Here’s why Apple’s iPhone is so expensive

Every time Apple announces a new iPhone, there is an inevitable backlash over the exorbitant price. How does Apple get away with charging such a significant premium for its phone when there are plenty of other affordable, quality phones out there? More importantly, why do buyers keep paying so much for Apple’s hardware? Asymco‘s Horace Dediu believes he has the answers to both of those questions and a few more that might explain how the entire operation works. Dediu’s answer to the first question is simple: “The obvious answer to why Apple asks so much is because it can. Anybody would if they could.” As for why we continue to pay so much for the iPhone, the answer is a



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