Bart Yee on The price hikes have landed - 'They probably already have. Question is, what foundry has the spare capacity and cost effective production to make them? Practically every foundry is wanting to make highly profitable chips and it’s unsure how much Apple would want to pay someone to START making new chips if there may be a glut and demand slowdown starting in 2028, well before the time any new foundry could come online.'
on The price hikes have landed - 'The timing of this is interesting. I believe that the quarter ends this Saturday, June 27. If memory cost messed up profitability, a price increase at the end of the quarter makes it easier to explain on the earnings call.'
on Premarket: Apple is red - 'After today’s dramatic sell-off in Apple that drove the share price down 6.15% in a single day, the shares are higher year-to-date by 1.2%. The last time Apple traded in the $275 range was in late-April/early-May.'
on Premarket: Apple is red - 'Something is amiss here. The NASDAQ 100 is down 0.46% for the day. AAPL is down 6.15% for the day. Had it not been for AAPL‘s fall from grace, the NASDAQ would have been up for the day. How come the market penalized AAPL so much with today’s announcements, and gave virtually everyone else a pass?'
on Apple's summer price hikes: What the analysts are saying - 'Horace posted this on Asymco Plus this AM: “Why iPhones prices don’t change” by Horace Dediu “…The iPhone has grown in capabilities exponentially but the price has remained the same. To illustrate, I considered the storage provided by each iPhone in the list (all 160 models). They span 4GB to 2048GB. If we divide the inflation-adjusted price by the storage we get adjusted dollars/GB and the graph for all iPhones is shown below: [graph] Note that this is a logarithmic scale. The pricing went from $75/GB with the iPhone (1) to about $1/GB with iPhone 17. A two-orders-of-magnitude reduction…” Mr. Market is clearly not doing his homework.'
on Apple's summer price hikes: What the analysts are saying - 'So far, no one lowered their PT. AAPL now trades nearly 14% below average PT, vs. the sweet spot of a 10% discount.'
on Micron drives Apple's prices - 'Interesting that CNBC only refers to Cook’s reiteration last week of impending price hikes, and not to his original mention during the earnings call months ago.'
on Premarket: Apple is red - '**With apologies, I’m stealing a post from Seeking Alpha which I think very succinctly addresses the issue which caused AAPL to drop so much today. The person, who identifies on Seeking Alpha as glenlake46, correctly addresses the issue with his comment, IMO. glenlake46 ” It’s not as if Apple is raising prices at a time when everyone else is holding the line. Check out the price of houses, cars, and food. And the new MacBook Pro for $1999? I paid more than that for a MacBook Pro fifteen years ago. What’s extraordinary in all this is that consumers have paid essentially the same across the years for vastly improved functionality. That’s the story. More, much more, for the same price or, inflation-adjusted, even less.”'
on Micron drives Apple's prices - 'Market reaction is totally irrational. Other companies will be hit much worse by this. What was it, a 40% price hike on Microsoft Surface?'
on The price hikes have landed - 'I blame it on the price you have to be willing to pay for private, on-device AI. It also puts this “bad news” on Tim Cook, and off the shoulders of incoming CEO Ternus.'
on Apple's Industrial Design shakeup: Mark Gurman speaks (video) - 'Ben, I don’t disregard Gurman but he is a bit of a twat. He constantly takes an anti Apple stance no matter what he is reporting on. It makes the message hard to listen to because you constantly are trying to read between the lines instead of just trying to understand the information. It is so tiring to try to figure out what Gurman’s information actually means despite the message he delivers. Design, as is engineering, is really about form and function. I don’t know if one is subservient to the other. They both need to be strong. Maybe things haven’t changed as much as some would like because the present design works well with the present engineering. And I don’t see anyone else coming out with a very different design that puts Apple and the rest of the industry to shame and that needs to be copied.'
