[The_Engine]

Interesting article about the Direction RIM may be going and regarding pricing of Smart Phones in General.


RIM signals price war potential; Fallout could be substantial | Between the Lines | ZDNet.com

[jlb21]

Interesting. Before reading, I had a thought related to a quote in there:

The problem will get worse because RIM will face competition from Apple and a bevy of others.

.

RIM knows that some form of Apple Device (be it an iPhone or other phone) is coming to Verizon (the biggest US carrier) at some point in the near future.

So between this and BOGOs, RIM is working hard to try and gain marketshare as fast as they can. They just need to do a better job with device quality (though my second Tour is working just fine), otherwise gained market share will be lost when an apple device comes out on VZW. Of course, that could still happen anyway.........

[Last.Anthem.King]

I would actually be fairly entertained by a price drop. Not just for personal consumption but to watch the domino effect it has with all major carriers as they drop f bombs and scramble to figure out their next step. I would be amazed to see Apple even drop there phone price $0.25 since they seem not to ever have "sales" or true "special offers" on any major components.

[i7guy]

Most phones are overpriced BB and iphone included. Carriers will wind up by giving the phones away, but consumers will wind up by paying for it in the price of the plans.

[kabex]

I don't see how they are not FREE.

I mean, let's take a look at something like the 8520...
2 megapixel camera with no flash
slow processor
no touch screen
no 3d graphics
cheap speakers
cheap battery
no fm radio/transmitter
no tv out or anything like that
i could go on and on

yet it's still $399 or so unlocked

what the hell? do you know what you can buy with 400 dollars? a phone 3 times more advanced than that

[belfastdispatcher]

I wonder what are the production costs of a blackberry 8520.
This reminds me of reading about the cost to make a gilette replacement shaver head. Believe it or not it was �0.05 and they had 5000% profit margins which they justified with high advertising costs.

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[tarek307]

I don't see how they are not FREE.

I mean, let's take a look at something like the 8520...


yet it's still $399 or so unlocked

what the hell? do you know what you can buy with 400 dollars? a phone 3 times more advanced than that

definitley agree..

[The_Engine]

I don't think this will affect carriers as it is the manufacturer lowering their cost. The 8520 is already an example of creating an entry level device. And it works. I know someone who went from a sidekick to an 8520 initially just get work e mail. But now she loves it. Bet her next phone is a more advanced, more expensive berry. What will be interesting is if S2 comes out at $199 and after holidays drops to $99.

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[PopularStranger]

this would attract so many more customers

[BergerKing]

I could go fo a lower priced higher-end BB in a heartbeat, so let the battle begin!

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[digital_cataclysm]

Pfft.
I'd rather spend the $600 beans on a phone, if it ment my carrier plan was something less than ridiculous for the year.
$99 phone sounds great, until you consider they're still going to charge you something like $85 a month for the voice and data plan.

$600(phone) + $40 a month.
Multiply by 2 years = $1560

$99 (phone) + 85 a month.
Multiply by 2 years = $2140

Hey, look at that - I just dropped $600 bucks on a phone, and still came out $580 bucks ahead of the game.
Which is of course what it is - a game. Carriers in lots of places where the cost of the phone is heavily subsidized (including here in the good 'ol US of A) give us an "upfront break" so they can bend us over the pool table for the rest of the contract duration.
"But I saved $$$ on my phone - right? Right?! -Ow.-"

Sure, junior.
Sure you did. Go eat another greasy cheeseburger.