to rush out and buy one of the new iPods. In fact, probably a lot of them weren't. Now they might have extra incentive to do so, with $100 off - it might not maximize profit per iPod sold, but it could boost the #s and help get the new models out into the world, where friends and family can drool over them.

      --
      Warning: Apple/Nintendo fangirl. Likes her electronics cute & cuddly. May be rabid.
    2. Re:If it was planned, why now? by Anonymous Coward · · Score: 0

      Think about it - if this had really been planned, the best timing would be to announce the credit a week or two AFTER the new iPods go on sale. That way a lot of customers buy new iPods, then head back to the Apple store for accessories after they get the rebate. If Apple was as devious as people claim, issuing an announcement about a rebate ahead of the actual rebate is a terrible non-profix-maximizing idea.

      Think about it some more. The people who are getting the credits are those who recently bought an iPhone and just found out is $200 cheaper. How many of these do you expect to go out and get one of these now iPods if they didn't announce the $100 credit?
    3. Re:If it was planned, why now? by suv4x4 · · Score: 1

      If Apple was as devious as people claim, issuing an announcement about a rebate ahead of the actual rebate is a terrible non-profix-maximizing idea.

      Apple doesn't sell iPods to robots. Pissing off their customers and letting the negative PR spill for two weeks would be one hell of a "profit maximizing" strategy I tell ya.

    4. Re:If it was planned, why now? by Opportunist · · Score: 1

      Someone who buys an iPhone most likely already has an iPod. To get him to buy yet another iPod, you have to either make that iPod so vastly superior to the model he already has, or you have to give it to him "for free". That's where the rebate kicks in.

      Though it could be too little to make people actually buy another iPod. More likely they'll buy gadgets for their existing appliances, and that's probably not what Apple has in mind.

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
    5. Re:If it was planned, why now? by Me!+Me!+42 · · Score: 1
      It's unlikely the rebate was planned, but I'm sure it was considered. The knew the price drop was pretty damn aggressive and some whiners would make a fuss.

      On the other hand, I don't think as some do that the price cut was out of desperation and that it will kill the bottom line. I'd say it's a shrewd move to virtually seize a huge share the PDA and smart phone markets in one stroke as well as have a HUGE 4th quarter. This is going to kill palm, hurt many smart phone vendors and carriers while getting a huge leg up on the European and Asian markets. (Zune, your joking, right?)

      Economies of scale, etc. plus forward revenues and market share will peg the bottom line.

      --
      -- My apologies if the above facts contain any opinions, or vice versa! --
  58. Apple knows what you have by SuperKendall · · Score: 1

    Apple keeps receipts electronically - they just email then to you. Proof of who you are is generally enough (along with the serial number on the back of the iPod).

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
    1. Re:Apple knows what you have by djh101010 · · Score: 3, Insightful

      They don't even need the serial number. Had a problem with mine, a row on the touchscreen went dead. Called, and after going over my troubleshooting steps (reset, reset-all, re-install firmware), within 5 minutes the tech (who spoke English and seemed to be in the same country I am) agreed "Yup, it's broken. Sorry about that. What's your phone number?"

      Next morning FedEX dropped off a loaner (free). Two days after that my phone had been replaced with a brand new (by appearances and packaging) iPhone. Total cost to me: 0. Total time between calling Apple support and having a fully functional iPhone: about 12 hours. Time spent on the phone? 10 minutes, max.

      They do support well. People who say "Meh...it's just a phone" are the same type who see a luxury car and say "Meh...my yugo gets me to work just fine".

    2. Re:Apple knows what you have by UttBuggly · · Score: 1

      Very similar to the experiences I've had with Apple; if it's broke, they'll fix it.

      In my case, it was an iPod Shuffle and an iPod Mini. In both cases, I opened a ticket on the Apple website, had a brief "chat" with a tech, and had a new iPod the next day.

      Shipped the broken unit back in the provided packaging (nice!) and that was that.

      We (the wife and I) are going to the Apple store this weekend for new Pods to replace the above units. She's completely taken with the Touch while I'm leaning towards the Classic.

      Funny, we went by the Apple store on June 29th...didn't want to get an iPhone that minute, but wanted to see one. Since then, I did get a new Samsung A727 phone because I really felt that a $3-400 iPhone was more in my price comfort zone. I got the Samsung for $30 after rebate, but I'm also thinking I might just throw it a drawer and get an iPhone now.

      Personally, I don't get the uproar over the price cut. I have a box (a BIG box) of various computer parts...including quite a few graphics cards...that I've ended up with over the last 20 years. Without looking, I'd venture that 99% of the stuff is worth about 99 cents now. All of the graphics cards got cheaper by the minute and there are several hard drives I'd paid more for than whole systems cost now. In a few cases where there was a price drop close to my purchase date, I opted for price protection from either the retailer or Amex, etc. Beyond that, I figured the use case outweighed the angst. I had the thing, used the thing, liked the thing. Whatever it cost was no longer important.

      If there are iPhone owners STILL bitching after the $100 credit, I'm deaf to them. Grow up and shut up.

      No, I'm not an Apple fan or apologist. They didn't do anything wrong or evil, unless capitalism is suddenly a crime.

      --
      I am my own gestalt.
  59. Meet Joe Whiner by fm6 · · Score: 5, Insightful

    So,in no way does it cost Apple 100.00 to look like they are meeting Joe "early adopter" halfway.
    What I don't understand is why they have to meet him at all. He waited out in front of the store all night, he bought something he knew would soon be subject to steep discounts, and he did it just because he had to have this new toy 5 minutes before everybody else. And now he's screaming that he got ripped of because Apple only waited a couple months before cutting the SRP? A price nobody pays anyway?

    Me, I'm against Global Warming and Global Whining.
    1. Re:Meet Joe Whiner by colonslash · · Score: 1
      I understand the argument - free will, eyes open, worth it to the buyer, etc.

      I think the issue may be that people in our culture aren't used to bargaining- there are very few things the average American bargains for - cars and houses come to mind. People expect a price is a relatively small markup over costs- which it usually is for commodity products- I think that is where the idea of value is coming from.

      I don't consider the iPhone a commodity product, but maybe that is what most Americans are used to spending their money on, so that is where they get their idea of value?

    2. Re:Meet Joe Whiner by Bandman · · Score: 1

      I think you might be missing the whole point of this...

      Go to store.apple.com and find me all the cool things you can buy for less than $100. Aside from peripherals, that's like, a shuffle. iPhone owners will not buy a shuffle, I'm willing to bet. Apple will just increase its sales through this tactic.

      Very intelligent of them.

    3. Re:Meet Joe Whiner by fm6 · · Score: 1

      You must be right! Apple is deliberately antagonizing its customer so it can apologize and issue store credits. This must happen all the time! That explains why so many businesses fuck over their customers!

      Next time you deal with a really stupid sales clerk, be sure to thank them!

    4. Re:Meet Joe Whiner by fm6 · · Score: 1

      I think the issue may be that people in our culture aren't used to bargaining
      No, they just have an exaggerated sense of entitlement.
    5. Re:Meet Joe Whiner by jhol13 · · Score: 1

      If we all pull together we might, just might, solve Global Warming. But the other one ... it's like understanding women. No chance.

    6. Re:Meet Joe Whiner by mr_zorg · · Score: 2, Funny

      Clearly spoken by someone who is not an Apple customer. While what you say is true for many markets, it is historically NOT true for Apple. Their products never really drop in price. They introduce new models and slide everything else down, yes (consistently every 6, 9 or 12 months), but their overall price lineup remains more or less constant. Their products NEVER go on sale. It is this historical trust that has been violated here. They did not introduce a new model iPhone that slid ours down the scale, and even if they had it would be WAY ahead of schedule, this was just a straight up price cut - a practically unprecented event in the Apple world. That is why so many of us felt violated. There's just a "way things are done" in the Apple world, and they've deviated from that significantly here.

    7. Re:Meet Joe Whiner by elistan · · Score: 1

      But Joe didn't know. I purchased on the day it was released (didn't stand in line, just showed up at 9pm and they happened to still have plenty in stock) but since many people were bringing up the RAZR and how quickly and deeply it was discounted, I wanted to make sure I wasn't doing anything foolish by being an early adopter. So I looked up the history of iPod models and prices. I knew the situation with Nokia and Motorola phones and such, but Apple being Apple I concluded that the iPhone pricing would follow the normal trend for their other hardware. Apple discounting a product by 33% after only two months is absolutely unprecedented as far as I could determine. They don't do that on iPods, iMacs, MacBook Pros, etc. Maybe I missed a product, I don't know. So to sum up, my "knowledge" when I went to the Apple Store on June 29 was that Apple would follow the trend of the iPods and release an upgraded second gen phone in a year or so, with increased capacity and capabilities, for about the same or a little less money. In know way did I "know" that this would happen. I suspect few of the other early adopters thought this as well. Heck, I'd happily go back to my old Nokia phone for two months if somebody would send me $200. :) I like my iPhone, I'm glad I have it, but two months use isn't worth $200. I'll take my $100 and hold on to it, I guess. I don't need any other Apple products at the moment. (Oh, and finally - too bad Apple didn't do this a few weeks ago, so that the price drop was within the 60 day price guarantee that many credit card companies offer, eh? :) )

    8. Re:Meet Joe Whiner by The+One+and+Only · · Score: 1

      I had no idea Apple had to follow the exact same strategy all the time, even when introducing a significantly new product. A foolish consistency is the hobgoblin of little minds, as my friend Ralph Waldo once said.

      --
      In Repressive Burma, it's not just your connection that dies. slashdot.org/comments.pl?sid=314547&cid=20819199
  60. So What? Still good for me. by SuperKendall · · Score: 3, Insightful

    It doesn't matter to me what Apple's costs are, it's still something $100 cheaper to me. I plan to use it on Leopard which I was going to buy anyway, as I'm sure a lot of people will - how is that not a direct and pure loss for Apple since every dollar of purchase went to paying off R&D on the new OS?

    Some things might go for things Apple paid less for, but I just call that Win-Win. Since Apple didn't have to do anything, something is way better than nothing.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  61. Getting there first by Kelson · · Score: 5, Insightful

    Early adopters pay out the nose for bragging rights, film at 11.

    When the iPhone launched, it sold out at both the nearby Apple Stores. If you weren't in line on Friday, you couldn't get one on Saturday. One of my co-workers waited until the middle of the next week, called a couple of stores to check inventory, and just walked right in and bought one.

    Those people standing in line weren't just standing in line to get an iPhone. If that's all they wanted, they could have waited a week or two for the second shipment to arrive. What they stood in line for was the opportunity to have it first. They "paid" extra by waiting around for several hours when they could have been doing something else so they could get an iPhone before anyone else did.

    Whatever the motivation -- bragging rights, enthusiasm, impatience, etc. -- there is a cost to getting there first. Conversely, there is an opportunity cost to biding one's time: Anyone who waited for the price to come down has gone the last few months with no iPhone.

    1. Re:Getting there first by GarfBond · · Score: 3, Insightful
      This is a good point actually. Armchair economist-type people were wondering why Apple didn't charge more at launch since they clearly could not handle that first weekend of demand.

      Hopefully these aren't the same people demanding a refund.

    2. Re:Getting there first by toQDuj · · Score: 1

      I thought Apple kept up with the demand, given that the ebay resellers could not get a smackingly large profit out of it. They were the ones returning the phone within the two weeks time.

      I wonder what would have happened if Apple didn't drop the prices so steeply. They'd have made more profit, instead of raising questions now.

      B.

      --
      Every experiment which ends in a big bang is a good experiment.
  62. The Others by SuperKendall · · Score: 0, Redundant

    If everyone that purchased an iPhone, goes out and purchases an iTouch for $100 less, how will Apple ever make any money?

    The tens of millions of other people that also purchase an iTouch will help out greatly in that regard.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  63. So it's true by nnull · · Score: 0, Flamebait

    The iPhone was an overprice piece of junk in the first place.

  64. Bad Move by aldheorte · · Score: 3, Insightful

    This just encourages whiners and the worst kind of whiners. The people up in arms about this are not the people who were unwilling to pay $200 more. Clearly, they bought the phone at that price. What they are up in arms about is that a cheaper phone may mean that other people will be able to afford them, therefore their status symbol is not as exclusive and their feeling of superiority is diminished. The rebate doesn't solve this problem at all and will not please them anyway.

    Psychology aside, from a business perspective, there's absolutely no justification for Apple to give a retroactive discount past the return period (see below). When you buy something, you buy it for a price at a particular point in time. If you want to wait and see if the price will go down, you may do so. If it's worth it at the set price at that time and you buy it, short of manufacturing defect, you have absolutely no claim that you should later get it at a lower price. It violates the social contract to demand otherwise. Would if Apple said you should pay them $200 more for the phone you already bought?

    The only reason that some merchants have retroactive prices is that the product is still within its return period and it's not worth processing all the returns as people re-buy the product. This is the only case where it makes any business sense to retroactively price a product like this.

    1. Re:Bad Move by ContractualObligatio · · Score: 1

      I absolutely agree about the whiners. Anyone for whom that $200 was significant should not be spending it on a newly hyped status symbol.

      But, there is a potential business reason. Apple is big on marketing and image, its part of their business approach. They might feel that the next big launch will be less successful if people figure "I can wait just a couple of months for a 33% price cut". Store credit means that $100 rebate is doesn't cost them the full hundred, they keep a good image, they mitigate the risk of losing the halo granted to them even by Wall St, they still get a $130 (or whatever) premium per unit on the first two months of revenue.

    2. Re:Bad Move by iphayd · · Score: 1

      Part of the problem is that prices tend to last longer than two months. If they would have dropped the price at six months, people wouldn't complain. I bet if they would have offered a $200 mail-in rebate on all iPhones, people most likely wouldn't complain.

      People were betting that the price wouldn't drop in a period of time that would make them unhappy, as with all technology purchases. Many people bet wrong. Now, I'm debating whether to ante up or not.

    3. Re:Bad Move by mgabrys_sf · · Score: 1

      Why was it too soon? 90 day price protection on credit cards. Most price drops try to occur outside of this. As soon as the charge-backs began occuring from several Card companies - you can bet all hell broke lose. Other (not slashdot - oh no!) had references to frantic case loads AMEX was handling in the first 6 hours this morning. Store also reported being under seige. This is called a "pricing error" in marketplace parlance.

    4. Re:Bad Move by aldheorte · · Score: 1

      90 day price protection on credit cards? I have seen extended warranties, but not price protection on the credit card side. Is this a normal feature? Who picks up the tab, the merchant or the credit card company?

    5. Re:Bad Move by jzeejunk · · Score: 0

      This is the only case where it makes any business sense to retroactively price a product like this.

      Yes that's why Steve Jobs is a gazillionare and I'm assuming you are not

      --
      sarchasm
    6. Re:Bad Move by mgabrys_sf · · Score: 1

      Good credit cards have them. AMEX gold (Platnum I "think" still has it) was discontinued in Oct / Nov 2006 - but - since they want to keep their 175 a year customers they've been filing and creding accounts quite a bit. Noooow are they doing this out of the saintlyness of thier hearts? Uh - no - retailers get a list of charge-backs and if agreements aren't met - voila! No more AMEX for the retailer (among other things). I think a few thousand of these "might" have gotten Apple's attention.

