Thursday, July 05, 2007

iPhone generosity

Stevie J. announces that all Apple employees will get a free 8 gig iPhone. How very kind of him.

Let's look at a possible ulterior motive.

As has recently been discussed in the press, the iPhone costs about $220 to make. Apple, as part of their deal with AT&T, is getting kick-backs for every iPhone sold.

When I worked for an indirect cell phone store (ala Alert Cellular, Mountain State Cellular, Mobile Solution, etc.), we got between $250-300 for getting someone to sign up for a two-year contract with a data plan and text messaging.

At the moment, Apple has about 20,000 employees. You do the math.