[quote name='suffah']People that are saying the price is too steep, etc, have no idea how much of a consumerist nation America has become.
My last phone was $400 and I was only 6 months into a new contract. At the price point of $500-600, I think Apple will have a TON of people lined up. I'll EAT my cell phone if they don't hit 1% market share easy.
I won't be buying the iPhone, but I think it's ludicrous that people are saying the phone is too expensive. Remember the PS3 E3 backlash cuz of the price? That was justified, and more significantly, I don't see that kind of pricing backlash except in this thread.[/QUOTE]
You have no idea what you are talking about. None whatsoever. All you're hearing right now is the cries of Apple fans. In reality, they are outpricing the highest priced market - only 5% of global handsets are priced at a wholesale value of $300 or more (which could be as low as $100 retail after subsidies and rebates). In the US in particular, Cingular only sells about 400K "premium" phones per year. Also consider that the majority of premium phones sold internationally are to business users, who would pay Apple's price but would actively avoid the integrated iPod and lack of Exchange support. They are going to have to drop their prices fast to gain traction, but Apple won't for fear of cannibalizing iPod sales.
Also, I have heard the argument (from Apple zealots) that when people equate "iPhone==iPod" then they'll sell at the $600 price. However, you have to realize how slow the initial uptake of the iPod was - they didn't even sell 1 million units until the 4G model was annouced 3 years later - and that the iPod didn't become the cultural phenomenon that it is today until the average sale price of a given iPod dropped below $300. The iPod mini at $200 made the iPod ubiquitous, not the iPod/photo/video at $300-500. Also, the mini and now the nano were the fastest selling iPod models and, of course, push the highest volume. An iPhone nano is inevitable, but it would need to show a significantly lower price to drive consumer purchase.