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TheRealMafoo on 08 April 2010
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mirgro said:
TheRealMafoo said:
mirgro said:

I want to see their total costs for doing the iPad. If they were at $40 profit they are almost about to hit over $40mil from sales, it's half way to a million already. I would greatly love to see their expenditures on this, because I really don't think it's that great. This product is not nowhere near as groundbreaking as the iphone was.

So there is that long list of costs I presented.. If you forget all those costs, aside from the CPU, it cost them $278 million to buy P.A. Semi. That means to just break even of the acquisition of that company, they would need to sell 7 million units at $40 above costs each.

And you don't think they'd be able to sell much more than just 7 million units? I mean hell, I'd have maybe bought that TV for $300.

There was a chance they would not have sold 700,000, being no one before them had ever made a successful Tablet.

Also, they can't crank them out as fast as they can sell them. They still have not released outside the US. There is no reason to sell the unit for less, when the market is there.

It's the cost of early adoption. Today, you can buy a new iPhone for $99. When it came out, it cost a lot more then that. In 3 years the iPad will cost a lot less as well. You get to have something cheap, or something everyone wants that's in short supply. You can't have both. It doesn't work that way :)

This reminds me of when Nvidia was the only high end gaming card company (before ATI came out with the Radion 9700), and they were charging hundreds of dollars for something that costs then about 20 bucks to make. I say good for them.

What it did, was make other manufactures realize there is real money in this market, and ATI bought SGI and made a killer card. Because Nvidia made a lot of money, we all win.

Same will go here. If Apple makes a crap load of money on this, we all win. It means dozens of other companies will enter the market and we as consumers will have more choices.

Apple making money is a good thing, for everyone.