That's because there's more than $99 of unlocked value in a used iPhone 4 or 4S.
FORTUNE -- Lost in Wall Street's garment rending (and short selling) over the surprisingly high wholesale price of the iPhone 5C -- $549, too high to sell in quantity in most developing markets -- is the fact that Apple (AAPL) had already telegraphed its plan to sell a different set of phones in India, Brazil, MOREPhilip Elmer-DeWitt - Sep 14, 2013 12:15 PM ET
Weak demand or strong supply? Only Apple knows for sure.
FORTUNE -- At first it felt like deja vu all over again.
Just like last year, I set my alarm Friday morning for 3 a.m. Eastern (midnight Pacific), woke my Mac and went to the Apple Store, where the "We'll be back" sign was flashing in 10 different languages.
This went on for nearly 15 minutes -- just like last year, when orders MOREPhilip Elmer-DeWitt - Sep 13, 2013 9:39 AM ET
The key, Horace Dediu says, is to think of the iPhone as a data services salesperson.
FORTUNE -- The short answer for why Apple (AAPL) charges so much for its iPhones -- e.g. $549 for the new iPhone 5C that most analysts expected would sell for somewhere between $300 and $400 -- is that it can.
"Anybody would if they could," writes Horace Dediu on his Asmyco blog. "That's a poor question. MOREPhilip Elmer-DeWitt - Sep 12, 2013 8:23 AM ET
Wall Street sees trouble for Apple. But there are other ways of looking at the iPhone 5C.
FORTUNE -- Judging from the analysts' reports, the prices for the iPhone 5C that Apple announced Tuesday -- $99 and $199 with a contract, $549 and $649 without -- are the main reason Apple's shares opened $27 (5.5%) lower Wednesday.
Wall Street has apparently decided that pricing the iPhone so high was a major blunder MOREPhilip Elmer-DeWitt - Sep 11, 2013 12:08 PM ET
If it's going to happen, it may have to be on the big carrier's terms and timing.
FORTUNE -- So high were the expectations that China Mobile (CHL) was about to announce a deal with Apple (AAPL) to sell the latest crop of iPhones that news that it would be made overnight Tuesday made it into several analysts' reports.
The marriage of the world's largest mobile carrier (740 million subscribers) and the MOREPhilip Elmer-DeWitt - Sep 11, 2013 10:51 AM ET
Nobody failed to see the elephant in the room.
FORTUNE -- In most regards, Apple's (AAPL) iPhone special event Tuesday "met expectations," to use a phrase that appeared in a lot of analyst's reports.
The big surprise was the unsubsidized price of the iPhone 5C.
Most analysts expected a "cheaper" iPhone priced for sale in China and other developing markets. So did 9 out of 10 investors in our online reader poll. The two MOREPhilip Elmer-DeWitt - Sep 11, 2013 8:04 AM ET
There was good news and bad news when I finally got to see them with my hands.
FORTUNE -- The good news is that Apple's (AAPL) new plastic iPhone 5C -- the one that comes in colors and starts at $99 with contract -- feels solid and not at all cheap.
The bad news is that it took me a half-dozen tries, two reboots and two different phones before I could get MOREPhilip Elmer-DeWitt - Sep 10, 2013 6:25 PM ET
By offering an iPhone in the United States starting at $99, Apple is moving aggressively into the low end of smartphones.
FORTUNE -- Choose your luxury metaphor, but Apple (AAPL) always has been the BMW, the Tiffany, the Four Seasons of the computing and electronics industry. On Tuesday, it unveiled its Chevrolet strategy.
That's a big deal, a moment worth noting. (Should I have added J.C. Penney (JCP) and Courtyard Suites by MOREAdam Lashinsky, Sr. Editor at Large - Sep 10, 2013 4:01 PM ET
Real-time analysis of Apple's September 2013 iPhone event.
FORTUNE -- Apple's (AAPL) Sept. 10 special event went largely as expected, thanks to weeks of speculation and what turned out to be remarkably accurate leaks.
The highlights were two new iPhones, the retirement of two old iPhones and prices lowered to zero for software that Apple used to sell.
The iPhone 5C, which starts at $99 with a two-year contract,
iPhone 5S, which features a new fingerprint MORE
In the hours before Tuesday's big reveal, put yourself in Tim Cook's shoes.
FORTUNE -- It's no secret that Apple (AAPL) hopes to capture some of the developing world's untapped market (and some of the more price-conscious consumers at home) by introducing a new, lower-priced iPhone at today's special event in Cupertino.
What we don't know is how cheap the cheaper iPhone will be.
The fact that the iPhone 5C needs to be sold MOREPhilip Elmer-DeWitt - Sep 10, 2013 7:07 AM ET
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