If even ONE (net) individual is compelled to buy the phone because of the $10 per month reduction, then this will be a net gain for AAPL and T (notice, i say "net" as there will be a small number of people who would have bought the phone anyway, but will instead go with the reduced cost plan). While i agree that most will opt for the regular plan, there is a market out there for lower priced limited data plans...T should begin to fully explore it to continue/maximize this growth story. As long as they do it right, the risk of canabalizing their own business and reducing margins is limited.
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If even ONE (net) individual is compelled to buy the phone because of the $10 per month reduction, then this will be a net gain for AAPL and T (notice, i say "net" as there will be a small number of people who would have bought the phone anyway, but will instead go with the reduced cost plan). While i agree that most will opt for the regular plan, there is a market out there for lower priced limited data plans...T should begin to fully explore it to continue/maximize this growth story. As long as they do it right, the risk of canabalizing their own business and reducing margins is limited.
May 18 13:18 pm
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All Comments by XRTrader »A Crippled iPhone: Very Bad Idea [View article]