      That and stores all over the country being slammed by angry customers (and it's harder not to offer some kind of deal when the manager has a large angry person within hitting distance - many had). AT&T was also offering deals. I got one over the phone. Simple.

      SO ja - if this was planned - then the tangle of cases from multiple vendors, companies, banks, credit companies, retailers, AT&T stores, AT&T call-support must have been utter genius. OR - not. Now - the rebate solution. Sure that's always an easy contingency - ooooh except we don't have the details yet. If that was planned in advance - I don't know - a page with already written guidelines and legal support info might be lying around (you'd THINK). Nope - they're "working on that".

      Still think Apple planned this all out?

  65. Re:Why not $200 store credit? by daveywest · · Score: 5, Insightful
    Why is everyone up in arms about this. When any other company comes out with something cool and must have, people will pay more the 200% the retail price to get it on eBay.

    Apple just beat the scalpers at their own game.

  66. I didn't lose anything by SuperKendall · · Score: 4, Insightful

    I gained two months of phone use over someone who has waited; and I have made good use of the phone in the last two months, it's been way more useful to me than the previous phone I had. Well worth the slight extra amount I paid.

    After all, any electronics purchase is a gamble - you never know when prices will be cut. But it's a gamble you cannot lose if you like what you bought and you buy at a price that works for you.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
    1. Re:I didn't lose anything by Anonymous Coward · · Score: 0, Offtopic

      Dude, I pay over $600 a month PLUS insurance for a car that tells people I have a big dick. I'll bet it's at least twice as expensive as what you drive. All that for a car that gets me from A to B as well as anyone elses.

      $100 is a steal!

    2. Re:I didn't lose anything by ezdude · · Score: 1

      Finally, a sensible person. You realize that what you were paying the premium for was exclusivity - being cool. At least, you can admit it. Apple did nothing wrong, and I think people should stop whining. If it had been $399 from the get go, lines would have been 2-3 times as long, and many of those early buyers may have been out of luck finding an iPhone - look at the Wii.

  67. Re:Why not $200 store credit? by Eq+7-2521 · · Score: 3, Insightful

    Why not cut the price in November? Because it's September in 2007. The holiday season has already begun. By 2011 it will be starting in August.

    --
    At my age I find coming up with a witty signature too exhausting.
  68. With $250 glass screen replacements :P by MacDork · · Score: 1

    But hey, look at the bright side: For those early adopters who shattered their glass screens, you can actually get a new 4GB phone with your $100 store credit for less than the cost of replacing the glass screen!

  69. Re:Steve; make it retroactive to all Apple product by old+and+new+again · · Score: 0

    OsX 10.5, probably, as always @ 100$

  70. Re:Why not $200 store credit? by DeepZenPill · · Score: 1

    Fuck, you broke asshat!
    Fixed.
  71. Re:Why not $200 store credit? by jmorris42 · · Score: 2, Insightful

    > Now they lost their trust in Apple, and Steve Jobs is trying to buy it back.

    No, there is some PR aspects to this deal but Apple didn't need to do this. It's a way to make sure they keep happy customers. People were lined up to drop 6 portraits of Ben Franklin for a toy. Being a phone anyone (ok, Miss Hilton probably doesn't have the brains to know better but with her money she can afford not to care) with any business in those lines should have realized the price would drop before the year was out. It's a cell phone people!

    I certainly ain't no Apple fan, anyone looking at my posting history can see how many times I have rated flamebait/troll for failing to be affected by Steve's Kool-Aid, but when they do something cool I gotta be honest and say that too. And tossing half the price cut back to every buyer and the full difference to everyone who bought in the last two weeks is just high class.

    --
    Democrat delenda est
  72. Re:Steve; make it retroactive to all Apple product by nsayer · · Score: 1

    What are you going to get with it?

    How about a replacement for Microsoft Office. Oh wait. That's $20 less than $100.

  73. seems fair by scolbert · · Score: 1
    This seems fair. No way Apple was going to refund the difference. So $100 store credit isn't bad. Its practically $100 to you, regardless of what Apple pays. I mean consider the fact that you bought an iPhone for $599 and Apple pays less, you didn't complain about this. Of course, its not like you've got yourself $100 to buy something else elsewhere. But hey you are an Apple early-adopter, so you're likely to buy something again in an Apple Store. Only disappointment is the fact that Apple didn't do this from the get go.

    Sammy / still loving, loving, loving my iPhone and now look forward to seeing more people with them!

  74. eBayers the worst kind of suckers by grondak · · Score: 3, Funny

    So they bought their phone on eBay, 'cause they were all out, or 'cause they got it for $559 ("cheapest price on the Internet!"). Now they have no recourse to "their $100" and just to rub salt in the wound, the guy who bought it at the store gets another $100.

    Or, the guys all trying to sell the iPhones for $559 just had "their market" bottom out. To sell, they have to get price-competitive. There's a $100 pantsing they have to suffer.

    Whoops! Speculation has its price!

    --
    [Error 407: No signature found]
    1. Re:eBayers the worst kind of suckers by Anonymous Coward · · Score: 0

      There are still active auctions that the price is now higher then in the store. HAHAHA

  75. Re:if you pay even less for a contract-locked phon by theNeophile · · Score: 4, Insightful

    I see the mental retards that spent small fortunes on a stupid web-surfing phone are feeling a little inadequate, but rather than looking the mirror to look at the half-wit really responsible, they like to blame those that point out the severe lack of intelligence they exhibit with their pathetic Apple groupthinking mindfucking ways.

    I laugh at you, sir. You're a sad, sad human being. Have you considered that are people for whom $400 isn't a small fortune? You can mock people for making a good living if you want, but it seems kind of ineffective.

    "You have a lot of money and can afford nice things, you LOSER!" doesn't have quite the sting you seem to think it does.
  76. squirt... by teknopurge · · Score: 1, Offtopic

    One can only imagine what Zune owners think of this....

    1. Re:squirt... by Jerry+Rivers · · Score: 3, Funny

      There are Zune owners?

      --
      The pursuit of absolute tolerance leads to the most rigorous and ludicrous intolerance. - REX MURPHY
    2. Re:squirt... by Anonymous Coward · · Score: 0

      One can only imagine what Zune owners think of this....

      There is another one? Maybe we can squirt each other?

      -The Zune Owner

    3. Re:squirt... by EvilSporkMan · · Score: 1

      I got my Zune for free, so I think it's pretty weak.

      --
      -insert a witty something-
    4. Re:squirt... by Anonymous Coward · · Score: 0

      "There are Zune owners?"

      Yeah, but you probably won't run into either of them unless you live in Washington.

    5. Re:squirt... by Anonymous Coward · · Score: 0

      I called him and asked him.
      He said that Apple sucks and Bill Gates is God.

      They wouldn't let him talk long though because his meds were wearing off and his straight jacket needed tightening

  77. Re:Why the surprise? What? by davidsyes · · Score: 1

    Mwo? Malsum mani turossoyo...

    I'm thinking:

    "Stretch Armstrong" and "Bullwinkle" (Hey Rocky, watch me pull a rabbit outta mah hat...). You kinda make it sound as if he's got a HUGE fist. Butt, JUST how big IS Jobs' fist.

    Pangapsumnida.

    --
    Previously: "Linux... Toward the Sunrise..." Now: "Linux... Toward the-- No, now, part of Every Sunrise"
  78. Re:if you pay even less for a contract-locked phon by ResidntGeek · · Score: 1

    You completely missed the point. GP was implying that the iPhone isn't a nice thing, not $600 worth of nice anyway. Even if it isn't a stretch for your budget you still shouldn't give that much money for such a product.

    --
    ResidntGeek
  79. Re:if you pay even less for a contract-locked phon by Anonymous Coward · · Score: 0

    No, the GP made the point to cover any phone that costs >=$400. If he meant the just the iPhone, he would have just said "Hell, if you paid for an iPhone, you're a moron."

  80. Re:if you pay even less for a contract-locked phon by theNeophile · · Score: 1

    Well, in his comment before that he said "Hell, if you pay $400 for a phone, you're a complete moron.".

  81. Its called... by WallaceAndGromit · · Score: 1

    There's a name for it: iFucked.

    --
    Name: Mr. Anon E Mouse; SSN: 555-55-5555
    1. Re:Its called... by Yoozer · · Score: 1

      At least iWaited.

  82. Re:Why not $200 store credit? by Mr2001 · · Score: 3, Funny

    So, by 2019, it'll be Christmas year-round? Yay!!

    --
    Visual IRC: Fast. Powerful. Free.
  83. Puleeze ... by Anonymous Coward · · Score: 0

    Get a grip - its only $200. The ability to be smug for the last 2-1/2 months is priceless ...

  84. what is wrong with whiny early adopters by Gary+W.+Longsine · · Score: 1

    Well, I'd have to say they totally missed out on their chance to get conversations started with hot babes by whipping out their iPhone and showing off. If they'd been on that train it never would have occurred to them that they paid too much for the thing.

    --
    If you mod me down, I shall become more powerful than you could possibly imagine.
  85. Shhh... by Infonaut · · Score: 4, Insightful

    An item will sell for exactly what both parties (seller and buyer) believe is a fair price at the time of sale.

    Please refrain from introducing basic economic concepts into this discussion. You could start a dangerous trend.

    But seriously, for priding ourselves on our supposedly rational behavior, geeks can often be just as irrational as anyone else.

    --
    Read the EFF's Fair Use FAQ
  86. American Express... by zoomnmd · · Score: 4, Informative

    I bought my iPhone on my American Express Card.
    I called their dispute claim number at 1-800-297-8019.
    They said they would process the claim for my 200 bucks.
    No guarantees, but they will let me know if I get a refund through them.

    Worth a try if you bought on a credit card.

    1. Re:American Express... by Anonymous Coward · · Score: 0

      Frankly, you're an idiot for expecting to get anything back, and I hope you get nothing. Anyone should realize that the iPhone, like most other technology, would drop in price relatively soon. If I bought a computer today for $1,000, I wouldn't be surprised if three months later, it was selling for $800 because a new model came out, or demand dropped once everyone who wanted one bought one. And, I certainly wouldn't expect my money back. If you buy anything, watch the market price of it and similar items, watch the number of units sold, and buy at a point in the product cycle where you'll get the most, at that time, for your money.

    2. Re:American Express... by Mean+Variance · · Score: 1

      I checked their website about price protection. It said this: The Best Value Guarantee program will terminate on October 1, 2006 except the Starwood Preferred Guest® Credit Card which ends November 1, 2006. Any purchases charged to your Card account after the program termination date will not be eligible for the program. Accordingly, the provisions under the heading Best Value Guarantee that accompany your Cardmember Agreement are deleted after the program termination date.

    3. Re:American Express... by munboy · · Score: 2, Informative

      That's how price protection works. I am a Cardmember and I pay some insane yearly fee and the merchants pay fees so AMEX can afford to provide insurance like this. I didn't get an iPhone, but if I did you know I would be on the phone, too.

    4. Re:American Express... by Chaset · · Score: 1

      Except that Amex Blue, which at one point DID offer price protection, has no annual fee. I haven't kept up on all of the amendments to the terms, so maybe they stopped doing that. At least another poster posted something that indicates that they did stop. ah well.

      --
      -- "This world is a comedy to those who think, a tragedy to those who feel."
  87. Why this is a big deal for Apple customers. by Egdiroh · · Score: 1

    There seems to be a large disconnect in this thread between long term apple customers and other early adopters.

    The reason this is a big deal to apple customers is that in terms of apple's history this much of a drop after such a time is unprecedented. In other parts of the tech sector a 33% drop in price after 2 months may not be uncommon, but just for apple it is. There is another reason this is a big deal for apple customers, in the past with their ipod line, except when the first 20gb model, when a capacity of ipod has gone down in price, it has also been revised so that there was a discernible difference between people with the last gen high-end model, and people with the current gen cheaper low-end model. With this price reduction there is no early adopter badge.

  88. Re:Why not $200 store credit? by ajs · · Score: 5, Insightful

    > Now they lost their trust in Apple, and Steve Jobs is trying to buy it back.

    No, there is some PR aspects to this deal but Apple didn't need to do this. It's a way to make sure they keep happy customers [...] tossing half the price cut back to every buyer and the full difference to everyone who bought in the last two weeks is just high class. Indeed. I'm often shocked by how much more open hostility there is on Slashdot toward organizations that try to treat their customers well. Google is constantly accused of being "evil" for ... well, for anything they do. Apple is slammed whenever they produce a new gadget. IBM can't give away enough patents to the open source community to let people give them the time of day. AMD releases specs for the ATI cards after less than a year of owning the company, and people have the gall to complain that it took too long.

    Over and over we see the same thing. Companies that do right by the community are attacked. Cutthroat and downright evil companies that just ignore us (G.E. comes to mind) are ignored in turn. We're training the corporate world to do us no favors.
  89. Re:Steve; make it retroactive to all Apple product by Wonko+the+Sane · · Score: 1, Funny

    This is the "market will bare" guy.
    Suddenly the study of economics became much more compelling.
  90. Re:Why not $200 store credit? by iluvcapra · · Score: 4, Insightful

    What I find annoying about Apple pricing (or rather "potentially" annoying, as I'm not one of their customers) is the centralized, tightly controlled pricing, combined with a strategy of infrequent price changes.

    That's not different from a lot of high-ticket consumer products. Want to by a new Lexus from the dealership, or a tailored suit, you'll find the pricing just as foggy. If you want to buy a computer priced like gasoline, buy a Dell, but they're just as weird and capricious about their prices, they just hide their actual price in a vast system of rebates. Apple's pricing is also supposed to be simple to make their market segmentation simple. If I'm looking for a cheap iPod, it's easy to see which one's for me and compare it (well, not as easy as it has been, but still). I don't have to wade through four or five different lines with different price levels, rebate options, compatibility, capabilites, form factors, etc... There's both a downside and an upside to going with a single vendor.

    With Apple, they keep their cards close to their chest and then Wham! the thing you bought yesterday depreciates 30% overnight.

    I know you picked that number off a tree, but just about any computer (or car, or expensive resellable item, for that matter) depreciates 30% the moment you take it out of the store. I would also direct you to eBay to compare the relative resale values of 2 year old Macs, compared to 2 year old Dells or ThinkPads.

    --
    Don't blame me, I voted for Baltar.
  91. Re:Why not $200 store credit? by Abreu · · Score: 2, Insightful

    Wham! the thing you bought yesterday depreciates 30% overnight.

    Depreciates? Were you planning on selling it?

    I don't really think there is a market for used cell phones or for used ipods...

    --
    No sig for the moment.
  92. Thanks Steve Jobs!!! by BSDetector · · Score: 0

    You are clearly the most benevolent person who ever lived on the face of the earth. Please let me know when I can spend even more of my money so I can replenish your shrinking corporate coffers. Now if you excuse me, I need to go see if there are any other items somewhere that I can overpay for.

  93. Re:Why not $200 store credit? by Chris+Burke · · Score: 3, Funny

    Is intel going to send them a free core?

