The new iPhone announcement is imminent, with Apple’s press event taking place at 1PM ET tomorrow. Love or hate Apple, it’s hard to deny the popularity of Apple’s iPad and iPhone devices.
Apple somehow manages to package hardware that is generally more expensive and less powerful than its Android competition and yet sells them like hotcakes. I don’t fully understand it either.
The amount of iPhones sold by Apple is expected to be so great, that it could potentially have a positive effect on the economy. This economic improvement could come so quickly that a new claim from the Atlantic Wire suggests it could secure Obama’s position as President for another four years.
According to JP Morgan analyst Michael Feroli, the iPhone 5 will likely add between a quarter and a half of a percentage point to the GDP if it’s sells as wildly as expected. The analyst claims that Apple will push 8 million units in its first three months on sale.
This is a ton of units. Is it possible? Considering how fanatic many iPhone users are, yes. As for the claims that it will do enough to secure the economy and give Obama the win?
I think it’s a little arrogant to say that one product can have that much power over the U.S. Market. There are many technology items that come around Christmas time, and many of them are major launches that have the potential to sell millions.
To be honest, the claim that it could win the election for Obama seems like Apple fanboyism at its best. Even with its record setting sales, the iPhone 4S only managed lift the GDP by .2 percent.
What do you think? Could the iPhone alone actually make a major difference when it comes to the U.S. economy?
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Like you said, apple fanboyism.
Hello? This is a consumer market. People don’t buy hardware any more than they buy a smartphone for phone calls (especially iPhone!). It doesn’t matter what’s more or less expensive or powerful. What matters is (1) what you’re used to, (2) what appeals to your self image, and (3) what you think the rest of the world thinks. Apple owns this space hands-down. RIM owns the “best” hardware-and-services space, and look where that got them.
True, iPhone has a reputation and when “normal” people come shopping, they see bunch of smartphones and wow, is that AN IPHONE (omg so cool!!). They don’t know that you can get a better phone and save 100$ for other shopping!
+ it’s just sad to see parents and grandparents come shopping with their 5-10 years old kids and they are like “my sons/daughters first phone, what should I choose” and they pick an iphone so the child can play with i-Imagination instead of real (my first phone was some really crappy nokia and I was happy with it)….
There’s so much that is stretch with the economic theory behind that JPMorgan bit…
1. The whole “Broken Window” theory of economics in relation to JP Morgan’s boost of GDP via iPhone assumes that the destroy/replacement of the old device was done with capital that otherwise wouldn’t have been spent on other consumer goods. Some how iPhone money is “new” money and isn’t taking away from the sale of other goods. In reality its a zero sum game for the most part. The iPhone money is just money taken for other goods or services paid for. The exception could be argued via that “54% of iOS buyers do so with debt” article. But again, the repayment of that debt is from real money that goes back to the zero sum statement.
2. The boost of GDP listed in the article isn’t much beyond the margin of error. The last release last year was estimated at quarter of a percent boost which again is essentially margin of error. Its hard to measure these things definitely. To say it will aid in getting Obama reelected via positive GDP boosts is both Apple and DNC wishful thinking.
3. Who cares, the boost in GDP in negligible and in reality all it really serves to do is boost the GNP of the manufacturing country… which isn’t the US of A. Apple is hording money like every other company because of the uncertainty in markets and a world drowning in liquidity.
probably the best featue iPhone could ever offer… re-election of a president……
I thought this was an Android site? Or is this just trolling for pageviews?
Trolling for pageviews? Experience talks by itself, eh, Mr. autoblogging leecher.
The pic for the article looks more like a Blackberry or Sony design than something out of Apple. If that’s an image of the iPhone 5 the button alone would make me think otherwise.
Hmmm, it just might. After all it is half-black, over-hyped, and immensely popular with simple-minded common folk who don’t know that there are better choices to be had that give better results and not the same old thing. This article may have more truth in it than I thought.
Doesn’t the iphone 5 look more like an Android?