Apple has announced its 128GB iPad, but if you were one amongst those who were planning to buy it then maybe you’ll have to think again for the price its launch at. It is the most expensive gadget in apple’s lineup till date. The company is obviously asking a price which is way more than the cost of production.
With the storage option Apple offers in its devices the company has been able to earn nice profits. With the announcement of this latest model of iPad line up the company is just carrying on with its trend. At its launch price you can actually buy a full-blown Mac notebook.
The latest model is launched at a price for $799 for Wi-Fi alone, for the 4G LTE connectivity you’ll be charged a whooping price of $929 a $100 more than what 64GB model, which is again $100 more than what the 32GB model and yes you got it right this is again $100 more than the 16GB iPad. To sum it up, with these prices Apple is making a heavy profit with users who’ll buy the best models in the line.
Apple uses the NAND flash in the iPad cost much less than what it did while a year ago, said IHS’ Andrew Rasswelier and one can correctly say that the timing is no accidental to new model.
The cost Apple is paying per GB in NAND flash is somewhere around $0.55/GB and which was $0.90/GB last year. These statuses clearly state that with such shrink in the prices Apple is at ease in affording 2x memory configurations although upholding the profit margins the company was able to make on the upgrades on memory made a year ago.
Rasswelier says that the company is shedding about $35.20 more for the upgrade and that is how buyers have to pay $100 more along with what the buyers are at present spending on the other two upgrades of the base model.
With iPad 128GB Apple has surely made its rivalries run for their money. As the competition is still around the 64GB mark, some companies are still nowhere close to it. With models like Nexus 10 coming in 16 or 32GB, Galaxy Note with 16GB to 64GB, the BlackBerry Playbook with 16 to 64GB, the Kindle Fire with 16 to 32GB for 7inches and 8.9 inch with 64 GB. The market is full of options but Apple surely has left everybody behind with its newbie! The other companies will soon have to offer their gadgets with higher storage capacity or else can face the threat of being left behind in this war of specifications.
Analysts are observing the margins of company very closely with speculations that the makers losing its touch while maintaining high margins with the products like iPhone, iPad, and Mac. This especially is proving to be true in case with iPads with the latest Apple iPad-mini which is comparatively much less expensive and ultimately will yield less profit per device than its bigger version.
At the announcement the makers stated that the product is specifically made for enterprises, artists and educators and not the regular consumer, so nothing can be surely said that this gadget will solve the problem or not.
Article Contribution: Emily Wilson is a blogger by profession. She loves writing on gadgets and technology. Beside this she is fond of gizmos. Recently she has developed a bent towards Social media and follows daily designs and technology links on Techiefeast.com