    The mental image of some geek at his house opening the mail to find a little 40 mm^2 (or whatever the area of a single xeon core is these days) piece of silicon and going "wtf am i going to do with this?!" made me laugh. Thanks :)

    --

    The enemies of Democracy are
  94. Comment removed by account_deleted · · Score: 1

    Comment removed based on user account deletion

  95. Re:Why not $200 store credit? by Brian+Gordon · · Score: 0, Troll

    four or five different lines with different price levels, rebate options, compatibility, capabilites, form factors, etc If you're someone who buys a prepackaged system with a fixed price, what are you doing on slashdot?
  96. Re:Why not $200 store credit? by Abreu · · Score: 2

    The iphone is worth whatever you are willing to pay for it... it is not a tradeable commodity

    --
    No sig for the moment.
  97. Re:Why not $200 store credit? by happyemoticon · · Score: 4, Interesting

    Apple structures their prices in this manner so that people do not wait to they purchase products. This is also the reason they do not engage in price trickery (different prices for different verticals for no reason, arbitrary, limited-time rebates).

    In practice, as long as I've been following these things, I have not seen the actual prices change muchh. The units get upgraded and the prices stay the same. Therefore, while it is true to say that your unit is worth less, it is difficult to make a direct dollar comparison. You just get more for your money - sometimes incrementally, sometimes radically. In this case, well, they probably weren't selling as many units as they wanted, or figured they were losing points with the demographic that made the iPod famous because of the outrageous prices.

    The only other area I've noticed with radical price drops was the monitors. There are good reasons to lower their prices. For one, they have price competition from other companies who are making very similar or identical products, and it's harder to push the idea that a monitor worth just more for being Apple. Secondly, the iMacs are so cheap, and the desktops so expensive, that the potential market for the monitors is much smaller.

  98. Re:Why not $200 store credit? by yabos · · Score: 1

    You've had it for up to 2 months. Why should you get the full $200 back?

  99. In other words... by Azuma+Hazuki · · Score: 1

    "Hey, sorry our stuff didn't work! And that you can't get your money back! Here's virtual money to spend on more of our crap!"

    --
    ~Eien no Inori wo Sasagete~ Searching for my Hatsumi...
    1. Re:In other words... by davidsyes · · Score: 1

      See my Ferengi Rules of Acquisition comments to the topic... Enjoy!

      --
      Previously: "Linux... Toward the Sunrise..." Now: "Linux... Toward the-- No, now, part of Every Sunrise"
  100. Re:Why not $200 store credit? by dr00g911 · · Score: 5, Interesting

    I'm with you on this one.

    I bought two: an 8gb for myself and a 4gb for the wife, and we stood in line on opening day.

    I honestly believe that the phones were worth every penny that we paid for both of them ($499/$599 retail).

    For the record, my wife let her phone slip while she was walking out of her parking garage, and smacked it at the pavement while flailing to catch it. The sleep/wake button got jammed inside the buckled aluminum, and we had to bring the phone in for service.

    Apple took the phone back, offered us a loaner ($25ish, IIRC... we didn't take it), and had a *brand*new*phone* shipped to us the very next morning. Priority overnight Fedex, 7:45am, I might add. For a phone that my wife admitted to beating up and was ready to pay for repairs.

    So, that was two weeks ago, now Apple offers us $100 apiece for being early adopters.

    You just don't get that kind of service in the technology industry anywhere else these days that I've experienced.

    I mean, I bought a Vista OEM copy and an nVidia "Vista Ready" mobo on launch day (it's my job to know how to support *everything*, turd or not). You don't see MS or nVidia offering to make things right because little things like on-board sound and networking don't function...at all...nVidia passes the buck to MS, and MS passes the buck to nVidia, and eight months later now, I still have to use USB dongles on that particular mobo for sound and ethernet. And neither of those companies have any intention of making things right. And that's just driver issues. Let's not even get into Vista quality (utter pile of refuse, kthanxbye). No rebate, no exchange for something that actually functions as described. Not even an option to downgrade to XP from MS.

    Anyhow, I contrast that experience with something like buying my iPhone, Macbook Pro or any of the dozens of other Apple products I've purchased over the years and there's just no comparison. The iPhone is a *killer* product, and they're going to gain a ton more goodwill out of a gesture that they didn't have to make.

    Long story short, the wife is now an absolutely fanatical Apple supporter just from these experiences.

    Blogging Whiners are whining because they paid a premium to be an early adopter? Well, duh. I had no illusions that it wouldn't be substantially cheaper by EU launch or the holidays.

    Reminds me of a T-shirt I saw recently.

    --d

  101. Re:Why not $200 store credit? by Nephilium · · Score: 1

    Bah! We already have Christmas in July... now we just need to get people to start giving gifts for that, and we've got two starting points for the marketing...

    We can advertise Christmas in July from Dec. 26th until July 25th, and Christmas from July 26th until December 24th...

    Although... I'm pretty sure the first store to have year round Christmas carols will get firebombed...

    Nephilium...

  102. Re:Funny-XTS by Anonymous Coward · · Score: 1, Informative

    Supply and demand works in reverse too. Say for example, you only had a capacity to produce say 100,000 widgets a month. If you were expecting to sell out on opening day, but have a new shipment ready the next day, wouldn't you set the price at a point where by the demand would be limited so that you never had to tell someone "sorry, come back another day"

  103. Houston, Wii have a supply problem by tepples · · Score: 2, Insightful

    Those people standing in line weren't just standing in line to get an iPhone. If that's all they wanted, they could have waited a week or two for the second shipment to arrive. A week or two, or a quarter or two? People who stood in line were trying to avoid the kind of situation that people trying to buy a Wii console experienced. Some sources claim that Nintendo won't even have its supply problems fixed by the 2007 holiday season. Now can anyone see why people would wait in line just in case Apple has an analogous supply problem?
    1. Re:Houston, Wii have a supply problem by Cigarra · · Score: 2, Insightful

      The thing is... you don't NEED an iPhone. If you think you do, then you a have a problem.

      Is the wii/iphone supply not enough to meet demand? Well too bad, lost sale for them, and move on with your life, right?

      --
      I don't have a sig.
  104. Awww by thrashee · · Score: 1

    While this is probably the most prudent thing Apple could have done, I must say, I was enjoying the strange turn of fate bestowed upon all those folks who just couldn't wait to buy the latest and greatest.

  105. An open letter to Steve Jobs by bgspence · · Score: 5, Funny

    Hey Steve,

    I'm pissed. I didn't buy an iPhone because I was waiting for the price to drop. And, now your'e refunding a big part of the price cut.

      I missed out on all the ohs and ahs of showing one off. You owe me big time.

    1. Re:An open letter to Steve Jobs by Anonymous Coward · · Score: 0

      Bgspence, "alot" is not a word. It's "a lot."

    2. Re:An open letter to Steve Jobs by bnenning · · Score: 4, Funny

      I'm with you. Let's all mail Steve and see if we can get a $50 credit to compensate for the $100 savings that he stole from us.

      --
      How to solve most of our problems: 1.Lots of nuclear plants. 2.Cure aging.
  106. Gotta keep the hype going somehow... by lantastik · · Score: 1

    I'm still not going to buy one. I have a laptop that gives me a great internet experience and email and third-party apps and all that other great crap and I have a perfectly good cell phone to make calls with. Since the duties of my employment pretty much require me to have these items on me at all times, what would be the advantage of purchasing an iPhone other than to prove I have the biggest iPenis? Brand whores unite!

  107. accdb? by tepples · · Score: 1

    How about a replacement for Microsoft Office. Where I work, we use a lot of Microsoft Access. Does Apple make anything like that?
    1. Re:accdb? by flosofl · · Score: 5, Funny

      Where I work, we use a lot of Microsoft Access. Does Apple make anything like that?
      No, but there have been great strides in mental health related pharmacology that may help with that Access usage.
      --
      "This calls for a very special blend of psychology and extreme violence" - Vyvyan "The Young Ones"
    2. Re:accdb? by bizard · · Score: 1

      Although it is an 'independent' company, FileMaker blows Access out of the water and you can use it on windows. However, if you are used to the sludge that is Access, you could probably just start developing web front ends to MySQL databases for free.

    3. Re:accdb? by tepples · · Score: 0, Offtopic

      Although it is an 'independent' company, FileMaker blows Access out of the water and you can use it on windows. But can a $1000 proprietary application that runs within Access be ported to FileMaker? Being locked into a particular order tracking system brings along Microsoft Office Access lock-in, which due to bundle pricing brings along lock-in to the rest of Microsoft Office software, discouraging people from trying Apple or Sun products.
    4. Re:accdb? by towermac · · Score: 1

      filemaker.com

    5. Re:accdb? by Anonymous Coward · · Score: 0

      Where I work, we use a lot of Microsoft Access. Does Apple make anything like that?

      No, but there have been great strides in mental health related pharmacology that may help with that Access usage.


      I prefer Scotch myself.
    6. Re:accdb? by Anonymous Coward · · Score: 0

      You should look at the FileMaker Pro database product. FileMaker, Inc. is a wholly owned subsidiary of Apple, Inc., and FileMaker Pro competes with MS Access very successfully.

    7. Re:accdb? by tepples · · Score: 1

      FileMaker Pro competes with MS Access very successfully. But can it run proprietary applications licensed from a third party that are written in Access and Visual Basic? Specifically, can it run Stone Edge Order Manager?
    8. Re:accdb? by Anonymous Coward · · Score: 0

      But can it run proprietary applications licensed from a third party that are written in Access and Visual Basic? Specifically, can it run Stone Edge Order Manager?


      No, but there have been great strides in mental health related pharmacology that may help with the habit of buying tools from companies which use Access as a database store.
  108. Do I qualify for a rebate? by ceswiedler · · Score: 1

    I bought my iPhone on 8/24, which is 12 days before the annoucement on 9/5. It's great that I can get a $100 store credit, but do I qualify for the full $200 rebate (the standard Apple offer)? Is the window for that rebate 10 days or 14 days?

    1. Re:Do I qualify for a rebate? by Peil · · Score: 0

      If you're within the 14 day window, take it back, get your full refund, then drop in the next and and keep you're $200.

    2. Re:Do I qualify for a rebate? by Anonymous Coward · · Score: 0

      14 days at the Apple store... possible restocking fee, but probably worth it.

  109. Challenging cynicism by snowwrestler · · Score: 1

    I don't think this was planed. But I think Apple knows that we now live in an attention society and that people highly regard companies who admit errors and change. In fact people overvalue this since they do not expect it (yet. Microsoft will obviously copy it someday). They did it with "greener Apple", they do it again with credits for iPhones which will generate more money for them due to people buying stuff in the Apple store. The question is: is this a bad trend? Clearly we can all see the business case for what Apple is doing, but does the existence of a business case automatically make it negative? Isn't this just an example of how markets can produce benefits for all parties?

    As others have noted, there was absolutely no need or duty for Apple to do anything. They did, though, and the fact that we can see it is in their best interest should not, IMO, automatically nominate it for criticism. For some folks there seems to be an assumption that if it's good for a business, it must be really bad for everyone else. But the whole point of private markets is that they create value for everyone.

    This is a net gain for all parties. Apple will gain in both brand loyalty and direct revenue (most people go over the store credit amount when using it). And the customers gain $100 in Apple credit, which is a win because clearly this is a group of people who like Apple stuff. Both sides are gaining a benefit they wouldn't have otherwise had.
    --
    Build a man a fire, he's warm for one night. Set him on fire, and he's warm for the rest of his life.
  110. Re:Why not $200 store credit? by Deslock · · Score: 1

    On the one hand I was happy to shell out $600 for the iPhone given that I've been waiting for a wifi PDA/smartphone that doesn't suck for years (the iPhone has its limitations, but frankly I was fed up with Palm's and Windows Mobile's problems).

    On the other hand, while I fully expect price drops and product improvements ~6 months after buying something like this, $200 (33%) after 10 weeks is pretty rough. So I think a $100 credit is a fair compromise. Had Apple not done anything, they would've risked tarnishing their brand name (which is perhaps their most valuable asset).

    In fact I suggested this exact solution over at the Apple and brighthand forums. Apple deleted my thread, but the important thing is that they're actually doing it.

  111. Re:Why not $200 store credit? by vonsneerderhooten · · Score: 1

    ...things like on-board sound and networking don't function...at all...

    Do you know what an RMA is?

  112. song remains the same by kuma · · Score: 2, Insightful

    um, slashdot is supposed to be all knowledge, but yet, i see nothing on precedent...

    apple is known for doing stuff like this, e.g. aperture. the situation was somewhat different, but the response was generally the same, offer refunds to early adopters.

    this is almost 100 million dollars in good-will... and pure apple. in fact, expect some lawyer to devise a class action suit on behalf of aggrieved shareholders -- angry about apple being too gracious with customers.

  113. Re:Why not $200 store credit? by Anonymous Coward · · Score: 2, Funny

    Hell, if you pay $400 for a phone, you're a complete moron.

    ROFL. I spent more than that taking your mom to dinner last night. Goddamn, that woman can eat.

  114. The question is... by prxp · · Score: 1

    If I wanna buy a new iPhone, should I wait until Christmas for prices to drop?

    1. Re:The question is... by /dev/trash · · Score: 1

      Um no. Wait til the New Year.

  115. Re:Why not $200 store credit? by BlueF · · Score: 1

    2 years != 2 months. With such an articulate post, I'm surprised by the horribly fallacious comparison.

  116. Re:Why not $200 store credit? by Anonymous Coward · · Score: 0

    Wow you have the ability to put together your own computer, that's so impressive. Can you fabricate your own chips too ? No, because your just some dumbass monkey who buys off the shelf parts and plugs them together. That's about as hard as putting together a HDTV and cable box and dvd player.

  117. Re:Steve; make it retroactive to all Apple product by suv4x4 · · Score: 3, Interesting

    Even better if most of them spend it on Apple software. Such as, I dunno, maybe Leopard? Due out next month?
    Teh Steve is laughing all the way to the bank, and this time I'm laughing right along. This is so brilliant it almost has to be on purpose.


    Something you learn in basic economics, is that opportunity loss is a loss as any. I know what you think: "haha, software costs $0, so they didn't give you anything at all".

    Nope, piracy of the OS itself is almost non-existent on Macs, and those early buyers would purchase Leopard for $100. Those are $100 lost for Apple, never mind how they are going to be spent.

    The benefit for Apple here is that it's not cash but store credit, from then on, what they do with it is doesn't matter.

  118. Insult to Injury by BlueF · · Score: 1

    $100 store credit is a slap in the face. $200 STORE CREDIT would have been a nice gesture. As is, Apple is only digging themselves deeper in my estimation. Attempting to lure customers to spend MORE money in your store after such an ridiculous pricing debacle is disappointing... I would expect better of Apple.

    1. Re:Insult to Injury by Anonymous Coward · · Score: 0

      Well, your estimation is probably a little off. In reality, Apple doesn't owe anything back to anyone who previously bought an iPhone. They knew what the price was when they were lining up 48 hours before it was released. They also knew they were buying a first-revision product that would be subject to upgrades and price changes in the future. These are things every consumer should know about buying _anything_ in the technology sector. Do other companies compensate their costumers like this? Would they ever? If you sit back and think about what has just happened and what you're suggesting, you'll discover it's a silly thing to have such expectations of any technology company. This is very generous.

