Apple's latest tablet, the much-anticipated iPad mini, is out and reactions are all over the web. The big news from the Apple presser is threefold: the iPad mini will retail starting at $329, the MacBook Pro line gets a retina display model, and the Mac Mini gets an update as well. Below are some thoughts on the strategic implications of the announcement.
First, the iPad news, while widely anticipated is the big news here. Tech Crunch ran an article on Sunday in which the price point of $329 was predicted by MGI Securities analyst Ming-Chi Kuo. His logic shows Apple protecting margin. The iPhone 5 has gross margins of 68% to 72% according to Kuo. These high margins are a big driver of Apple's profits and something I have said are going to be threatened going forward. According to Kuo,...
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Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty five years of business experience. He has also been a regular economic and financial commentator in print and on television for the past decade. He speaks six languages and reads another five, skills he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College.