Comments on: Apple TV Gets A Price Drop http://www.gizmodo.com.au/2008/08/apple_tv_gets_a_price_drop/ the Gadget Guide | Technology and consumer electronics news and reviews Wed, 25 Nov 2009 10:19:01 +1100 http://wordpress.org/?v=2.8.6 hourly 1 By: Les http://www.gizmodo.com.au/2008/08/apple_tv_gets_a_price_drop/comment-page-1/#comment-10420 Les Thu, 14 Aug 2008 08:26:03 +0000 http://www.gizmodo.com.au/2008/08/apple_tv_gets_a_price_drop.html#comment-10420 <p>For me the price isn't the sticking point. The sticking point for me is my answers to these two questions:</p> <p>1. Do I need it?<br /> 2. Does it have the potential to make my life easier / less busy / more enjoyable?</p> <p>And the answer to both, is no. </p> <p>The idea of buying / renting movies and tv shows online, seems pretty ordinary. I can just walk to the video shop and rent a DVD and get some exercise at the same time. </p> For me the price isn’t the sticking point. The sticking point for me is my answers to these two questions:

1. Do I need it?
2. Does it have the potential to make my life easier / less busy / more enjoyable?

And the answer to both, is no.

The idea of buying / renting movies and tv shows online, seems pretty ordinary. I can just walk to the video shop and rent a DVD and get some exercise at the same time.

]]> By: Paul McKeon http://www.gizmodo.com.au/2008/08/apple_tv_gets_a_price_drop/comment-page-1/#comment-10419 Paul McKeon Thu, 14 Aug 2008 07:11:43 +0000 http://www.gizmodo.com.au/2008/08/apple_tv_gets_a_price_drop.html#comment-10419 <p>Hmmm, when Apple launched the Apple TV in 2007 the 40GB version sold for $299 in the US and $499 here. The Australian dollar then bought around 80 US cents, so Apple's mark-up on top of the exchange rate was around $138.</p> <p>Earlier this year they dropped the price to $229 in the US and $449 in Australia. By the Aussie dollar had strengthend to around 88 cents, so Apple's mark-up had risen to around $190 (again, that's after allowing for the exchange rate difference).</p> <p>Clearly the cost of offering a product in the Australian market is different to the US -- advertising costs are higher, as are support costs, and the customer base is smaller.</p> <p>But after more that six months of pocketing a $50 bonus on each Apple TV sold, courtesy of exchange rate movements, it's no wonder they can afford to lower the price.</p> <p>For you Australia, special price ...</p> Hmmm, when Apple launched the Apple TV in 2007 the 40GB version sold for $299 in the US and $499 here. The Australian dollar then bought around 80 US cents, so Apple’s mark-up on top of the exchange rate was around $138.

Earlier this year they dropped the price to $229 in the US and $449 in Australia. By the Aussie dollar had strengthend to around 88 cents, so Apple’s mark-up had risen to around $190 (again, that’s after allowing for the exchange rate difference).

Clearly the cost of offering a product in the Australian market is different to the US — advertising costs are higher, as are support costs, and the customer base is smaller.

But after more that six months of pocketing a $50 bonus on each Apple TV sold, courtesy of exchange rate movements, it’s no wonder they can afford to lower the price.

For you Australia, special price …

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