    2. Re:Insult to Injury by Anonymous Coward · · Score: 0

      what are you, stupid? read some other posts, go cry more.

  119. Re:Why not $200 store credit? by dr00g911 · · Score: 1

    RMAs are all well and good until you wait a month or so for "last minute driver issues" to be sorted out, and no one's going to RMA an open, activated OEM Vista.

    I think my point was more that Vista itself is an utter, inexcusable mess and MS hasn't even owned up to that... much less even attempted to make things right (make it right? there's no problem!) amongst its customer base. I was contrasting the level of service you come to expect from companies you deal with.

  120. Re:Why not $200 store credit? by sowth · · Score: 1

    Insane markup? Luckily for you, Slashdot is not about journalistic integrity. Otherwise I'd have to ask you to cite some sources for your "facts". It is so much easier to throw accusations around without having to back them up, isn't it?

    ( Just making a point.

  121. Re:Why not $200 store credit? by MrCrassic · · Score: 1

    A refurbished iPhone is already $349.99 for the 8GB version, if you want to snag it before the holidays. Take a look here.

  122. Re:Steve; make it retroactive to all Apple product by Anonymous Coward · · Score: 0

    Ahhh yes, the guy who was ousted because of his management style was in fact setting the prices that whole time. Good call.

  123. haha fanbois! by Anonymous Coward · · Score: 0

    how many times did i tell you that you were getting fucked by jobs?

  124. Re:Steve; make it retroactive to all Apple product by micromuncher · · Score: 1

    Everything Spindler tried to do was too little too late. He was faced with a hostile, arrogant, and oppositional work force that was so caught up in the culture it sabotaged all the efforts. Rebuild a working modern OS - forray into consumer devices - move to open document formats and standards - all under Spinder. Sure, Copland, Pippin, and OpenDoc failed - but if you look at the market 5 years after - what do you see?

    Amazing how many fan boys and x-apple employees lurk on slashdot.

    --
    /\/\icro/\/\uncher
  125. Re:if you pay even less for a contract-locked phon by Anonymous Coward · · Score: 0

    Awwww, you're just jealous. You might be supprised at how many people make more money than you and like gadgets. We don't go around calling you a "mental retard" because you can't get a better job.

  126. pussy by Anonymous Coward · · Score: 0, Troll

    I will not buy an iPhone until:

    1. Apple and ATT pay ME $599
    2. Randall Stephenson's mom sucks my dick
    3. Steve Jobs licks my nut sack

    Beat that.

  127. Re:Steve; make it retroactive to all Apple product by peacefinder · · Score: 3, Insightful

    True, true. Apple will miss out on, oh, let's call it 400,000[1] credits used * $100 = $40,000,000 of potential unrealized revenue.

    However, they don't just give that money up and get nothing for it:
    * They get great publicity that makes them appear responsive to customers - the story is all over the non-tech news.
    * They restore a lot of goodwill among early adopters, who are an important crowd for Apple.
    * It's a great loss-leader to get those people - known big spenders - back into the store to spend more money.
    * If it's used on Apple software or hardware, it will increase their installed base and marketshare.

    So yeah, they're going to miss out on $40 million, but they get value for it that's probably better than the same amount spent on advertising in any media.

    [1: Assuming they've sold 800,000 eligible units and 50% of buyers acquire and use their credits.]

    --
    With reasonable men I will reason; with humane men I will plead; but to tyrants I will give no quarter. -- William Lloyd
  128. Man Apple must be worried about the iPhone... by CPE1704TKS · · Score: 2, Insightful

    They must be worried about the iPhone in order to do something as crazy as that. Dropping the price of the phone 2 months after it's released by 33%? It's bad for several reasons but mainly because it pisses off the early adopters big time as evidenced by the emails/rebate. The $100 will appease them, however, they will be extremely gunshy to jump on the boat again, that's for sure. One of my friends who bought the iPhone said exactly that, he will wait a few months now and won't be fooled by Apple a second time.

    And they know all this because they are savvy business people at Apple. Compare the iPhone to the PS3. More people bought the iPhone than did PS3 at the same price, yet it took Sony 1 year to get a $100 price drop as opposed to Apple's price drop.

    So the only reason to me is that it's desperation. I'm guessing that report about how only 136k people actually signed up must have them pretty worried and they need to reach a critical level sooner.

    Me personally, I smell blood in the water. I'm waiting for the price to drop even further before I begin to consider buying it. It would be interesting to see how many people feel the same way and if that will actually curtail pickup of the iPhone until closer to Christmas.

    1. Re:Man Apple must be worried about the iPhone... by eclectic4 · · Score: 1

      "They must be worried about the iPhone in order to do something as crazy as that. "

      Hmmm, best selling smart phone last month, already has 1.1% of the market (above expectations). No, that certainly was not it. In fact, with so many selling, dropping the price at face value doesn't make sense. They were selling them like hot cakes at the previous price.

      "So the only reason to me is that it's desperation. I'm guessing that report about how only 136k people actually signed up must have them pretty worried and they need to reach a critical level sooner."

      Again, that is not it. See my last remark...

      The real reason they did this was in an attempt to make the iPhone as ubiquitous as the iPod. They dropped the price just before the holiday season starts, revamped their iPod line with many of the same features, outside of email and phone (although you could gain your email via Safari on the iPod Touch I suppose). Asking you to pay $200 more for email and a phone (on top of ATT service fees) would have hurt. Those were the two reasons. Believe me, it's not because they were worried about sales. They sold just under a million of them last month. It was to kick start a buying frenzy of them, and to make it viable for iPod purchasers, nothing more, and it will undoubtedly work.

      --

      "The greatest obstacle to discovery is not ignorance - it is the illusion of knowledge." - Daniel Boorstin
    2. Re:Man Apple must be worried about the iPhone... by Anonymous Coward · · Score: 0

      And where is your source for your market share and sales statistics?

  129. Apple has just screwed itself, big time by mark-t · · Score: 1, Insightful

    Thanks to this incident, it is highly improbable that Apple will ever be able to come out with something innovative and new that is a success ever again... because if they try to, a lot of people will hesitate to buy it right away, thinking that perhaps Apple might lower their price in the not-too-distant future. The result will virtually inevitably be a marketing failure.

    1. Re:Apple has just screwed itself, big time by bnenning · · Score: 2, Insightful

      Thanks to this incident, it is highly improbable that Apple will ever be able to come out with something innovative and new that is a success ever again... because if they try to, a lot of people will hesitate to buy it right away, thinking that perhaps Apple might lower their price in the not-too-distant future.

      Yes, that certainly explains the failure of every single other technology product.

      --
      How to solve most of our problems: 1.Lots of nuclear plants. 2.Cure aging.
    2. Re:Apple has just screwed itself, big time by mark-t · · Score: 2, Insightful

      I'm not sure I follow. I wasn't trying to claim that was or was not the case with other products... only that Apple has set themselves a rather nasty precedent for what people will likely expect from them in when they come out with new products. Would _YOU_ buy a brand new product at a premium price if you expected it was going to be 33.3% cheaper in just under 10 weeks? 10 weeks isn't really that long, so most people would rather wait. That's my point... that thanks to this, only a limited number of people will now immediately rush to buy whatever new thing Apple comes out with next, and that would invariably limit their success.

    3. Re:Apple has just screwed itself, big time by kripkenstein · · Score: 1

      Thanks to this incident, it is highly improbable that Apple will ever be able to come out with something innovative and new that is a success ever again... because if they try to, a lot of people will hesitate to buy it right away, thinking that perhaps Apple might lower their price in the not-too-distant future. The result will virtually inevitably be a marketing failure.
      • Given the latest development under discussion here (the $100 credit), in fact people will be motivated to be early adopters, because they see that even if prices drop later on, they get compensated to a significant degree.
      • And anyhow, we all knew this stuff before, early adopters pay through the nose, etc. etc. I am willing to agree that the price drop was a tad sudden in this particular case, so yes, it might deter future early adopters, however, generally speaking the motivation to own a shiny new toy will win over any fear of several months later being able to buy it cheaper. These are, after all, toys, not long-term investments that you are willing to buy whenever it is most profitable. With toys you want instant gratification.
    4. Re:Apple has just screwed itself, big time by Carewolf · · Score: 1

      If I wasn't ready to do that, I would not have been able to own a PC in the 1990s. Seriously you have been "spoiled" by the lack of innovation and development in IT the last 6 years. Computers used to drop much faster in price than iPhones.

    5. Re:Apple has just screwed itself, big time by byjove · · Score: 1

      Don't you think it's much LESS likely to happen in the future? Myself, I feel a lot more comfortable on the pricing of new Apple products knowing that they're aware of what a significant price drop does to the market and how they'll deal with it.

    6. Re:Apple has just screwed itself, big time by mark-t · · Score: 1

      Given the latest development under discussion here (the $100 credit), in fact people will be motivated to be early adopters, because they see that even if prices drop later on, they get compensated to a significant degree.
      Let's see.... the product dropped in price by $200.... and Apple is offering not a refund, but just a $100 credit. So not only are they keeping the money, but the financial measure of it is only _HALF_ of the actual difference in price. I wouldn't call that significant. Significant, at least to me, would be getting a full refund for the difference, perhaps minus a very small percentage, akin to a restocking fee, or else getting a store credit for no less than 100% of the difference.

      And anyhow, we all knew this stuff before, early adopters pay through the nose, etc. etc.
      Of course... but the first big price drop usually happens several months later... close to the 1 year mark, or so. Not 10 weeks. Apple's just set themselves a nasty precedent for what people will expect them to do in the future, even if they don't.
    7. Re:Apple has just screwed itself, big time by mark-t · · Score: 1

      Don't you think it's much LESS likely to happen in the future?
      There's a saying: "Fool me once, shame on you. Fool me twice, shame on me." I think that's going to be the mentality of people with regards to Apple for the forseeable future. About the only way they could climb out of this would be to offer at least a 1 year price protection plan for any new products they come out with during an initial introductory phase, a period that itself should not be less than 3 months.
  130. Re:Why not $200 store credit? by djh101010 · · Score: 2, Insightful

    It's even better than that - since it's store credit, the insane markup on Apple products means they are probably only going to end up giving away $30 to $40 worth of things away.
    Strange logic you've got there. The apple online and retail stores sell all sorts of things, many of which even a non-apple-owner would find useful. At competitive prices. The thing you're also missing, is that if I've bought an iPhone (I have), I'm likely to buy other things because of direct personal positive experience with the products. Did I deserve to get a free $100 bucks off my next purchase of any vaguely IT-ish product? Not at all. Did I expect it? Nope. Am I gonna spend it on more Apple stuff? Sure. Was I gonna buy that stuff _anyway_? You bet. So tell me again how I'm only gaining $30 or $40? Seems to me it just made my next iPod purchase go from $300.00 to $200.00...

    I agree with what someone else said though - if you want things on the day, you pay extra. It's always been the way, though maybe 2 months after release is a bit soon for a price cut like this. Jobs cites the holiday season as a reason - why not cut the price in November then? At least that lessens the chance that every iPhone owner is going to want your head impaled upon a pike so they can wave at it in a funny way.
    I find it odd that people are treating Apple poorly because they're (a) dropping the price, and (b) giving early adopters (adapters?) something that is completely unexpected but a nice gift. Somehow they're the bad guys for doing this. Not saying you specifically, but an awful lot of that sort of thinking in this thread.

    It's a good phone. It integrates the various apps well. One-button checks for traffic, weather, stock prices, email, etc etc etc. The workflow is well thought out and intuitive. Yeah, I can do all (well, most) of this same thing with my Treo but, the UI on this thing is so much better. And my monthly contract with AT&T is 20 bucks a month less than I was paying Verizon. I'm not seeing a downside.
  131. Re:Why not $200 store credit? by kcbanner · · Score: 0

    Not really. Plugging cables != assembling a computer. Although they are both easy tasks to perform.

    --
    Obligatory blog plug: http://www.caseybanner.ca/
  132. Has apple started an inadvertent trend? by therovert · · Score: 1

    One wonders if the $500 suckers have learned from the folly of their impatience? Apple's tricks on people's perceptions of value could return to bite them in the ass. I can easily see lots of people (me included) never purchasing an new apple product until they slash (\ ha! ha! the pun...) the prices by about 30% about a month or so after the launch.

  133. Re:Steve; make it retroactive to all Apple product by djh101010 · · Score: 1

    So what is the real reason Mr. Jobs?
    Well duh, he wants them to buy an ipod touch with the credit hehehe
    Fair enough, I was gonna anyway. Thanks Steve!
  134. Re:Why not $200 store credit? by Anonymous Coward · · Score: 0

    nVidia doesn't make motherboards, they make northbridges and southbrides for motherboards. nVidia also makes some generic motherboard drivers, but they dont work with some mobo's.

    I'm going to go with the "You are a incompetent moron" option.

  135. Re:Why not $200 store credit? by bwy · · Score: 1

    I agree. I can't believe there are people who are actually upset that Apple is doing this. They'd rather have us get nothing. That is just a crappy attitude IMHO.

  136. Great way to unload your inventory... by Franklin+Brauner · · Score: 1

    I'm willing to bet that just in time for the holiday shopping season a new iPhone will be released (iPhone nano, anyone?) and that this was the best way to liquidate the current inventory in preparation for that.

  137. Re:Why not $200 store credit? by YU+Nicks+NE+Way · · Score: 1

    Fuck, you broke Kenny. Original intent recovered.
  138. Re:Why not $200 store credit? by choongiri · · Score: 1

    depreciates 30% overnight.
    I know you picked that number off a tree

    (599 - 399) / 599 * 100 = 33.4 ~ 30%

    I think the grandparent did a rough estimate in his/her head, rather than picked that number off a tree.

  139. iphone early adopters = dumkopfs by liftphreaker · · Score: 1

    Don't blame lord Jobs. If the fanboys want to waste $600 for it, with a 2-year lockin, Apple is ready to rake in your moolah. You could get other phones on the market with the same features for much less. Blindly following your leader lord Jobs does come with some drawbacks.

    And how does Apple repay you? By getting you to buy *more* apple stuff with that $100. Nice.

  140. Re:Whats the hardest thing about buying an Apple? by darinp · · Score: 0

    I call bullshit..... Once you buy it you don't have to tell anyone you are gay....

  141. $600 and recoverable costs by weston · · Score: 4, Insightful

    a minority of fanatics who believe that iPhone costed every single dollar of those $600 they paid.

    I'm not sure those people are wrong.

    I've seen lots of stuff that focuses on the cost of the parts. These people seem to act like it was inevitable that if you dumped enough of the specified parts into a vat together that they'd eventually inevitably produce an iPhone.

    I've only seen speculation about costs for manufacturing/assembly, software development, and hardware R&D. Probably because only Apple really knows. But I'm sure those costs are there. Perhaps others that aren't immediately obvious.

    This isn't to say there wasn't a good margin built into the iPhone on top of that. However true it actually is that Apple actually is a damn smart company that is in fact driven as much by a desire to produce quality products as the desire to reap profits, it and its shareholders also probably desires to reap profits. They probably knew they could command the price of early adopters and many would pay it.

    It's also possible that high price helped them recover development costs, and with that done, they're free to drop the price.

    It's also possible the high price likely keeps it in the hands of people who want one so badly they're willing to overlook some Rev A problems.

