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Mon, Dec 01, 2008 - 04:51 PM EST  —  AAPL: 88.93 (-3.74, -4.04%)  |  NASDAQ: 1398.07 (-137.50, -8.95%)

Woz: $200 iPhone price cut ‘too soon, too harsh; Apple’s a monopoly as much as Microsoft’
Monday, September 24, 2007 - 04:48 PM EST

"Apple cofounder Steve Wozniak Saturday blasted his old buddy Steve Jobs' decision to drop the price of the iPhone by $200 only 68 days after the big launch and even took his old friend to task for how refunds have been handled for the popular device," Steven Burke reports for CMP Channel.

"'Nobody expects a product to drop that much in price in such a short time,' said Wozniak, the driving force behind the original Apple I and II computers," Burke reports. "'Steve Jobs and everyone expects technology to drop in price. The first adopters always pay a premium. I am one of them. I am used to that. But that one was too soon, too harsh.'"

Burke reports, "Even though he takes issue with the price cut and how it was handled, Wozniak said he is a big fan of the iPhone. 'I fell in love with the iPhone,' he said. 'I did not like it at first.' Wozniak said it took him a month to fall in love with the device."

Burke reports, "Wozniak complained that a lot of the intense focus on user interface design even at Apple has gone away. 'We have learned the formulas and a lot of that (innovative) thinking has gone away,' he said. 'Now we (at Apple) are a monopoloy as much as Microsoft. If you're going to buy a Macintosh you're going to buy a Macintosh and we don't need quality to sell.'"

Burke also reports, "Wozniak said when Apple came out with the .Mac domain moniker the name Woz was not available. After being initially upset at not being able to get his own name for the Apple domain, he learned that his old friend Jobs 'had actually saved it for me.'"

Full article here.

MacDailyNews Take: Don't fret, it's just more of Woz being Woz, but he really should look up the word "monopoly" and read the relevant court transcripts and findings before he utters the word in sentences containing Apple and Microsoft. A free spirit, and Steve Jobs' personal loose cannon, Woz is (was?) a brilliant engineer, but a brilliant businessman and/or legal mind, not so much. Woz should stick to the Segway polo, Hummer trips to the South Pole with Buzz Aldrin, and red-headed comediennes. Let the "other" Steve worry about Apple.


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Sep 24, 07 - 03:51 pm Comment from: Puh-leazze

Wow. I think that Kathy Griffin woman is going to his head.

Sep 24, 07 - 03:56 pm Comment from: Jester X

Actually Puh-leazze... I think that Kathy Griffin needs to give him head.

Sep 24, 07 - 03:58 pm Comment from: rsbell

"We at Apple"?

It hasn't been "we" in years...

Sep 24, 07 - 04:00 pm Comment from: The Velvet Hammer

I love Woz... but he can say some weird things at times... he's like that really smart dude you know -- who lacks some social skills & he says shit that embarrasses you in front of people.

he's just super smart... and super smart dudes are weird.

Sep 24, 07 - 04:00 pm Comment from: Big Hairy Bullocks

Geez, when did this fat fsck join the dark side?

Sep 24, 07 - 04:01 pm Comment from: Mac Developer

Actually, Woz has a point: Apple's Human Interface Guidelines were groundbreaking, and are still among the best, but there hasn't been any significant work on them in years, and Apple themselves do not seem to follow them anymore.

Using the word "monopoly" is inappropriate -- "complacent" is closer to the mark. Apple have found a reasonably secure position in the market, and so they've stopped being as innovative and groundbreaking in interface design as they were.

Sep 24, 07 - 04:01 pm Comment from: @rsbell

he's still an employee and can still say "we" technically... though barely.

Sep 24, 07 - 04:04 pm Comment from: Algr

"But that one was too soon, too harsh.'"

Would it somehow have been better if the price drop was less, or later?

Sep 24, 07 - 04:04 pm Comment from: Falkirk

People are now substituting the word "Monopoly" for "big and powerful. But it just ain't so 'cause words have meanings.

Sep 24, 07 - 04:12 pm Comment from: Lumberg

Sorry, but the truth hurts.......

Sep 24, 07 - 04:13 pm Comment from: Voltaic

"...they've stopped being as innovative and groundbreaking in interface design as they were."

I agree with Mac developer and with Woz. The problem is that Apple's new success has happened just recently. What might we expect if more people switch to Macs? 2 "Dark Sides"? My biggest concern is with our beloved Macintosh platform and Apple's apparent neglect of it (its core base). A long, long time passed before the iMacs received a (lame in my opinion) update. I am still waiting for MacPros (14 months and counting) and Pro monitors to be refreshed (what, 3-4 years?). Down right shameful if you ask me.

