Wednesday, October 24, 2012

AAPL: What's All The Hubbub About Over The iPad Mini Pricing?

What's All The Hubbub About Over The iPad Mini Pricing?
by Scott Rothbort

What was all the hubbub about over the Apple (AAPL) iPad Mini's pricing of $329? I am talking about its base 16 gigabyte model I guess that traders and analysts expected the pricing to come in at $299 in order to be somewhat more competitive with Amazon (AMZN) Kindle's price tags. Which Kindle is the Mini supposed to compete with? The 7 inch Fire HD model for $199 or the Fire HD 8.9 inch which sells for $299? I am sticking with wi-fi only models for comparison. The Mini has a 7.9 inch screen and the iPad4 has a 9.7 inch screen. I would guess that we have to compare the 7 inch fire with the 7.9 inch Mini, So let me get this straight…. the expected price of $299 was to be highly competitive with $199 in the minds of analysts and traders? When you analyze it this way, it sounds ridiculous. So, what is the big deal between $329 and $299? I will tell you what -the 7 inch 16 gigabyte Samsung Galaxy sells for $349. That's the real competition if you ask me. In the end, $329 means better margins for Apple while being cheaper than Samsung. read more »

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Cramer And Apple by George Acs

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