    It's also possible the price itself was intended as a quality/caché signal.

    1. Re:$600 and recoverable costs by suv4x4 · · Score: 1

      "a minority of fanatics who believe that iPhone costed every single dollar of those $600 they paid."

      I'm not sure those people are wrong.


      They're apparently wrong now in the aftermath, the $600 model costs $400 now. It doesn't matter what it costs to buy the parts, or build them. On the market, now iPhone costs $200 less than it cost two days ago.

      Also you realize, even if Apple could subsidize the price with the AT&T contract, it's the same contract, the users who bought the phone for $600 won't pay less to AT&T, so it's not a relevant question at all how the price was formed and whether the contract helped.

      Not to forget iPod touch costs almost the same, with no AT&T contract (or phone feature) to go with it.

    2. Re:$600 and recoverable costs by LarsG · · Score: 1

      I've seen lots of stuff that focuses on the cost of the parts. These people seem to act like it was inevitable that if you dumped enough of the specified parts into a vat together that they'd eventually inevitably produce an iPhone.

      True, looking at the Bill Of Material doesn't give the exact true cost per handset produced (the BOM does include estimates on manufacturing, cost of 3rd party software/IP licensing and the OS. So it is not the physical parts only). But it does provide a useful yardstick to compare the likely profit margins. That is, if one compares the BOM vs MSRP on a Nokia/SE/Motorola and on the iPhone one sees that at $600 Apple had a much larger margin than other cell phone manufacturers.

      It's also possible that high price helped them recover development costs, and with that done, they're free to drop the price.

      Using the same logic, the price tag on the first version of OSX should have been very high. I'm not saying that iPhOSX wasn't expensive to develop, but like the first version of OSX it is an investment in a new platform. iPhOSX is going to power an entire family of Apple gadgets (first of which is the iPod Touch). In terms of accounting it should be treated as a long term investment to be written off over at least a year or two, not over two months.

      Also, look at the likely BOM on the $400 Touch; an iPhone minus GSM/Camera plus 8GB Flash. In terms of parts cost that comes out at about even. So same hardware cost, and the Touch doesn't give Apple 10% kickback from a carrier. That's probably the reason they set the iPhone to the same price; anyone doing a comparison would see that they are essentially the same device, only differences are in easily priced hardware (no need to guesstimate the OS and touch display cost). Apple would be hard pressed to explain the $200 premium, it would at least make it painfully obvious that the margin on the iPhone was ridiculous.

      people who want one so badly they're willing to overlook some Rev A problems.

      Two words: Nano. Scratches. The Apple early adopters are not known for overlooking problems in their much vaunted devices, so I kinda doubt that one.

      It's also possible the price itself was intended as a quality/caché signal.

      I think you have hit upon the main cause for the blogstorm that forced Jobs to do damage control in order to bring the faithful back in line.

      --
      If J.K.R wrote Windows: Puteulanus fenestra mortalis!
  142. What if you don't have it anymore...? by Mewtwo · · Score: 1

    For example, the guys at Will it Blend blending that one iPhone. They bought the iPhone, but no longer have it. Will they be able to get the $100 credit, even though the remains of the iPhone were sold to someone else? (And thus blend the new product?)

    Also, in a more reasonable situation, what if someone bought the iPhone only to resell it, or was unsatisfied with it and dumped it? Who gets the $100 then?

    --
    09 F9 11 02 9D 74 E3 5B D8 41 56 C5 63 56 88 C0 SU CK IT MP AA
  143. Re:if you pay even less for a contract-locked phon by vought · · Score: 1

    Have you considered that are people for whom $400 isn't a small fortune? You can mock people for making a good living if you want, but it seems kind of ineffective.

    I don't consider the folks up the street (who have an obnoxious home, a Gallardo, two Hummers, and a Cayman) stupid.

    I consider their purchases stupid.

    Take a lesson, GP.

  144. Google Video by Nom+du+Keyboard · · Score: 1
    Google tried to just give credit back when they shut down their video service. The weight of protest resulted in cash refunds and they got to keep the Google credits as well!

    Maybe Apple just didn't sell enough iPhones for there to be enough angry people.

    --
    "It's the height of ridiculousness to say for those 9 lines you get hundreds of millions."
    1. Re:Google Video by bnenning · · Score: 2, Interesting

      The difference would be that Google was rendering their customers' purchases completely useless, while an iPhone from June works perfectly well today.

      --
      How to solve most of our problems: 1.Lots of nuclear plants. 2.Cure aging.
  145. Re:Why not $200 store credit? by Anonymous Coward · · Score: 0

    yeah, because putting a chip is a socket or a card in a slot is nothing like plugging in cables.

  146. interesting slashdot by mgabrys_sf · · Score: 1

    This story was carried by everyone all morning including the popular press and every tech blog out there - except this one.

    Were you concerned that Apple might look "bad"?

    Who the fuck is running the show around here?

  147. Re:Why not $200 store credit? by Emciess · · Score: 0, Troll

    I find it really curious that anyone has a problem with the generous gesture. Regardless of your operating system of choice buying technology as soon as it comes out means you pay more. Period. I have never seen a gesture like this before and it makes me feel really good. As for Apple's secrecy policy, imagine having a huge company like microsoft try to copy everything do it badly and still have most computer users use the inferior (in my humble opinion) product. I guess you'd want to slow that stuff down a bit, huh?

  148. Re:Why not $200 store credit? by Brian+Gordon · · Score: 1

    I meant that you at least picked your components out when you placed your order on the OEM's website: such and such size memory, exactly what processor model, what speed/brand hard drive, that sort of thing instead of the traditional consumer approach of going to the store and "buying a computer" by just looking for the box with the lowest price tag, maybe be persuaded by the smooth talking salesman into a "multimedia" upgrade or something. I consider that far below the Slashdot crowd. So it was a compliment, not a troll.

  149. Jobs and AT&T refunds both 14 days. Coincidenc by ilyar5 · · Score: 1
    Jobs and AT&T refunds both 14 days. Coincidence? I think not!!!

    The reason that Jobs announced a $100 rebate to people that bought the iPhone within 14 days is because AT&T allows people to return iPhones within 14 days for a refund minus a 10% restocking fee.

    Lots of people must have started returning the phones and buying them for the discounted price (which is very expensive for Apple), so they figured that if they offer $100, and you're only going to get $540 back for a return after the 10% restocking fee, and you have to deal with the hassle of returning and buying again, you'd rather get the $100 refund from apple. It's pure economics.

    Here's a quote from AT&T's site: "Apple branded equipment is covered by a 14-day return policy and must be returned to the original point of purchase. If the Apple branded equipment is returned unopened and in the original shrink wrapping, it will be refunded back to the original payment method. Opened Apple branded equipment that is returned within 14 days will be subject to a 10% open box restocking fee. All products must be packed in their original, unmarked packaging including any accessories and manuals that shipped with the product." See: http://www.wireless.att.com/cell-phone-service/leg al/return-policy.jsp

    Incidentally, all other phones have a 30 day return period and no restocking fee, so perhaps the price cuts were planned, or Apple was afraid the phones might have problems that would cause them to be returned.

    Jobs doesn't care about the users, it's all about the benjamins. Once again he's sucked everyone into the Apple spin zone.

  150. Re:Why not $200 store credit? by thepartyanimal · · Score: 1

    this is a lesson from the ultimate hustler. satan himself couldn't have come up with a better scheme. well played mr. jobs, well played...

  151. used market for cell phones and ipods by Gary+W.+Longsine · · Score: 3, Interesting

    That's an interesting observation. I've seen a lot of people give their used cell phones to shelters, or to students or friends. I think the "market" for them exists, but its lubricated more by social currency rather than dollars.

    --
    If you mod me down, I shall become more powerful than you could possibly imagine.
  152. $100/two months by SuperKendall · · Score: 1, Insightful

    Having maps and email and web browsing on hand, has in fact been worth $100 over two months (since I was going to buy Leopard anyway, the $100 credit is real enough to me). I have made excellent use of it over the last two months.

    And I do not "flash it around". I hate even admitting I have some expensive phone. I generally try to use it when it's not obvious I have one (except answering calls of course, you don't get to pick exactly when a call will come).

    Your mistake, as has been the mistake of Apple haters since the dawn of time, is in think any Apple product is about looks when it's all about features and usability.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  153. Re:Why not $200 store credit? by Macthorpe · · Score: 1

    That actually comes from experience of going to an Apple store in London and also knowing someone who runs a shop and therefore the price of obtaining these things from the manufacturer.

    Having said that, that is London, and as such your mileage will almost certainly vary.

    --
    "It does not do to leave a live dragon out of your calculations, if you live near him." - Tolkien
  154. Go find another shoulder to cry on. by itcomesinwaves · · Score: 1

    It's not like nobody warned these people. In the comment section of every iPhone story (and there were a lot) people were saying that the smart thing to do was wait for the next revision and/or the price drop. Hell, most of the reviews said as much. But no. They marched to the Apple store, fingers in ears, singing the "I can't hear you" song.

    You can feel cheated all you want, but don't make me listen to it. It's like when you're boss complains that he has buyers remorse from his brand new Mercedes. Great. You're rich. I get it. Now don't sob about being taken for a fool when you spend your money on frivolous things.

    1. Re:Go find another shoulder to cry on. by Catbeller · · Score: 1

      "but don't make me listen to it."

      No one is making you read it. That's your choice. Amusing little thread, tho.

  155. It's all because of the iPod touch by EccentricAnomaly · · Score: 4, Interesting

    Usually when Apple announces something like this in a special event they get tons of free press describing their new product becuase their events are interesting enough to be news. Just look at the recent iMac announcement and the articles on cnn.com and other places. But now what made the news was this price drop that was uncharacteristic for Apple and how the drop made the early adopters mad and how it must be a sign that their not selling enough iPods. All this and barely a mention of the iPod touch outside of the tech websites like ars....

    But C'mon the iPod touch is freakin' cool, and way more newsworthy than the iMac. The Steve really f*cked up by announcing the price drop at the same time as the iPod touch. This $100 rebate is his effort to try an recover from this and hopefully get some positive press.

    Yeah, the rebate is good customer relations and preserves the brand... but I think the main benefit is in squashing the 'disgruntaled iPhone people' meme before it got out of control.

    I'm not saying this to be critical of his motives, but to admire him for doing a good job protecting shareholder value. As a little-guy shareholder I am really greatful that he works so hard to protect my investment's value even though most of his personal wealth comes from his other business (Disney/Pixar). This rebate is really good (and timely) damage control. Next step: he has to give Pouge and Mossburg free iPod touches :)

    --
    There are 10 types of people in this world, those who can count in binary and those who can't.
  156. iTunes Plus by ProfessionalCookie · · Score: 1

    iTunes Gift Cards.

  157. $200 (real $) for 2 weeks - standard Apple policy by MikePlacid · · Score: 5, Informative

    http://www.apple.com/legal/sales_policies/retail_u s.html

    Should Apple reduce its price on any Apple-branded product within fourteen (14) calendar days of the date of purchase, you may request a refund of the difference between the price paid and the current selling price. An original purchase receipt is required, and you must request your refund within fourteen (14) calendar days of the price reduction.

  158. Re:Why not $200 store credit? by Achoi77 · · Score: 1

    Hmmm... I'm trying to decipher this. Is English not your first language? Are you saying there's something with my anatomy? Are you saying someone should copulate with me until I cease to function?

    either that or untill you run out of money

    or maybe he's visibly upset and had to shout some expletives because you broke his asshole, or something..

  159. Re:Jobs and AT&T refunds both 14 days. Coincid by Anonymous Coward · · Score: 0

    Um, except Apple is offering a rebate to anyone who has bought an iPhone, ever. Not just within the last 14 days. You can still return an iPhone if it was purchased within the last 14 days, then buy a new one, if you like.

  160. Re:Why not $200 store credit? by Achoi77 · · Score: 3, Interesting

    Trust is a very hard thing to earn amongst geeks. Ok this is way offtopic, but anyways.. I believe a lot of it comes from our social environment - we get beat up in schools as a kid, growing up the local bully would trick us into doing something foolish at our own expense and their entertainment (from our innate desire to 'fit in', so to speak), even so far getting trolled by our own kind in various outlets (getting PKed from people you considered 'friends,' or being goatse.cx'd), or being victims of various exploitations (at work, at love, etc). Growing up in that kind of environment, at times when I see a genuine gesture of grace, I can't believe it for a minute, and my head is spinning thinking of all the possibilities and reasons of why someone would do such a thing, likely at my expense nonetheless. Maybe it's just the nature of geeks to think ahead, *shrug* I don't know.

    But in any case, it will come as second nature to us to be distrustful. Sometimes that manifests prematurely - perhaps the sales of the iphone are worse than expected and Jobs is trying to boost sales in order to look good in front of the other cellphone carriers - I could be thinking. Or perhaps: sales really did go well early on, but they noticed a sharp drop after the first month because they priced themselves out of the sweetspot (coupled with the whole ATT bundling push fiasco). A PR maneuver like this could bring forth a few more customers, maybe. Or maybe this was planned from the start, and luckily their supplier had better than expected yields for hardware parts and Apple took that to their advantage in order to get a jump on more marketshare against the other cellphone manufacturers (at the same time looking good towards consumers and not looking like total price-gouging capitalists which any true-blue american company in the business of cellphones is so well known for). Who the hell knows? Perhaps the cellphone carriers looking to take advantage of apple forced apple to price their units high (perhaps with aid from other manufacturers that had stake at the carriers, like clique'y capitalism), so Apple played the game according to the rules set upon them - untill the time was right for them to turn around, give the carriers the finger and set the rules how Apple wants to play them. (too much tinfoil hat?)

    Anyways, it's a refreshing change of pace, and a nice gesture for Apple to go forth and do all that. For the rest of us that know how Apple rolls, we've all be patiently waiting for the price to go down (and more carriers to be supported) - or we've been waiting for the ipod touch instead. Or we're waiting for revision B down the road when something wacky happens with the iphone 6 months from now.

  161. Re:Why not $200 store credit? by Revotron · · Score: 0

    ...I have yet to see any store that is *not* an Apple store carry Apple computers. This wasn't always the case, though, IIRC. In fact, in recent years Apple has disallowed third-party sales of new Apple systems for various reasons, including the price fluctuations that occur.

    iPods and iPod accessories are a different beast - prices vary due to the large amounts of retail outlets that carry iPods and the resulting competition.

    The only way to purchase a new Mac computer is through Apple Online or an Apple Store... as for used systems, that's what Craigslist and eBay are for. (MacMall is a good authorized used-system reseller, however)

  162. It was overpriced when it came out by TheLink · · Score: 2, Interesting

    Why should people expect rebates if they willingly buy some stuff that's overpriced and it gets cheaper a few months later?

    If it was faulty or you got less than what was advertised then sure.

    WRT rebates for punishing companies, I personally don't think fines/rebates are that effective. Bosses being sent to prison is definitely more effective...

    --
  163. I want my money back! by Tug3 · · Score: 1

    I just bought a new Nokia last May that had just come out for 990 euros. And now they are selling it for 700 euros down the street! - I want my money back!

