Hours ahead of the Apple iPhone keynote event, chief executive Tim Cook is trying to change the outlook of consumers towards its products. For years, iPhones have always been segmented in the premium of categories, of course owing to their hefty price tags. However now, in an interview with the Fortune, Cook has defended the company’s record of expensive products.
In the interview, Cook said that he thinks the notion around Apple’s products being expensive is over-emphasized. He says he wouldn’t use the word “high-margin” to describe Apple products.
“There’s a lot of companies that have much higher margins. We price for the value of our products. And we try to make the very best products. And that means we don’t make commodity kind of products. And we don’t disparage people that do; it’s a fine business model. But it’s not the business that we’re in,” Cook told Fortune. ALSO READ: Apple ‘iPhone X’ event: Roundup of all the expected announcements
“If you look across our product lines, you can buy an iPad today for under $300. You can buy an iPhone, depending upon which one you select, for in that same kind of ballpark. And so these are not for the rich. We obviously wouldn’t have over a billion products that are in our active installed base if we were making them for the rich because that’s a sizeable number no matter who’s looking at the numbers,” he added.
Quite ironically, at tonight’s event, Cook is expected to launch the anniversary edition iPhone X, which is believed to be its most expensive iPhone ever. Reportedly, the iPhone X will cost over $1,000, which is over Rs 64,000 approximately. However, to be fair, Samsung Galaxy Note 8, which launched today in India, has also been priced at Rs 67,900. ALSO READ: Apple store down ahead of iPhone launch event tonight