Apple’s ecosystem bet: Devices just an entry point to generate interest

Each year, a new iPhone launches, and the prices are bumped up. The company adds or upgrades features and hardware. This leads to a rise in the prices of the phone. So, something that was just Rs 40,000 a few years ago now costs almost twice that much. Moreover, most companies are selling their flagship devices with top-of-the-line features and best-in-class experience at that price point. So, why pay a premium for an iPhone.

Until a few years ago, the price of an iPhone was correlated to the ‘snob value’. The phone was and is still a premium product, and that’s why most people buy it. But over the years, Apple has been successful in developing an ecosystem.