    Nokia should have told me that they will drop the price later, and the cost of manufacturing the phone is less than 990 euros! They should have told me that they are making profit on me buying the phone early. It's just wrong! Someone should tell me these things, because I didn't know the price of the phone would drop. I thought a 990 euro phone will always be a 990 euro phone. The price would even rise, because the value of the money always drops. So in two years when I'd sell the phone, I would get over 1000 euros for it...

    --
    If all else fails, pull the plug and get out...
    The Life is out there...
  164. Re:Why not $200 store credit? by Kumiorava · · Score: 1

    Blogging Whiners are whining because they paid a premium to be an early adopter? Well, duh. I had no illusions that it wouldn't be substantially cheaper by EU launch or the holidays.

    That is the key to frustrations, everyone assumed it will be discounted by EU launch or the holidays (I would have guessed by $100), which would give good 4-5 months time. Now the discount happend in 2 month time and it was significantly more than expected. Society has certain unwritten rules on how prices can be dropped without getting backslash, and this price drop was definitely too soon and too big.

    To be honest I believe Apple got some sort of revenue share deal with AT&T (similar to what they got from European carriers) and it suddenly made financial sense for AT&T and Apple to discount the phone price. In Europe Apple gets 10% of the revenue iPhone generates, if same was done with AT&T then it would mean about $240 extra income for Apple during the lifetime of the contract, assuming $100 per month spending. Suddenly Apple has incentive to finance the price drop and get huge step closer to that 10 million iPhones sold mark.

    Bottom line with the discount is that suddenly the mechanics how iPhone price is calculated got twisted and people before this overhaul were left paying substantially more than what the price should have been. iPhone should have started with $399 price and drop to $349 or $299 by Christmas, thats how the phone prices behave normally.

  165. AppleCare rules by LKM · · Score: 2, Interesting

    I just wanted to add to your praise of AppleCare. It's more of an insurance than a guarantee, really. I broke a PowerBook taking it apart (don't ask). Called them on the last day of my AppleCare year. They fixed it for free, and also replaced the slightly scratched bezel.

    My friend broke the screen of his iBook which he had in a backpack while skateboarding. Free replacement from Apple. My brother broke his iPod in a biking accident. Apple replaced it free of charge. A friend of mine stumbled over a pre-mag-save PowerBook cable and the cable ripped out of the plug. Apple sent me a new charger, no questions asked.

    I would tell anyone to extend AppleCare to three years for portable devices. If anything happens, Apple will fix it.

    1. Re:AppleCare rules by Anonymous Coward · · Score: 0

      Whether or not all this free replacement for user-damaged products happens or not, it is not how it is intended to work. By the letter of the agreement you have with AppleCare, accidental damage is not covered. That's not to say it still isn't worth it. The only other company I can think of with comparable tech support and ease of repair is Nintendo.

    2. Re:AppleCare rules by LKM · · Score: 1

      I have no idea how it is intended to work. I've never tried to cheat Apple. I told them what happened, they fixed it.

      As far as Nintendo is concerned, over here where I live, some other company handles importing and support of Nintendo's hardware, and they're pretty crappy :-(

  166. Apple's margins by LKM · · Score: 1

    That actually comes from experience of going to an Apple store in London and also knowing someone who runs a shop and therefore the price of obtaining these things from the manufacturer.

    So you're saying that you think the markup on Apple's products is high because you know somebody who runs an Apple shop who told you that he has high margins on Apple's products? The term "pants on fire" comes to mind, considering that resellers have been complaining about the low margins on Apple's products for years.

    Apple does usually have margins in the 20-35% area, but the resellers don't see anything like this, and Apple's margins are so high because Apple generally doesn't pay for software (such as Windows). In fact, Apple's products aren't really more expensive than comparable products from companies like Creative or Dell.

  167. Re:Why not $200 store credit? by jewps · · Score: 1

    I've used more Nvidia based boards for both Intel and AMD from pretty much every mobo manufacturer out there, from cheap OEMs to high-end premium boards. It's been a while since I couldn't find a device driver for Vista. Being an early adopter sure doesn't help things and should have been expected. It's not like the R600 Linux drivers were out the day the 2900 came out heh.

    While its nice to support everything, learning how to use an OS so you can work on one doesn't really mean you need all devices to work. I too support more hardware than I care to admit and when I needed to learn how to use it, nothing VMware can't handle, or my Macbook, desktop, etc.

  168. WTF??? by LKM · · Score: 1

    In fact, in recent years Apple has disallowed third-party sales of new Apple systems for various reasons, including the price fluctuations that occur.
    (...)
    The only way to purchase a new Mac computer is through Apple Online or an Apple Store...

    WTF are you talking about? Where I live, we have dozens of Apple resellers. No Apple store, though. Even normal electronics stores and some upscale grociery stores sell Apple systems. New ones, by the way.

    Do you have any sources for your absurd claims?

    1. Re:WTF??? by Revotron · · Score: 0

      I'm wrong then... I know there's one system manufacturer who only sells through their own outlets, and I was damn sure that it was Apple, but I guess not. Would you happen to know who it is?

    2. Re:WTF??? by LKM · · Score: 1

      The first two on my mind were Gateway and Dell. I'm pretty sure Dell used to only sell through their online store; but I'm not sure they still do that. Gateway used to have their own stores, but I think they also sold through other retailers at the same time.

      Apple always did that. In fact, when they started out, they had neither an online store nor their own stores, so they only sold through third-party retailers.

  169. Huh? by Anonymous Coward · · Score: 0

    So what did those early iPhone fanboys think? That the normal ways of commerce don't apply to them?

    When I bought a combined harddisk/DVD recorder less than 2 years ago, it cost me $1500. Recently I spotted one for less than $250 (OK, it did have 'only' a 250GB disk, while mine had a 400GB one).

    Am I getting a refund or extra store credit for not wanting to wait until the price dropped? ZILCH. NADA. NOTHING.

    Did I ever expect any such thing? NO.

  170. To Apple fans... by yuting · · Score: 1

    Jesus Jobs! Don't you know you've been ripped off by Apple?

  171. Whinging Bastards by mister.f · · Score: 1

    I'm really loving all the whining going on here! Apple didn't have to give a $100 rebate, but they are, because for some reason they seem to care about the customers who slag them off at any given chance...And now you're still not happy because it wasn't the full $200 price drop. Goods change value over time, anyone who expected the iPhone to stay at the same price is quite silly. They dropped the price, deal with it!

  172. Someone at apple can count! by Anonymous Coward · · Score: 0

    It seems that the rebate in the UK will be 50 GBP. It is re assuring to see apple realise that the 2 to 1 exchange rate is there (particularly when giving money back). Sadly MS and many others (apple too) oddly ignore this when setting prices.

    Wonder why?

  173. Google did by brunes69 · · Score: 0, Troll
    Google Did

    But Google refunded 200% of the wasted money, not just 50%.

    This just goes to prove what we already know, Steve Jobs is cheap.

    1. Re:Google did by Anonymous Coward · · Score: 0

      Hey, lets keep what Google did straight. Google refunded OVER 200% of the money spent, as the original store credit was rounded UP. Only the added cash refund was the exact value. Not to mention, of course, that you get to continue to enjoy your content for a while and are given plenty of time to export them from Google. This isn't as good as Apple though as you don't get a free iPhone to watch your Google Videos!!!!

  174. I don't think a price cut is wrong by Swift2001 · · Score: 2, Funny

    I think they realized that they had set the opening price a little too high. If the top end had sold for $499, they would have sold more at the opening, and then nobody would have objected to $100 price cut. What do the early adopters think, they bought real estate instead of a rapidly-devaluating piece of personal electronics? A $200 drop, so soon, made the upper classes feel ripped off, instead of bravely paying off the development costs for the rest of us. Show a little damn noblesse oblige, iPhone nobility. Keep paying the premium price for your phones, so they can lower the price to $299, at which point, I bite. The lower classes will thank you brave price pioneers. Scratch me behind the ear and I will tug my forelock for you. No, it doesn't mean that. The forelock is the little tuft of hair in the front of your head that the serfs would tug at to show obeisance.

  175. Re:Why not $200 store credit? by DDLKermit007 · · Score: 2, Informative

    Actually Apple does participate in limited price drops and rebates. They just don't make it their marketing gimmick. They just hide it somewhere on their site in a block of text that it's happeningI picked up my Dual Core Macbook, and a 30GB iPod video right before Apple dropped the price of the 30GB iPod Video from $300 to $250.. Price was dropped $100 on the Macbook, and got a $150 rebate on the iPod since it was bought with the Macbook (plus a student discount). Zero problems getting the rebate since everything was bought at an Apple Store, and the rebate was sent to Apple's main offices. Even picked up the Intel rebate that came about a couple months later related to Dual Core notebooks without issue.

  176. Re:Why not $200 store credit? by TheBigBezona · · Score: 1

    I know one person who did get a full $200 store credit simply by asking for it. Apple seems to very conscious of the fact that dropping the price so much so soon is going to make the early adopters cranky, and seem willing to make reasonable accommodations for those folks if they ask for it.

    This seems to be more than most companies would do in the same situation, and it's preferable to keeping the price artificially inflated for everyone else just so the people who were happy to spend to $599 can feel better about themselves.

  177. Expectations by jgoemat · · Score: 1

    Why should people expect rebates if they willingly buy some stuff that's overpriced and it gets cheaper a few months later?

    Because Apple wants people to go buy the new touch iPods and not wait for three months to see if the price drops. It's not the feeling of entitlement of the early adopters, it's Apple's marketing and their desire to take care of customers.

  178. i don't agree witht he whining, but... by neersign · · Score: 1

    this isn't really unprecedented. I know of many retail chains that will give "price adjustments" within a certain number of days after a purchase. I think that they mostly limit it to 14 days, maybe 30 days.

  179. This was clever by sheldon · · Score: 2, Insightful

    Instead of the story being "Apple lowers price, because of dismal sales", the story is about how people who paid too much are pissed and are getting a rebate.

    Maybe when it hits $200 and works with t-mobile out of the box, I'll consider buying one.

    1. Re:This was clever by Anonymous Coward · · Score: 0

      Uh, the story isn't "Apple lowers price, because of dismal sales" because sales have been great. Take your head out of the sand and realize that just because you don't think it's worth the price doesn't mean that everybody else agrees.

    2. Re:This was clever by illumin8 · · Score: 1

      Instead of the story being "Apple lowers price, because of dismal sales", the story is about how people who paid too much are pissed and are getting a rebate.
      Dude wtf are you talking about? The iPhone has been selling in record numbers and by all metrics was the best selling smartphone in July.

      Maybe when it hits $200 and works with t-mobile out of the box, I'll consider buying one.
      Oh that explains it. You're just bitter because you're locked into a T-Mobile contract and don't want to pay an early termination fee for the sexy iPhone. Get over yourself, pay the early termination fee, and buy your iPhone already. Then you can join the rest of us as we bask in the techno-glory of "t3h sh!n3y!"

      Haha... I'm only halfway kidding. Has anybody else noticed that the ones that bitch the most about the iPhone are the ones that are locked into T-Mobile contracts? It's like they can't have it, and want it so bad, they want to make the rest of us that do have it feel bad too. Misery loves company were never truer words...
      --
      "When the president does it, that means it's not illegal." - Richard M. Nixon
    3. Re:This was clever by amohat · · Score: 1

      T-Mobile has excellent customer service, AT&T sucks ass.

      Also, they both use the same tech, so they ought to be compatible.

      Did I mention AT&T sucks ass?

    4. Re:This was clever by sheldon · · Score: 1

      Dude wtf are you talking about? The iPhone has been selling in record numbers and by all metrics was the best selling smartphone in July.


      Really?

      The total number of iPhones sold in July was below that of the pace needed to meet Apple's target of selling 1 million phones by the end of September, acknowledged Greg Sheppard, iSuppli's chief development officer.

      "It's a pretty darn successful product, but (its sales are) probably lower than what everyone else is expecting it to be," Sheppard said.

      Oh that explains it. You're just bitter because you're locked into a T-Mobile contract and don't want to pay an early termination fee for the sexy iPhone.


      Heh. I worked at AT&T Wireless back in 1996. I've been with T-Mobile since they were called Aerial.

      I haven't had a contract for years. Stupid fan-boi.

    5. Re:This was clever by illumin8 · · Score: 1
      From the same article you just linked me:

      Consumers bought some 220,000 iPhones, plus or minus 20,000 or so, in July, according to iSuppli's research. At that pace, consumers would buy between 600,000 and 720,000 by the end of Apple's fiscal quarter in September.

      In contrast, Apple predicted that it would sell 730,000 iPhones in the quarter.

      Apple never said they would sell 1 million phones in a quarter. It looks to me like they change the number predicted several times in that same article. So which is it? Did Apple predict they were only going to sell 730,000 iPhones in the quarter, or did they predict 1,000,000? And, if they did predict 730,000, selling an estimated 720,000 (again according to that shoddy article) is only 10,000 off. Sounds like a pretty accurate prediction to me.

      Stupid fan-boi.
      Name calling doesn't help prove your point. And what was your point by the way?
      --
      "When the president does it, that means it's not illegal." - Richard M. Nixon
    6. Re:This was clever by sheldon · · Score: 1

      Apple never said they would sell 1 million phones in a quarter.


      Do you want to try again?

      Apple expects to sell its 1 millionth iPhone by the end of the September quarter.

      That was from MacWorld in July, right after the release.
    7. Re:This was clever by illumin8 · · Score: 1

      Jokes on you cause they just sold their 1 millionth iPhone: Suck it.

      --
      "When the president does it, that means it's not illegal." - Richard M. Nixon
  180. No, because it's not a 'new OS' by Anonymous Coward · · Score: 0

    Leopard = tiger +5 cute new features

  181. Got what they deserved... by NIN1385 · · Score: 1

    I think the people that rushed out and bought one of these over-hyped devices got exactly what they deserved. I am so sick of hearing about these things, they are phones with mp3 players in them basically and they have a cool screen you can touch. I get the same result with my Zen Nano and my Samsung phone. Maybe next time they come out with a new toy, wait a while before you buy it. It's just like shopping for cars.

    --

    If carrots got you drunk, rabbits would be fucked up. - Comedian Mitch Hedberg R.I.P. 03/30/68-2/24/05
  182. Don't Forget by mistermiyagi · · Score: 0

    That the terms of the store credit have not been decided. How much would you like to bet that certain products will not qualify for this store credit. Steve may have dropped the price sooner than expected but he is by not means an idiot. I would expect there to be some rules that govern the purchases you will be able to make with said credit. Maybe like $100 off anything over 200 dollars.

  183. Re:Why not $200 store credit? by tabdelgawad · · Score: 1

    I think you're missing the point. There's an element of expectations about future pricing that people had when they paid $600 for the phone - expectations driven by Apple's historical pricing behavior. Some people's willingness to pay $600 for the phone was driven in part by their expectation that they couldn't possibly get it for $200 less 10 weeks later. Apple violated those expectations, which is why early buyers are mad.

    The processor market is actually a good example, but not for the reasons cited by other posters. In that case, consumer expectation is that prices continually drop in a largely predictable fashion, so the trade-off between buying now at a higher price and buying later at a lower price is well-understood and taken into account at time of purchase.

