Wonder why the iPod is so expensive as compared to other MP3 players? Well, sure - it looks and works great - but is quality necessarily the main driving force behind its high prices?
Perhaps not. Here's an article in Popular Mechanics about the secret "Apple Tax":
Last year, when Apple introduced the original iPhone and the latest generation of iPods, another new product came out of Cupertino, Calif., but this one received little fanfare. It was a proprietary authentication chip. The chip works like a silicon key that unlocks streaming video functionality on iPhones and iPods and generally authorizes the devices to work with approved accessories. The advent of the “auth chip” made it impossible for any third-party company to produce iPod-compatible gadgets without dealing first with Apple—the only company selling the chip. Previous-generation iPods could output video over a generic $2 iPod video cable, but new phones and iPods require officially licensed Apple cables—and these can cost up to $50.
The chip has become a headache for many accessory manufacturers, who complain that they sometimes have to compromise on quality to pay for the chip and other Apple licensing fees, while still maintaining price points consumers can afford. “If we didn’t have to pay Apple for the dock and auth chip, we could have made a much better speaker for the same price,” said an official at a major electronics maker, who, like several sources for this story, requested anonymity because of fears that speaking with the press could jeopardize his company’s relationship with Apple.
http://www.popularmechanics.com/technology/industry/4272628.html - Thanks Andrea Faville!
Why spend all that dosh when $175 and some software changes and get the same things done but with better screen size and speed? Even IRC chatting and adhock networking.
Up yours Jobs.
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Miranda, without getting fanboyish, Apple's loyal 'customerbase' has ZER0 to do with being locked in to iTunes purchases, and it's just silly to suggest otherwise. The customer base existed long before ITMS or iPods. Customers (of any brand) are loyal because the believe in the company and it's products. You can't strong-arm that kind of thing.
If you aren't a "loyal customer of X" you can't really tell "loyal customers of X" why they are loyal. I'm a long-time Apple customer. It has nothing to do with vendor lock-in for me, and you don't get to tell me otherwise.
Moreover, the story actually states, "In fact, licensing fees, such as the one for the ubiquitous “Made for iPod” sticker, account for the bulk of the so-called 'Apple tax.'"
So,
1) This piece has nothing to do with the price of iPods or iPhones.
2) The required chip -- and it is only requires for particular kinds of accessories -- is a minority of the "Apple Tax."
3) The rest of the "Apple Tax" is an entirely voluntary marketing program, wherein accessory manufacturers can put the symbol and label of Apple's "Made for iPod" program.
This is, by far, the most misleading labeling/framing of a Neatorama piece that I've ever seen.
appple does have a problem with its proprietary standards (as does MS, i know..) but then again, if apple wants to be perceived as the benevolent giant, which its supporters tell us that they are, it had better change its attitude.
and oh yeah, steve is an asshat.
^ DEMAND = ^ PRICE
simple.
I wish I'd got a creative Vision or some other such device.
I also hate the fact that Apple's products are so restrictive - it's so difficult to alter with the software on them or alter them in any way.
I'll never fall for style over substance again.