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$599 still feels like they're setting whatever price they can get away with. It's been 20 years, why don't we have sub $500 new iPhones yet?
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Taking inflation into account, a $599 iPhone in 2026 would have been $380 in 2007. Given that the actual launch price in 2007 was $499, that's a pretty hefty drop.

A technology doodad getting 25% cheaper in real terms over 15-20 years is about as far opposite as you can get from a hefty price drop.

Sure, it hasn’t crashed like the prices of televisions, or like computers did in the 80s and 90s. But it’s still meaningfully cheaper and of course much more capable (the original iPhone didn’t even launch with an App Store!).

Come on, the iPhone had:

  - no app store
  - no video recording at all
  - no copy/paste function
  - no selfie camera
  - no GPS
Just to name a few. I won't even go into things like touch/faceID, wireless charging, iCloud, any form of water resistance etc.

And then in terms of the specs on what it did have that got better, processor, memory, storage, screen quality, battery life, camera, it's all orders of magnitude better. There really is no comparison.

I mean look at the price of a digital camera, music player etc, hell even external battery pack in 2007, with the same specs as the iPhone today, and you'll easily find support for using the words 'hefty price drop'.


It took about three years to get all the features in your bulleted list. It's been another fifteen and a half years since.

Touch/faceID is cheap, wireless charging is cheap, the free tier of iCloud is cheap, water resistance is cheap.

Yes the specs have increased a ton. When asking for a model under $500, the idea would be giving up some of those specs. And that's clearly possible; even low end phones these days are a zillion times better than an original iPhone.

And no I will not look at non-iPhone things when I'm evaluating whether iPhones underwent a hefty price drop. The cheapest iPhone these days is slightly cheaper than a first or second generation iPhone, and the best one is a lot more expensive.


Yes it was the iPhone 4 and it was $649, or $968 in today's money for 16gb of storage.

That mean's today's cheapest iPhone is 40% cheaper than this base model you're referring to, as well as being tons better. If you don't think 40% is a hefty price drop then idk what to tell you.

That's for the 16gb by the way, the next year's 64gb would've constituted a 53% price drop today.

And that's still for a wildly different phone. You're getting way, way more value today. Longevity alone is easily twice as long, meaning the cost-per-use or cost-per-year can be halved, leading to >75% price drops.

The idea Apple should be going even beyond that to make low-end new phones for a company that positions itself at the top of the market, is just silly. Apple has a long line of phones available for purchase on the secondary market, refurbished market, old-model market, is known to replace batteries 7 years after discontinuing the sale, and can be replaced with non-official batteries as well.

Like you could literally buy an iPhone 12 on the secondary market for $50 and do a $39 battery replacement, or buy it fully refurbished for $150. You can buy a million android phones at any spec level. The idea that Apple should compete at this budget with its own old phones and android phones is a bad idea and the idea Apple entry level phones aren't much cheaper, have more longevity and have wildly better specs than before, is empirically not true.

Is it technically possible for Apple to create a $400 phone that's still much better than the original iPhone? Obviously I agree with you that it is. Does it make sense for Apple to do it? Obviously not.

In this thread you'll have people saying 60 hertz is ridiculous in 2026 on an iPhone 17, and people saying they're completely fine with iPhone 12 specs in 2026 and wanting to get more discounts for fewer specs (ignoring the fact you can indeed simply buy that iPhone 12). The remaining market is so slim it's not worth getting into, but you can't please everyone with a lineup of 5 phones.


> If you don't think 40% is a hefty price drop then idk what to tell you.

For 15 years of tech product, it's not.

For a tech product to stay the same price in dollars for so long is not great. And remember that the 17 itself is $799. This is the discount model and it's still way over the $500 bar.

> The idea Apple should be going even beyond that to make low-end new phones for a company that positions itself at the top of the market, is just silly.

It's silly because you took the thing being complained about, the positioning, and made it part of the premise. Anything sounds silly if you do that.

> you can't please everyone with a lineup of 5 phones

5 phones is plenty to cover a big range if they wanted to. Pro and Pro Max isn't needed, and the Air is totally unnecessary with how close it is to a normal model.

Though for market coverage I wouldn't say low end first, I would say new SE model. I bet a 4.3 inch screen would sell a lot better than the Air's thinness.


Alright I guess we simply disagree, it's getting a bit out of hand to argue this case, and to be honest also a bit silly. Apple's best selling phones are the Pro and Max, which you want to scrap, and you advocate for a 4.3 inch screen when the iPhone mini was Apple's biggest flop phone. I'm not really interested fleshing out why that doesn't make sense if it isn't obvious.

You also think a 50% discount is not much which we just have a disagreement about, no point arguing that further. But to expect an even cheaper lineup with lower specs just doesn't make sense and we've covered the obvious reasons already. For one, Apple has tons of competition at that price/spec level. And secondly, Apple already made hundreds of millions of such phones (they're called years-old models) which anyone can buy with new batteries at the price level you're talking about (<$400). To bring out additional new models that compete with its old models and other brands brings little additional revenue and even smaller margins, the opposite of what drives Apple's market cap. With respect it looks to me like there's a reason you're not CEO of Apple and that Apple isn't taking your advice to bring out another iPhone mini flop or low-budget competitor.


> Apple's best selling phones are the Pro and Max, which you want to scrap

I was suggesting combining them, not scrapping them.

> you advocate for a 4.3 inch screen when the iPhone mini was Apple's biggest flop phone

I'm referring to the SE, not the Mini.