    --
    Imposing Libertarian views on everyone online since 1992.
  184. liar by Anonymous Coward · · Score: 0

    The quad-core 3.00GHz Xeon does *not* cost the same as the dual-core 3.00GHz Xeon.

    1. Re:liar by ivan256 · · Score: 1

      No, it doesn't. It costs the same as the dual-core Xeon used to cost the day before the price cut.

  185. You are incredibly naive... by Shifuimam · · Score: 0, Flamebait

    ...if you actually think that Stevie is just a good person and that Apple didn't plan this, at minimum, weeks in advance. The RIAA has the stripper mentality. Apple has the pimp mentality - how many people can we get to suck our dicks in adoration? What can we do to make them suck harder? I know! Calculated PR moves like letters about how much we actually hate our proprietary monopolistic DRM policies and about how we really want to hook up our customers with $100 credits to buy more shiny white shit in our overpriced stores with archaic return policies! Marketing is marketing, even if it's coming from Apple. If anything, Apple's marketing is more sleazy than that of other corporations.

    --
    I'm a geek girl. Seriously.
    1. Re:You are incredibly naive... by Paradise+Pete · · Score: 1
      ...if you actually think that Stevie is just a good person and that Apple didn't plan this

      Where in my post did I say I think he's a good person? I said it was strictly a P.R. move.

  186. Do I get a credit back for being owned via iTunes? by barbam · · Score: 0

    I think we should get more than $100 back for being locked into using iTunes -- the buggy, incredibly vulnerable program that led to hundreds of thousands of apple software users' personal information being stolen, etc --- Don't you?

  187. Re:Why not $200 store credit? by srh2o · · Score: 1

    You are so far off that you will need a map just to find a clue. http://www.americantv.com/itemList.do?pg=1&catCd=6 001&vend=APPL I'd site hundreds of others, but it gets redundant after awhile.

  188. Just in time for New IPods by Anonymous Coward · · Score: 0

    Wow, store credits just in time for the new batch of IPods.

    Coincidence?

  189. Re:Why not $200 store credit? by Doctor-Optimal · · Score: 1

    Maybe he's advocating that the broke people of the world turn to prostitution?

    --
    New punctuation update "~" (no quotes) at the end of a line to indicate sarcasm. ~
  190. Re:Why not $200 store credit? by Sandbags · · Score: 2, Insightful

    I just sold a 3 year old iMac (screen-on-a-stick model). It was only 1GHz, 768MB, 30GB. 17" display. I got $525 for it... plus shipping. This was actually lower than other bids I had seen close in recent weeks. I've seen 800MHz Imacs go for over $600, in August of this year!

    You spend more for the machine than competitors, yes. Part of that is sheerly for the aesthetic of the beautiful machine, a small part for bragging rights, and the rest for the solid tech inside the box. Apple regularly, and suddenly drops prices when they add new models. This is typical of many companies. If you know there's a Mac Keynote coming up in the next 30 day, WAIT!!! Don't buy anything. Or at least make sure where you are buying it from has a 14-30 day price match guarantee.

    Outside of that, what's your mac worth after 3 years compared to something else? I have a 1 year old $1100 IBM business notebook. Core Duo, advanced graphics, SATA, and more. on ebay, it's worth about $450... A 2 year old Gateway gaming notebook (my wife's rig) was $1300 new (after rebates). It's worth about $250 on ebay right now. My mom's 2 year old powerbook? Still worth 50% of what she paid for it... In fact, it's worth more used than machines with faster processors cost new today.

    Add to this the hundreds of dollas I've saved in not needing AV or spyware software and that only 1 of the 11 Mac's my family has owned since 1984 needed anything more than a hard drive replaced, and that was storm damage, not really Apple's fault there. Every mac we have ran for at least 5 years before being replaced, including a Mac Classic we bought in 1988 that STILL works today, an original blue iMac that failed back in March of this year (7-8 years old?) and an ols LC II I got in 1991 that ran until 1997 when I sold it for $400 (yes $400 for a $1200 computer that was 6 years old...)

    I applaud Apple for giving $100 in credit to all iPhone adopters. 2 months was a BIT quick, I'll admit, for such a drastic price drop. Honestly, I expected a $100 drop upon the intro of the new iPods as I was expecting the touch to be $100 more expensive than the classic iPod (note to Apple, you set the price too low there, I would have paid $400 for it without blinking) I expected a discount from AT&T of another hundred by mail in rebate in November and doubling that to $200 rebate in January.

    Apple will be in trouble shortly as they actually won't be able to move too many iPhones on their own once their exclusive contract ends and other vendors start pushing iPhones with big rebates for big contracts. Sure, if you have a contract and want an iPhone you can just buy one outright for $400 or so, but anyone who is changing service contracts might be able to get one for $100 or $200 for signing up for a contract they needed anyway. Sure, Apple gets the kickback, but at OEM/wholesale pricing, not full price, so their money train will be stopping shorlty.

    --
    There is no contest in life for which the unprepared have the advantage.
  191. I'm seeing people using iPhones all over the place by argent · · Score: 1

    If it's had dismal sales, then I must be really lucking out, because I've seen more people using iPhones in the past week than I'd have ever imagined. I thought Apple's sales predictions were nuts, ten times too high for something that isn't even really a smartphone *and* required the majority of potential customers to change carriers, but I was totally wrong about that. I'm even getting interested now (not gonna get one until Apple supports a real API* *and* I can get it without changing carriers, though).

    * Apple should license PalmOS for it and run it in a sandbox... most PalmOS applications have completely table-driven UI and layout and can be skinned with jello widgets.

  192. Re:Why not $200 store credit? by Anonymous Coward · · Score: 0

    Steve Jobs is Egyptian (partially, by descent), and electronics goods are purchased in a new kind of souk.

    Consumers haggle over price by using time and patience. If we don't haggle with those tools, we're either truly busy (and the value of our time merits the initial higher cost), or we're treating ourselves to something sweet.

    Some of us shouldn't indulge in such treats

  193. Re:Why not $200 store credit? by Glendale2x · · Score: 1

    People know this (obviously you do) and yet they *still* buy Apple stuff when it first comes out. It's always been this way and you know the fancy Apple thing you just bought is going to be way cheaper later. Some people want it right now and pay the premium. Others choose to wait because they know the price will come down like before. It's the customer's call, don't blame Apple.

    --
    this is my sig
  194. Planned from the beginning? by zpeterz63 · · Score: 1

    Maybe I'm just being cynical, but I'm starting to think that Apple planned this entire thing out. Sure they could have sold the iPhone at this price the entire time. They could have sold it at it's current price from the beginning. The could have even sold it at $100 more than the original price. However, with the maneuver they just pulled, these are the reactions they will get.

    Soon to be be iPhone users: Wow, Apple just dropped the iPhone $200. They're such a great company. I'm going to buy one now. It's only $50 more than an iPod.

    Current iPhone users: Wow, Steve Jobs is great. He's giving us $100 out of his pocket for being his loyal lap dog. Time to put that in store credit to good use. New iMac, here I come!

    They're managed to milk an extra $100 out their die hards and win the loyalty and adorations of pretty much all parties involved. It all seems just a little too perfectly executed to not be preplanned.

  195. You are wrong. by Anonymous Coward · · Score: 0

    That's just a rationalization you cooked up trying to look less like a frigtard. You were not ripped off because you bought an iPhone at a price that, in all honesty, looked like a pretty decent bargain compared to the other crap "smart" phones on the market. iPhone was not priced out of line with comparable phones, and the suck factor was a great deal lower than a Windows Mobile or PalmOS phone. The cool factor for iPhone was so high that iPhone probably could have got you laid. Since you didn't get that done before the price dropped, you felt ripped off. Oh! I didn't score a chick with my iPhone now everybody else is gonna have them too and I won't get my chance! fraktard.

    1. Re:You are wrong. by Egdiroh · · Score: 1

      Well thanks to the Anonymous coward who flamed me. I'm glad, that not knowing me he decided what my motivations are, and accused me of trying coming up with my position only after I felt that something made me look stupid.

      In response I think it's fair that I get to make an accusation. I know that my original post had gotten positive moderation. Then someone modded it down, and an AC flamed my post. So I am going to accuse that moderator of being the AC, and being the worst kind of Slashdot forum Troll/Karma Whore/Jerk.

      I don't feel that apple's price change affects how other perceive me in anyway. I do not personally care about any "cool" factor the iPhone might have now or ever had. If anything I think that having the iPhone when it was scarce has been annoying because when people see you with it they assume that you want to stop what you were doing an answer a million questions about it, or be lectured on why it sucks, is evil, and I'm a fool for owning one.

      What does happen to be true is that I have read numerous forums of long term apple customers and fanboys, and this forum, and I found the reaction of the two groups to the news to be different and I saw a lot of people not understanding and making bad assumptions about the comments of many apple proponents. So I tried to shed some light on the situation and irony of ironies, my attempt to clear up a lack of understanding and illuminate the ignorance that was leading to bad assumptions, was itself met with a lack of understanding and bad assumptions.

      The really funny thing is that some of the loudest apple fan boys that irritated the generic early adopter types so, don't have iphones, and may not own a single apple product. The people I all know with iPhones took the info fairly calmly. The ones who had it from the start thought that it would have been nice to spend less, but they bought a device that they thought they would like at a price that seemed worthwhile. The ones that JUST bought it, quietly checked to see they were in any price protection programs through their credit cards, or if they had some recourse through the apple store.

      And now because I'm still kind of pissed and that A-hole Coward, I'd like to ask why he had the time to harass me, that Farscape / BSG crossover fanfic where Crichton gets it on with Starbuck isn't going to finish itself.

  196. Re:Steve; make it retroactive to all Apple product by ElGanzoLoco · · Score: 1

    piracy of the OS itself is almost non-existent on Macs

    What?

    Either you and I live on different planets, or it's a joke and I didn't catch it. I know exactly two types of Mac users:
    -those who keep the Mac loaded with whatever OS it came with,
    -those who borrow the latest OS from a friend who just bought a new Mac, or leech it off bittorrent.

    I've never, ever, seen anyone actually buy a boxed copy of OS X (or 9, or 8, for that matter). I would add that mac users feel "entitled" to the latest copies of the OS since they've usually spent quite a lot on the hardware.

    --
    Hello! I'm a disaster waiting to happen!
  197. refund by Anonymous Coward · · Score: 0

    I was happy with the iphone at 599. I bought mine a month ago. I went to the apple store with my receipt to see if they would do anything. There was a line of people, all to try to get something back. Everyone that I saw that had a receipt got the difference back. I had bought two and got 400 plus tax credited back to my card. No hassle. I ended up walking out with an 80 gig classic ipod for my sons birthday and still had 120 left over.
    Like I said. I've never had a problem with the phone. It's been the best smartphone I have ever owned. Yeah, the price drop was kind of sudden and not normal for Apple unless the product was being bumped down because of a new upgraded model. I'm not sure why the store I purchased them from was giving full credit to the people past the normal 14 day period but I will say that quite a few of them bought something before they left.

  198. Without precedent? Hardly. by Gary+W.+Longsine · · Score: 1

    The magnitude and rapidity of the iPhone price drop is probably not exactly matched in the cell phone industry, but the pattern of rapid and substantial price drops in new cutting edge cell phones (and other electronic gadgets) is quite common. One well-documented example is the Motorola RAZR, which started out with a very high price and was all but unavailable even at that price for months after its release. There was a scalper market for the things in the early *months* because Motorola couldn't make enough of them. For a while people paid something like eight hundred bucks to get one. When the manufacturing ramp up kicked into gear, the price fell, and fell and fell and now they are only a step or two away from giving the things away with a contract. There was no big internet whine-fest when that happened, and the initial price drops were large and rapid. Oh, the list price maybe didn't fall that fast, but people were getting between a hundred and two hundred and fifty dollars in rebates if they bought from Amazon and signed a year contract with the carrier, by the time all the various rebates were added up. It was a big, rapid drop in price.

    There is something strange and different going on here, but it's not the rapid price drop, it's the reaction to it.

    I think it has something to do with the trade press. Nobody can make any money writing stories about how pissed off Motorola RAZR customers are because they bought it early and the price fell, because nobody really cares about Motorola because they so seldom do anything interesting. They look like a one-hit wonder with the RAZR. Nobody even knows anything about, let alone carries in their pocket, the newer Motorola phones. The SLVR (shortly after the RAZR) and the KRZR (more recent EDGE entry) for example were basically flops, by the standards of the RAZR. Nobody would write stories like this about Motorola dropping RAZR prices:

    Poked in the i (which is still linked on their front page).

    Apple Slashes iPhone Prices: slaps 1 million idiots

    So the trade press is using the John Dvorak model of Apple coverage to generate advertising revenue, and work early iPhone customr up into a lather with righteous indignation for having... I'm still confused by this... bought the coolest phone ever made in the early days before the inevitable and expected price drop?

    The interesting question really is whether Apple structured the drop and timing on purpose to exploit the free publicity engine, or if they were caught by surprise.

    --
    If you mod me down, I shall become more powerful than you could possibly imagine.
  199. Re:Steve; make it retroactive to all Apple product by suv4x4 · · Score: 1

    Either you and I live on different planets, or it's a joke and I didn't catch it.

    Well, which planet do you live on?

  200. Re:Why not $200 store credit? by kc0re · · Score: 1

    /me goes to Apple Store. Buys Apple. Done. Wow! Look at all the time I saved.

  201. The new iPhone has DTT!!! by Futurepower(R) · · Score: 1

    It's not just the price drop about which people complain. They don't like the fact that there is no upgrade for the old phones. The new iPhone is much better because it has DTT.*

    *Digital Turnip Twaddling (I'm quoting what I think you will agree is an authoritative source.)

    (The problem with the old iPhone is not that it was version 1.0. The problem is that Steve Jobs is version 0.9 Beta, after all these years.)

  202. How to buy an iPhone from Europe? by xDCDx · · Score: 1

    Does anybody know any method I can use to inexpensively buy an iPhone from Europe?

    Ebay is filled with overpriced auctions, by people trying to monetize their iPhone unlocking skills. I just want one brand new phone, at Apple store price.

    I've also been checking mail forwarding companies like http://www.myus.com/ and http://www.usabox.com/ but they all require you to set up an expensive account that does not pay out for just one gadget.

    Does anybody know any other company that does cheap one-time packet forwarding from USA to Europe? Any other hint?

    Globalized world my ass.

  203. Fan? Yes. by shmlco · · Score: 4, Insightful

    Yeah, but that $100 iTunes gift card (just to pick something) would still have cost ME $100, whatever their costs.

    Secondarily, no one held a gun to our head and forced us to buy anything. Apple made an exceedingly cool product and we weighed the "cool" and utility against $600, made a decision, and bought it. They could just as easily spent millions making a technological flop like the Zune, in which case all of those R&D and marketing costs would have been a total write-off. They gambled and rolled the dice.

    You may also notice that they made an Apple iPod HiFi dock... that just disappeared from the store. They made the AppleTV, which isn't exactly blowing off the shelves. In fact, I was just in a store yesterday and saw the new nano. Don't like the form factor, build quality, or the interface. So I'm not getting one, nor recommending them, nor buying them as gifts. Maybe other people will make the same decision and do the same. Maybe not. The point is that people don't buy EVERYTHING Apple makes just because it has their logo on it.

