Unless all the rumor mongers are way off track this year, tomorrow is the day when Apple introduces three new iPhones. Only Apple knows the names but I’m betting on iPhone 8, iPhone 8 Plus, and iPhone Pro. The first two are iterations of iPhone 7 and iPhone 7 Plus with enough new technology inside to get a name upgrade.
Many of us certified Apple watchers expect wireless charging, faster CPU, improved camera in all the new iPhones, but it’s the last one, the most expensive one, the iPhone with the $1,000 price tag that most of us will talk about, swoon over, and still buy, despite breaking the $1,000 barrier.
Yes, you’ll hear on the news that Apple’s new iPhone will cost more than $1,000 but that’s not a big deal for a variety of reasons. First, iPhone 8 will not be priced at $1,000. Like its predecessor, expect something closer to $649. iPhone 8 Plus will not be priced at $1,000. Expect something closer to $769. But expect iPhone 8 Pro– or Edition or X or whatever name Apple slaps onto the flagship iPhone– to break the $1,000 price barrier in most configurations.
Other than Apple critics, nattering nabobs of negativism, and members of the technorati elite politburo, who cares? As of right now, an iPhone 7 Plus with 256GB of SSD storage is priced at $969, so Apple has been close to $1,000 for a year.
Why is this $1,000 price not a barrier to anything? It’s because of how we buy iPhones these days. I’m on the iPhone Upgrade Program so I can get a new iPhone each year and just pay by the month, Apple Care included. That’s how most phones are sold these days. Even though cellphone carriers closed out their so-called phone subsidies, they still off all kinds of financing programs, some of which are like iPhone Upgrade Program, and there are many plans with incentives that offer free iPhones.
Move along. Nothing to see here with a $1,000 iPhone. The monthly price tag might go up a few dollars from a fully tricked out iPhone 7 Plus to the new iPhone 8 Pro-X-Edition, but that’s chump change for those iPhone users ready to upgrade. Yes, Apple will sell tens of millions of the lesser iPhone 8 models because price tag means something for a few people, but in the end it’s a monthly payment plan anyway.
Here’s a good example.
These are all entry-level models, but the math still applies. You can get an iPhone SE for $17 a month. An older iPhone 6s for $23 a month, iPhone 6s Plus for $27 a month. See where this is going? iPhone 7 is $27 a month and iPhone 7 Plus is $32 a month. The gaps are $4 to $6 per month per model.
iPhone 8 Pro-X-Edition will be priced higher so expect another incremental adjustment in the monthly price tag, but if you’re paying $32 a month for an iPhone 7 Plus is a new premium iPhone worth $39 per month?