Two Main Reasons Why Apple Products Are Super Expensive

Samuel Halimanto
4 min readJan 2, 2019

“No matter how much it cost. There will always be someone who buys it.”

Pricey? Yes it is. Same specs higher price? Yes it is. But there are reasons for it. When you buy Apple product, let’s say iPhone, you don’t only buy iPhone. There are more to it.

The Software

I make software in my daily life, and of course I get paid by my clients for it. But who pay for the iOS, macOS, and every software Apple makes? Unlike android phone manufacturers, who get their software freely from Google, Apple has to do it’s own R&D (Research and Development) and maintenance for its software. And yes it is very costly. According to appleinsider.com, in Q3 2018 Apple has spent $3.7 billion for R&D.

So who pay for it? The answer is, Apple users do! Think about this, the price for every Apple products are including the software inside it. So if you buy an iPhone for lets say $800, maybe $200 in it is the software, and the phone without the software is only $600. That’s why you can’t find other phone using iOS, because they are selling the software too.

Not only the software inside the phone. You buy the maintenance and updates for those software too. Lets take iPad 2 which came out in 2011 and got its last iOS update at 2016. If you bought iPad 2 by 2011, you got update for 5 years without having to pay anything more. It’s like a subscription for 5 years that you pay in front.

The Brand

Apple fanboys are EVERYWHERE. No matter what apple do, the fanboy will buy their products. But how? How could people fall in love with “Apple” as a brand without thinking about the specs or anything else?

A simple scenario: Two friends coming to you, one uses iPhone, another uses Chinese phone. Your subconscious will think about them differently, won’t it? Why? Because Apple has merged into our lifestyle and it gives luxury to the users. People are willing to pay high to get that Apple logo printed on their devices, because it gives them the luxury. This is why every Apple products are expensive and will always be expensive. Selling something cheap will remove the luxury that Apple gives to the users.

Those luxury that Apple gives is not cheap though. First, they have to limit their products to be only the high end products. It reduces their selling. And then the marketing is pricey too. Have you ever seen a bad looking Apple store? Nope, because it’s part of the marketing team to make Apple looks luxurious and exclusive. But, who pay for the selling margin and the marketing fee? Guess who?

Despite being really expensive, people still buy it. There are many reasons for it. The hardware, the great design, or even specific needs for a job (like a programmer or designer). Apple products are unique, exclusive, and have its own feel and style. But is it worth the super price though? The answer varies.

Here is my thought, in phone industry, as a Galaxy phone owner, I’m on Samsung’s side for now. It does more with lower price, the build quality is better, the hardware is better, and most of all, the display is far more superior than iPhone.

For Mac, I think they have the best design and build quality compared to other laptops. But the price is really really high for those specs. The Mac OS is still a little bit behind Windows too in my opinion. But, if money is not a problem for me, I would go for it.

In tablet industry, I don’t think iPad has any competitor though. The 2nd best tablet is not even close to the iPad as a king. I will not think twice to buy an iPad if I ever need a tablet.

Well, I’m not an Apple fanboy myself, but I think despite being really expensive, Apple has reasons for it and people who buy it have their own reasons too. It’s a matter of preference. So, peace for every tech brand!

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Samuel Halimanto

Founder of Nibble, a great software and design house located in Bandung, Indonesia.