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Thorrezyesterday at 1:55 PM2 repliesview on HN

>Apple buys and uses so much RAM across all its product lines that it’s in a better negotiating position than the likes of Framework or Raspberry Pi, but CEO Tim Cook acknowledged in the company’s last earnings call that memory pricing could begin to eat into Apple’s profit margins later this year.


Replies

AnthonyMouseyesterday at 5:11 PM

There's also the fact that they were charging $200 to add 8GB of RAM before the prices went up, when that much RAM was something like $70 at retail.

The problem then is that when the supply gets more expensive and you were already charging the maximally-extractive price to customers, they can't eat much more of a price increase, so instead most of it has to come out of margins.

show 3 replies
cyanydeezyesterday at 4:04 PM

I would think the price gouging on memory tiers is why its in a better negotiating position. Having 200% markup means minor market conditions wont prevent them from payment.