Thunderbolt now, Bionic Later?

[kodiak799]

Yeah thats certainly horse crap....for example and sorry Im using the iphone...but the full retail is $699 for example and I know actual manufacturing cost was somewhere around $220 or so. Markup is crazy on cell phones and there is no way the LTE radio costs AS MUCH as an entire phone's production cost.

Supply and demand. Iphone is probably trying to gouge VZW customers under contract for full retail, or people unwilling to sign a 2-yr deal because of the coming IP5 or the LTE IPhone (probably next year).

The TB is the only LTE right now, so doing basically the same thing. It's curious, isn't it, that both the TB and IPhone are priced at $749 retail. And I wonder how much influence over Best Buy VZW has because clearly they want to incentivize people to sign long contracts.

Sad part is, you know the OEM's are making bank on the phones (TB is $380 wholesale, and probably in that same $200-$250 range as the IPhone to make). In PC's, margins are razor thin for OEM's. That all is entirely out of whack, but smartphones are not as mature as PC's so maybe not.

So the carrier plays a major role in throwing this dynamic out of whack, or at least keeping prices from falling as fast as they otherwise might.

 

[Beka27]

Good point about the 90 day period when you can't start another contract... That totally slipped my mind. So lets say... TB is $250 with upgrade/contract. Bionic is $750 retail. That's a grand... But you can maybe sell the TB for $4-500. Either way, your in some serious money.

(from Beka's DX)