“Apple is widely expected to unveil a brand-new iPhone next month, and could be working with retailers to clear out its remaining inventory of the about-to-be-outdated model,” Sutton reports. “At the new price, customers will save $100 on Apple’s smart phone, which currently sells for $199.”
MacDailyNews Note: Wal-Mart currently sells the 16GB iPhone 3GS for $197.
Sutton continues, “‘It is our commitment to always lead on price,’ Mehrdad Akbar, Wal-Mart’s senior category director for wireless, in a prepared statement about the price change. Apple sold 8.3 million iPhones last quarter, more than twice the amount sold during the same period a year ago.”
Full article here.
MacDailyNews Take: Here we go!
[Attribution danfrakes via Twitter. Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]
Attention Walmart shoppers: first post?
Yesterday I paid $93 to fix my wife’s shattered iPhone glass. Oh well—she’ll make it up on resale and can then buy:
iPhone HD w/ 2TB of storage (in 2020)
And if that’s not an indicator of a 4G phone coming, I don’t know what is.
Which makes the Sprint rumor slightly more plausible, since they’ve the only 4G network.
Switchroo,
In the hope of helping someone else, I apologize in advance: Repair your iPhone screen for under $30
I wonder who’s taking the bath — Walmart or Apple? I hope it’s not Apple; that would set a bad precedent. Perhaps it’s a headline-grabbing loss-leader strategy by Walmart? I can imagine it’s both for general publicity as well as sucking up to Apple so as to convince Apple to allow them to sell the iPad.
There was a recent rumor that retailers weren’t receiving any more iPhone 3G’s, and MDN speculated that we might soon see the 3GS drop to $99 to take its place, once the 4G is released. So I guess we can interpret this Walmart deal as simply getting a jump on things, perhaps because Apple is running out of 3G models too far in advance of WWDC?
Let me be the first MDN social elitist to comment:
“is the toothless cashier going to be able to understand this price change?”
And another:
“…great, what will the trailer park wal-mart crowd do with 16GB? More truck driving, hunting and fishing simulators. That’s all we need…”
Upgrade on the old 8GB 3G at the same price…if I wasn’t waiting for a new phone with at least 32GB, I’d be tempted (and if that was Verizon compatible I’d buy it for my mom-in-law in a heartbeat).
Apparently lord Jobs ordered his Chinese workers to make too many of these obsolete models and now they have to be dumped on people who no idea what they are buying.
In the meantime he’s holding back the stash of iPads to create the appearance of overwhelming demand for these gadgets.
Got to get this strategy organized, Steve. Unless, that is, I’m missing something about your here-to-fore infallible skill and knowledge in manipulating the market. Which, of course, is entirely possible – I’m not as smart as you. Am I?
“I’m not as smart as you. Am I?”
No.
Sent from my iPhone
I thought iphone 4g meant fourth generation model, not 4g wireless speed like what sprint has to offer.
I imagine it has a lot to do with getting the numbers up.
Keep the iPhone users coming back for more, upgrading, giving old ones to kids for new ones…..just get the numbers up, because that is more money for developers, and more market cushion against Android.
Smart move.
Now a poll: Which way do haters of Wal-Mart shoppers lean, left or right?
Left.
@ bjh
4G does not stand for 4G wireless, LTE or WiMax. It is simply the 4th gen iPhone as Jim has pointed out. I also thought I read it here or somewhere that the next iPhone is actually going to be called iPhoneHD, saving the 4G moniker for when 4G wireless is fully actualized.
Apple I am sure is taking the price reduction as all Apple products are price protected. Walmart or any retailer wouldn’t be able to advertise the iPhone at $97 or $99 without Apple’s consent.
This could also be another reason why AT&T;moved up the upgrade dates for some of their customers hoping they would jump at the cheaper iPhone. $100 is still a lot of money and would motivate some to get the 16gig iPhone who don’t really need the new one or any of it’s features.
I officially cannot wait until June 7th!
@ Always Right
Well then, according to the Bipolar Groupthink Principal, these people must all be conservatives….
http://www.peopleofwalmart.com/
All I know is: 4 weeks until my wife is the proud owner of a slightly used iPhone 3GS.
Blue light special!!!! $97 bucks.
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More AAPL PROFITS
iPad iPhone Mac sales are Up Up
momentum as in on the roll
“And if that’s not an indicator of a 4G phone coming, I don’t know what is.”….”Which makes the Sprint rumor slightly more plausible, since they’ve the only 4G network.” – I hope people realize that the G in 4G just means 4th generation and not ‘4G’ network. This is old news to most of us but I don’t think some people have gotten the memo.
There have been a few obscure references to Apple launching a 4G (network) phone but I think that is highly unlikely at this juncture, to put it mildly. That said t will be interesting to see if they can wait 13 months to lunch one.
The reasons for this price cut have multiple reasons I suspect.
1) To keep sales rolling over as many wait for the new phone.
2) To counter ‘cheap’ deals for RIM and Android phones that will look particularly strong due to the above
3) To remove inventory from the marketplace
I doubt that anyone is taking an actual hit at that price. The amount of ‘non production’ costs that are always incorporated into the sales price of any product has well and truly been offset by this time so Apple can actually make a profit at a lower point than when the phone was early in its sales cycle. Its simply at this stage making a bigger profit is less important than the other factors involved.
TT,
I don’t know which way they lean but I do know which way I hang.
@C1
http://www.peopleofwalmart.com
priceless!
Blue light special is Kmart, not walmart. I don’t want you to go to the wrong store
Well, OK…which way do haters of Wal-Mart workers lean?
@ TowerTone
That’s easy – Wal*Mart workers are low-wage non-union drones with lousy health care, poor education, and few prospects for advancement.
Republicans *love* them.
Will you need to activate an AT&T;plan? Or is this, alternatively, a great iPod Touch?