    On the flip side, my MacBook Pro is the best notebook I've ever owned. OS X makes other most OS's look like they were designed by brain-dead committees (if that's not redundant). Aperture and Final Cut are some of the best tools on the planet. And if a truck rolled over my iPhone I'd be back in the store in a second buying a new one.

    Fan? Yes. But I'm only a fan for as long as they continue to make great products.

    --
    Any sect, cult, or religion will legislate its creed into law if it acquires the political power to do so.
  204. Re:Why not $200 store credit? by Anonymous Coward · · Score: 0

    What motherboard did you buy (as in the manufacturer and model number?

  205. Re:Why not $200 store credit? by object88 · · Score: 1

    I don't really think there is a market for used cell phones or for used ipods...

    On the contrary, there really is a market for used iPods, or there was a few years ago. I bought a used iPod for my wife's first mp3 player, and I had to be quick to respond to Craigslist ads, because they were going fast. People were selling their previous-generation iPods to get the current version, and plenty of people were happy to take advantage of that opportunity. Beneficial all around. I doubt this has changed terribly much.

  206. The new iPhone has DTT!!! 2nd, improved version. by Futurepower(R) · · Score: 1

    It's not just the price drop about which people complain. Those who bought the original iPhone paid $600 for something that after 2 months is completely obsolete. A better iPhone can be bought for $400. Apple customers didn't see that abuse coming.

    People don't like the fact that there is no upgrade for the old phones. The new iPhone is much better because it has DTT.*

    *Digital Turnip Twaddling (I'm quoting what I think you will agree is an authoritative source.)

    (The fundamental problem with the old iPhone is not that it was version 1.0. The problem is that Steve Jobs is version 0.9 Beta, after all these years.)

  207. Old iPhone obsolete. The new iPhone has DTT!!! by Futurepower(R) · · Score: 1

    MOD PARENT UP! That is certainly not an Offtopic comment. If the jokesters attack a Slashdot story in the beginning, that generally ruins any chance of a real discussion. As the parent poster predicted, the jokesters got control, and the rest of the discussion is confused.

    I disagree with the parent poster that what Jobs did is "classy", however.

    Those who bought the original iPhone paid $600 for something that after 2 months is completely obsolete. A better iPhone can be bought for $400. People don't like the fact that there is no upgrade for the old phones. Apple customers didn't see that abuse coming.

    The new iPhone is much better because it has DTT.*

    *Digital Turnip Twaddling (I'm quoting what I think you will agree is an authoritative source. Opus threw his obsolete iPhone in the trash.)

    The fundamental problem with the iPhones is not that a phone that is two months old is obsolete. The fundamental problem is that Steve Jobs is version 0.9 Beta, after all these years. Now Apply customers fear that if Mr. Jobs did it once, he may do it again. Maybe there will be 3rd version of the iPhone in time for Christmas.

  208. Correction. by Futurepower(R) · · Score: 1

    "Now Apply customers fear that if Mr. Jobs did it once, he may do it again. Maybe there will be 3rd version of the iPhone in time for Christmas."

    should be

    "Now Apple customers fear that if Mr. Jobs did it once, he may do it again. Maybe there will be a 3rd version of the iPhone in time for Christmas."

    Note that I upgraded to the new version of my comment without charge.

  209. Re:Why not $200 store credit? by sowth · · Score: 1

    That was my point. This was a reply to your other post about backing up your facts. Sometimes you are the source (how can you prove that over the internet?) and sometimes the source is a news story you read six months ago, and it would take a long time to find the link.

  210. It's a $200 for some people... by richardtallent · · Score: 1

    I bought my iPhone this past weekend (dumb move in retrospect, I should have waited until Wednesday).

    To do so, I had to break contract with Verizon for two lines, but the total monthly package at AT&BigBrother was the *same* price as my old Verizon package, but had 300 extra minutes, 200 SMS, and the unlimited data on my line (the iPhone). Also spent $100 to hook my wife up with a phone, figuring she would inherit my iPhone when v2 came out.

    Today, I walked into the AT&T store, showed my receipt, and got a $200 credit on the iPhone purchase since it was purchased within 14 days. No hassles, and it was a credit directly against my bill, not toward future purchases.

    So I turned around, returned the wife's cheapy-phone, and got her one of the last $300 4GB iPhones. Now I'm paying $20 more a month than I was with Verizon (since I had to add the data package for her iPhone).

    Apple has, for now, won me over on service and design. After my Mac Pro purchase a year ago (a BIG switch for me, since I used to build my own PCs and my career is .NET/SQL Server development), we upgraded my wife to a 15.4" MBP last month, and they've now "suckered" me into two iPhones.

    Made my first Keynote '08 presentation last night, in a fraction of the time it would have taken in PPT, and Steve Jobs will have another $200 or so next month when Leopard comes out.

    So, I guess that makes me a fan-boy. Anyone wanna buy my old Audiovox XV-6700?

  211. Re:I'm seeing people using iPhones all over the pl by sheldon · · Score: 1

    Really?

    Interesting I've only known one person who bought an iPod. The CTO at a local e-commerce company. Everybody else seems to still be demanding crackberries.

  212. Re:Do I get a credit back for being owned via iTun by Doctor-Optimal · · Score: 1

    Yes, because nothing in the iPhone ancestry (that is to say, iPods) would have hinted a reliance on iTunes, now would it have? That was just sprung on you, wasn't it? You poor little victim...

    --
    New punctuation update "~" (no quotes) at the end of a line to indicate sarcasm. ~
  213. Re:Steve; make it retroactive to all Apple product by The+One+and+Only · · Score: 1

    No, not at all. Pricing is one of the main points Jobs criticized Sculley about later on--Jobs initially wanted to go with a low-price, high-share strategy on the Macintosh. (You might note that Apple since 1997 has maintained that strategy--but this was already after the issue had seemingly already been decided in favor of Windows, leaving Apple with no choice but to stay in a high-margin niche.)

    --
    In Repressive Burma, it's not just your connection that dies. slashdot.org/comments.pl?sid=314547&cid=20819199
  214. Re:Why not $200 store credit? by Anonymous Coward · · Score: 0

    now Apple offers us $100 apiece for being early adopters.

    You just don't get that kind of service in the technology industry anywhere else these days that I've experienced.

    After closing their video store (which sold DRM'd videos), Google offered a "full refund" in Google Checkout dollars, then got slammed for it. Days later they did the right thing and give full cash refunds.

    Apple isn't "offering" you $100. They're giving you store credit. That's very nice IMO, but it's $100 in store credit for their own store.

    I mean, I bought a Vista OEM copy and an nVidia "Vista Ready" mobo on launch day (it's my job to know how to support *everything*, turd or not). You don't see MS or nVidia offering to make things right because little things like on-board sound and networking don't function...

    And neither of those companies have any intention of making things right. And that's just driver issues. Any Slashdot reader knowledgable enough to buy OEM software (which obviously doesn't come with free support from Microsoft) should know that neither Microsoft nor NVIDIA (the chipset maker) are responsible for the failings of your motherboard manufacturer (the one who fucked up the sound and networking components). Who made your motherboard? ASUS? Foxconn? ECS?

    Since OEM software is clearly meant for "system builders," it's up to you (the system builder) to know WTF "Vista Ready" means. NVIDIA's chipset is Vista Ready because, with enough memory and updated chipset drivers, it (the chipset, not the motherboard) can run Vista. Whoever made your flakey motherboard is the one who integrated the sound chip and networking components that weren't Vista Ready (I'm assuming you checked your motherboard manufacturer's support page for updated Vista drivers).

    If you bought a motherboard (or system) from a company with a good reputation like Intel (yes, they make motherboards) or Apple, then you wouldn't have driver problems for products they call "Vista Ready."

    Let's not even get into Vista quality (utter pile of refuse, kthanxbye). No rebate, no exchange for something that actually functions as described. Not even an option to downgrade to XP from MS.

    Anyhow, I contrast that experience with something like buying my iPhone, Macbook Pro or any of the dozens of other Apple products I've purchased over the years and there's just no comparison.

    Vista works well with non-crap hardware (unlike like your motherboard). Since you don't even know who to blame with your problems, you probably shouldn't have attempted to be a "system builder." You should have just bought a Lenovo ThinkCentre or Dell Optiplex with Vista preinstalled. Or you should have bought an Intel-brand motherboard that's had working Vista drivers for all its components since the early beta versions.

    Anyhow, I guess you didn't buy Apple products like OS X 10.0 or Aperture 1.0. By your standard for Vista, those Apple products were pure crap. They eventually got better with free updates (OS X 10.1 and Aperture 1.5), but Microsoft has done and will continue to the same with Windows Update and Service Packs (which they also did with Windows 2000 and XP).

    BTW, I agree that those complaining about the iPhone price cuts are whiners. The $100 store credit is a very nice gesture, but not unprecedented in the industry like you suggested. Also, like Microsoft, Apple has released crap products. Some were always crap (like many iBooks) and others were initially crap but got free updates. Vista is only crap if you bought crap hardware and will get better with free updates.

  215. Re:Why not $200 store credit? by elbobo · · Score: 1

    I sell all my old iPods and cellphones through online auction sites, and get good money for them. So yes, there really is a market for used cell phones and iPods.

    This also allows me to upgrade each of them yearly (or more often, if the mood hits) without getting caught with a nasty bill. I essentially just pay a small upgrade cost (ie the difference between the resale value of the old time and the retail value of the new item). Same goes for my laptops and desktop machines - I auction them off yearly, and end up only paying a small upgrade cost to have a new laptop and desktop every year.

  216. 100$ is nothing next to international roaming cost by Anonymous Coward · · Score: 0

    I'm with you both. I bought it for 600$ and enjoyed two months of showing off.

    On the other hand, the experience that remains disgraceful is that of ATT's international pricing. I made the mistake of taking the phone with me on a trip to Argentina. Five days of basic email (9 megabytes EDGE usage) costed me 190$. At two cents per kilobyte, downloading the front page of the new york times costs 30 bucks, you see. I called to complain and was told that this is their price period.

    (Calculation: using a 64 kbps modem, over an international roaming voice line costing 2.4$/minute would give ... half a cent per kilobyte cost. Thus two cents per kilobyte is equivalent to paying 9.6 $/minute on a voice call).

  217. Re:Why not $200 store credit? by focoma · · Score: 1

    Fuck, you broke Kenny.

    You bastard!

    Anyway, I still have my slightly worn-out but faithful Nokia 1100. If I wanted some of that Multi-Touch goodness, I'll buy iPod touch when it's available here in the Philippines (that's probably sooner than the iPhone, anyway).

    Ah, the advantage of living in Southeast Asia, where we get to first watch Americans and Japanese fumble with tons of new gadgets, so we can see which ones truly are worth buying (either the original or the Chinese-made clone :-P) when they finally arrive.

    --

    - Francis Ocoma

    Please wait while Sig Request is being processed...

  218. "not making target" != "dismal sales" by argent · · Score: 1

    Look, Apple's sales targets for the iPhone are insane, you can't take them seriously. Which means that even absolutely staggering success could still leave them far short of the target. I mean "it failed to live up to some of the wilder expectations on Wall Street" is hardly unexpected or crushing news.

    Sheesh.

    1. Re:"not making target" != "dismal sales" by sheldon · · Score: 1

      Not Wall Street. It's failed to live up to the Steve Jobs hype.

      Granted, even a half million is pretty good. But I can't understand how anybody intelligent would claim Apple cut prices two months after release because it's selling too well.

    2. Re:"not making target" != "dismal sales" by argent · · Score: 1

      It's failed to live up to the Steve Jobs hype.

      Not even Steve Jobs can live up to the Steve Jobs hype.

      Not living up to the Steve Jobs hype is not "dismal sales".

      I can't understand how anybody intelligent would claim Apple cut prices two months after release because it's selling too well.

      I'm not seeing that claim here. I'm seeing the claim that sales were "dismal". The distance between "dismal sales" and "selling too well" or "living up to the hype" covers, well, pretty much every product ever made.

  219. The moral by mtec · · Score: 1

    You can lead a fan-boi to water, and you can make him drink.

    --
    Cake or Death? Cake Please!
  220. As the iPhones haven't been... by walter_f · · Score: 1

    exactly flying off the shelves recently (they sold less in each of the whole months July and August than in the two last days of June), what else could Apple have done than lowering the price, and drastically so?

    Obviously, Apple did not expect the turmoil that followed, so they had to do something, quickly. So they chose the vouchers.

    Btw, I wonder how long the 4GB iPhones, officially discontinued, will be on special sale "while supplies last" in the U.S. online store? The duration of their availability (starting the day count last Wednesday) will give non-insiders a rough idea how big the inventories have actually been.

  221. Jobs Offers Apple Lisa Early Adopters Store Credit by bgspence · · Score: 1

    By Brian Briggs
    http://www.bbspot.com/News/2007/09/jobs-offers-apple-lisa-early-adopters-store-credit.html

    Cupertino, CA - Early adopters of the iPhone weren't the only ones receiving in-store credit from Steve Jobs. In an overlooked announcement, Jobs said that early adopters of the Apple Lisa would be receiving a $7000 in-store credit.

    Apple released the Lisa in January of 1983 for $9,995, and the similar Macintosh was released a year later for $2,495.

    "I've felt bad about people who bought the Lisa for a long time. Anybody who bought one of the first Apple Lisas really got screwed," said Jobs. "Now that we've got some cash, I think it's about time we made it right."

    People interested in the refund will need to bring in an original receipt showing they bought the Lisa in 1983 and proof of purchase from the Apple Lisa box. Sales figures from that year show that if all people who bought the computer claim the refund, Apple could be liable for almost $70,000.

    Steve Bloughs, who bought a Lisa, said, "When I heard about the iPhone refund, I was furious. The Lisa screw job was much more egregious. I've been waiting over twenty years for Apple to make this right. I'm glad they finally have."

    Related News
    Apple Stores Begin Charging Entrance Fee

    College Professors to be Replaced by Apple iProf

    iPhone Hacker Headed to Guantanamo

    Analysts think that Jobs could be setting a bad precedent which could cost Apple millions. "What about Newton owners? Apple III owners? This could quickly get out of hand," said industry watcher Devon Scanlon from Goldman Sachs.

    Apple representatives said that consumers shouldn't expect a refund every time a product bombs or prices drop. These two cases were the "exception rather than the rule."

    Shares of Apple stock were down on the news.

  222. How Will You Spend your $100 iPhone Credit? by Anonymous Coward · · Score: 0
  223. My iPhone, Your Mac by ryboflavo · · Score: 1

    I have decided to take this opportunity to help a Windows user finally get a Mac. Normally, none of us have a $100 to give away at random, but Apple gave me $100 for a product that I purchased two months ago. I choose to buy my iPhone the day it came out because I wanted to be apart of it's movement and a promoter of change in the industry. In order for that to happen, people have to support it. If I knew the iPhone would drop $200 two months later, I still would have bought it. Next.

    Although I appreciate Apple's generosity, I would rather take the $100 I normally wouldn't have and helping a Windows' user switch to a Mac - someone desperate to get off their PC. I get that most of you think of me foolish to give away my $100 Apple Store Credit - keep it real.

    The world needs it and we know it.

    Please visit http://www.ryboflavo.com/ for more info!