iPhone profits swamp competitors

Apple actually spends very little % on R&D comparatively. This blog has covered it before in comparison to Microsoft and others. Apple probably dosn't need the cash from profit margins, they could easily generate cash from finance because they have been a miracle case during the recession, they are a safe investment. On the other hand, keeping those premiums high sure makes the product more desirable and cool though!

Apples cash flow and profits allow it to invest whatever it needs in R&D and also allows it to get better pricing by pre-buying and locking in components, which allows them to bring a quality product to market at competitive prices. It gives them the money to open stores and facilities like the NC facility. Undoubtedly the NC facility will provide new services that strengthen and entice customers to the eco-system. That attracts developers and leads to better quality apps. All of which benefits all customers and shareholdes.

Capisce!

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The more profit they're making, the more money they can turn around and put back into the products of the future, and refining/upgrading the products already released. Not to say that they will, or do, but having that much to spare definitely allows your options to be open as a company such as Apple. These are just the profits after costs. - http://iphone.blogupdates.net/

A high profit margin isn't something you should be particularly happy about as a customer... stock holder is a different story.

Oh an iPhone as cheap as any other smartphone?? What a load of codswallop, maybe in the states, but it is easily the most expensive smartphone in merry old England, and they force you to have a two year contract in most cases!

Also I've read TUAW for 5 years or more now and I'm just getting fed up with the insufferable smugness on this blog... infact this smugness was one of the reasons (though primarily because the UI and e-mail integration is just more efficient) that I as a Mac owner went and got a Windows Phone 7, and yes I switched from an iPhone and couldn't be happier. I feel some of TUAW's editorial is beginning to alienate its readership.

If you make profits selling one item instead of selling 100 it's called killer marketing including a product people are willing to pay a premium for which is a minor miracle in the electronics industry.

Am I the only one translating that into being ripped of the most as a customer?

Guess I should invest in apple stock then I could read those news a be happy.

T