Thinking about iPhone Pricing - stratēchery by Ben Thompson

Ben Thompson with an Economics lesson and more thoughts around the pricing of the 5C. He points out that Apple might have waited too long in assessing “good enough” status – that the 4S and not the 5 should have been that mark. But Apple was likely watching the product mix closely, and we’d wager the guess that those numbers were showing a significant enough change of mix for the top line phone. That is likely what Apple is seeing as the definite line. However, Ben could still, of course, be exactly right – product mix could be reflecting the reality after its occurred, which would suggest the 4S was indeed the line – but Apple might have felt that gut wasn’t enough to go on for such a big decision.