Even when they released 13 Mini and SE (3rd) at the same time, I think both of them sold more than the Air, and combined they were way ahead.

At this point it's been 4 years since either an SE or a Mini, so a new SE would sell lots.

> With respect it looks to me like there's a reason you're not CEO of Apple and that Apple isn't taking your advice

The $500 thing was never supposed to be advice. It was a pricing complaint.


It's also 10000% more capable too.

Sure, but new computers are 100,000x more capable and 1/10th the cost. If we look back far enough, it's 1/100th the cost. We could do better.

And OP wants a model that's somewhat less than a 10000% improvement.

$499 with carrier subsidy too

It didn't take much longer to get a 3G for that price with no subsidy.

I’m pretty sure they determine the price upfront and then figure out what bells and whistles they can ship without eating into their margins. Their goal is to hit a certain average selling price across their massive user base when they upgrade their old phones. They are not going to jeopardize that by releasing an attractive cheap iPhone.

For the people who really don’t want to spend a lot, obviously the easiest option is to just buy an older iPhone or keep your phone for longer. My partner doesn’t care about having the latest tech. So first I use a phone for 3 years and then they use it for another 3 years. We essentially get 6 years of life out of it (Apple is good about releasing software updates for 6 years).


At least they increased the base storage to 256GB

The iPhone SE was only $400.

It's a luxury brand. You don't sell cheap and risk losing the people that are happy to pay $1400 for a new iPhone.

It’s not a luxury brand, it is a quality brand. There is a difference.

So is Mercedes-Benz. But they don't sell a $20,000 commuter car.

No, Mercedes Benz is definitely a luxury brand. They don’t want to sell to everyone. Apple (Steve Jobs) has explicitly stated that as one of their goals.

Toyota is a quality brand, Mercedes is a luxury brand.

It’s not a quality brand, it is a luxury brand. There is a difference.


>aimed at producing Smart-badged cars

The brand is "Smart".


Mercedes-Benz sells commuter cars in Europe.

https://en.wikipedia.org/wiki/Mercedes-Benz_A-Class


And this is the Mercedes-Benz commuter car I want to see more of.

https://en.wikipedia.org/wiki/Mercedes-Benz_Citaro


> The Mercedes-Benz A-Class is a car manufactured by German luxury automaker Mercedes-Benz

"luxury" is more of a marketing and product positioning term, it doesn't really have anything to do with engineering or quality practicalities


Last time I was in the Ruhr (okay 20 years ago), C-classes were used as taxi cabs. So basically equivalent to a caprice classic in the US.

The keyboard-doesn't-trigger-the-tapped-key-sometimes brand, just awestruck at their quality https://ios-countdown.win/

> It’s not a luxury brand, it is a quality brand. There is a difference.

It’s an attainable luxury brand. There aren’t many products that a high school kid has in common with billionaires, superstar athletes and movie stars—the iPhone is such a product.


> feels like they're setting whatever price they can get away with.

This is just a free market for any product works. No?

Why do software engineers ask for six digit salaries? Because they can get away with it — someone is willing to pay for it.


>Why do software engineers ask for six digit salaries? Because they can get away with it

No you see it's their RIGHT to demand an exorbitant salary – because that's 'what they're worth' and what the market will bear

Unfortunately they're less charitable when the shoe is on the other foot.


I'd argue that is worth the money if you're going to be using a phone every single day of their life. People will drop a few hundred on fancy shoes and wear them once a month, but they treat phones as cheap commodities.

Agreed, but its more the fact that you get a lot more peace of mind tossing around, and otherwise treating without too much care, a cheaper device. Risk of drops, theft, forgetting etc. are pretty high for something that I use every day. But then I'm a broke PhD student, so perhaps my views will change one day.

Last time I complained about the pricing of the iPhone, people pointed out that inflation included the prices wasn't to far of from the original iPhone.

Still, I don't care that the phones are faster, have larger screens, better camera, FaceID, AI, are thinner light and what have you. The iPhone design peaked in 2015, from there they could just have release the same phone year after year, making it cheaper and cheaper and I'd still be happy with it.

The prices are, in my mind insane, and I'll be buying used, but those are also overpriced.


> Still, I don't care that the phones are faster, have larger screens, better camera, FaceID, AI, are thinner light and what have you. The iPhone design peaked in 2015, from there they could just have release the same phone year after year, making it cheaper and cheaper and I'd still be happy with it.

This obviously isnt relevant generally though, this is not how the general public feels at all.


No, they couldn’t, because then the company would stop existing due to lack of sales.

Bell System released about 10 models over 110 years, worked out just fine for them.

Yeah, because it had a government-sanctioned monopoly.

https://en.wikipedia.org/wiki/Kingsbury_Commitment


And now you see why they want to grow their services business so badly

There is no market for it in US at least since carriers control that selling couple year old iphones for free or close to it.

$900 is the new $600 </trump>

The first SE in 2016, which wasn’t very far from flagship at the time, was only $399. It was a steal.

Accounting for inflation, that's $542. And considering how much everything, including phones, costs nowadays, $600 seems like a steal to me too. I was expecting a much higher price for what I'm seeing on that page.

What can sub $500 amount get you nowadays? Just a fancy dinner, or a couple of regular ones.

You asked for it. Now sit back and relish the ripe comments from fruitopologists.

Because they know people will pay it.

Global crazy tariffs, supply chain issues, and RAM and storage shortages due to AI hype betting. Also greed.

Can mess up the price ladder!



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