Apple presentation stated clearly that they are in the technology business.  They are in bed with ATT for phone service and ATT is apparently not getting the switchover they wanted when they made the deal.  The contract is 2 years with a big termination fee.  ATT is now driving this bus, not Apple.  We are a fickle lot. 

I think iPhone is cool, and at the same price as Blackberry or Treo it is the winner, to me.  Just hope that they increase memory without doing something silly like putting a hard drive in it. 

I have a Serene phone and an Iphone and must admit the Iphone is not only cool but is much more useful.  i probably should sell my Serene phone but I really like it also.  What a dilemma!

In the Apple presentation, Steve Jobs introduced the 16 GB Ipod Touch.  This Ipod is essentially the same as the Iphone.  I think it is reasonable to assume the Iphone will have a 16 GB model by January.

Calvin.  The Iphone will be introduced into the UK soon.  You just have to wait a little longer.

I would never sell my Beosound 2.  I think it is a classic design and will still be cool long after it is deleted from the product line.

As for AT&T, the service is fine.  I have to pay $20 more for the data service that is required by the Iphone.  My total monthly charges are about $60 for nationwide service.  The cancellation fee is $150 which you only have to pay if you cancel.  I have no intention of canceling.

I disagree that AT&T is running the show.  Apple is a company that likes to do things their own way which sometimes has been a problem for them.  The price cuts did not appear on the AT&T website for 8 hours.  Also AT&T puts their logo on the phones they sell except the Iphone.

And now Mr. Jobs has been kind enough to give early adopters a $100 credit note, oh how kind

http://www.apple.com/hotnews/openiphoneletter/ 

It was a "to the barricades" situation.  On the Apple discussion forum for the Iphone, Apple couldn't delete the complaints fast enough.  In other forums, people were really upset.

I must admit that as a longtime purchaser of Apple products, I felt somewhat mystified by the deep price cut only 2 months after introduction. I had purchased 2 Iphones for my wife and myself.  However I do understand there is intense competition in the cell phone business and they probably felt it was necessary to get greater market share quickly.

Whether it was planned or not, how many companies respond that quickly to a marketing disaster?  I am happy. I am getting a $200 Apple store credit and will order the new wireless keyboard and of course the new OS/X.

Steve makes a briliant remark:

"Second, being in technology for 30+ years I can attest to the fact that the technology road is bumpy. There is always change and improvement, and there is always someone who bought a product before a particular cutoff date and misses the new price or the new operating system or the new whatever. This is life in the technology lane. If you always wait for the next price cut or to buy the new improved model, you'll never buy any technology product because there is always something better and less expensive on the horizon. The good news is that if you buy products from companies that support them well, like Apple tries to do, you will receive years of useful and satisfying service from them even as newer models are introduced."

Karel

B&O should be saying this shouldn't they, because their products are useful for many many years even as the new stuff comes along.

Though i must add that the term 'useful' would be a gross understatement with Bang & Olufsen products. 

kuyttendaele:

Steve makes a briliant remark:

"Second, being in technology for 30+ years I can attest to the fact that the technology road is bumpy. There is always change and improvement, and there is always someone who bought a product before a particular cutoff date and misses the new price or the new operating system or the new whatever. This is life in the technology lane. If you always wait for the next price cut or to buy the new improved model, you'll never buy any technology product because there is always something better and less expensive on the horizon. The good news is that if you buy products from companies that support them well, like Apple tries to do, you will receive years of useful and satisfying service from them even as newer models are introduced."

Karel

Hmm, though I agree with Jobs' remark (there's pretty much nothing to say against that), I think it's not quite the point of the issue here: how to justify a drastic price drop just after an insanely short two months period? I mean, the product is the exact same (no improvement and no change), so it's not really a question of waiting the bus for improvement technology or a better price.

It's just a simple matter of marketing strategy (at which Jobs has always been quite good at) and in the end it just sucks for 1st customers who were the ones to make possible the relative iphone success. Just refunding 100$ in Apple coupons is just not enough to me, and I know I would have been mad if I'd been an iphone owner in this case... Sure it is a good marketing strategy (for new customers, etc...), not so sure it's a good 'customer service & relationship' strategy.

Philippe