I love Apple and the Mac but, we need Linux to become a threat to keep everyone honest.

Sep 24, 07 - 04:14 pm Comment from: Mark

Apple should open iTunes so that it sells music to all MP3 players.

Sep 24, 07 - 04:14 pm Comment from: 2Shae

Apple is just making use of it's momentum so that it stays in the spotlight.

Sep 24, 07 - 04:16 pm Comment from: Ralph M

RE: Mac Developer - "Using the word "monopoly" is inappropriate -- "complacent" is closer to the mark. Apple have found a reasonably secure position in the market, and so they've stopped being as innovative and groundbreaking in interface design as they were."

You have got to be joking. While I agree that Apple has drifted away from the Human Interface Guidelines, not always to good effect, the iPhone interface is one of the wonders of the tech world. It is THE reason the iPhone actually works, and other smartphones suck. There is nothing about the iPhone that suggests that Apple is being complacent about interface design.

As for desktop GUIs, the reality is that they have reached a certain maturation level and innovation is more incremental now.
While there are aspects of OSX that seem more stylish than functional (and I happen to agree with some of Tog's criticisms of it), OSX has become progressively more refined and elegant with each version. In the meantime, Apple has focused its capacity for innovation on taking functions that have been either arcane or bothersome -- like, say, back-up -- and creating beautiful solutions such as Time Machine.

In any case, it beats the hell out of anything going on at Microsoft.

Sep 24, 07 - 04:18 pm Comment from: Dijonaise

F**k that fat bastard, he has not contributed ANYTHING worthwhile for decades. Woz why don't you go work on the US2 festival!

Sep 24, 07 - 04:19 pm Comment from: Greg L

Imagine: Complaining about prices going down significantly on a product with no reduction in its quality.

Methinks thou doth protest too much.

Sep 24, 07 - 04:20 pm Comment from: Girly Pants

I guess I must be real stupid.
A price drop, whatever the amount, whenever, is BAD?
Giving early adopters a hefty store credit is BAD?
And "Apple’s a monopoly as much as Microsoft"?
Well, I'm not gonna be no Apple stooge no more!
I'm taking Woz's advice, throwin' my Apple laptops into the trash (after I stomp on them real good!), and then I'm gonna get me a Dell and live happily ever after!

Sep 24, 07 - 04:21 pm Comment from: ron

Woz was, again.

Sep 24, 07 - 04:24 pm Comment from: ken1w

Apple has a monopoly on cooleness.

> I am still waiting for MacPros (14 months and counting) and Pro monitors to be refreshed (what, 3-4 years?).

The Mac Pro was refreshed. It was called the Intel transition and the inside is totally new. And if you just want a superficial exterior change... a second optical drive bay and additional front ports were added. Other than that, you can't improve too much on a design that is almost perfect. Same with the displays; what more can you do to make it better?

Sep 24, 07 - 04:28 pm Comment from: dub-j-dub

Woz is wonderful - luvz the guy.
He's the

Sep 24, 07 - 04:29 pm Comment from: zero-in

To Apple zealots remember: Think Different

Sep 24, 07 - 04:30 pm Comment from: Essefgy

>>But that one was too soon, too harsh<<
>Would it somehow have been better if the price drop was less, or later?<

Yes. Algr. Yes it would have been better. It would've been a hell of a lot more palatable and wouldn't've gotten as much bad press.

Sep 24, 07 - 04:35 pm Comment from: shucks

What's the latest word on the $100 rebate I'm supposed to be getting?

Sep 24, 07 - 04:35 pm Comment from: @Mark1

MS Troll???
"Apple should open iTunes so that it sells music to all MP3 players."

Troll?? MP3 players cannot connect to the internet so they cannot talk to iTunes. DUH

Did you mean that iTunes should allow music to be downloaded to mp3 players?? OK. Wish granted. It does. I use mine all the time with iTunes. Problem is that its much harder than with my new iPod.

grin

So, Problem solved?? grin

Sep 24, 07 - 04:36 pm Comment from: Moo

Woz is a crackhead.

Sep 24, 07 - 04:38 pm Comment from: Moo

"What's the latest word on the $100 rebate I'm supposed to be getting?"

Um, wake up dude. They've been giving those out for well over a week now. I got mine.

Sep 24, 07 - 04:39 pm Comment from: Varun

Woz needs to get a job.

Sep 24, 07 - 04:40 pm Comment from: Jerry T

@ Mac Developer,

Woz said "we at Apple are as much of a monopoly as M$" in regards to buying a Mac. Which is spot on, Apple are the "only" Mac makers.

So if you want one, you have one choice...period. That pretty much sums up what a monopoly is, many buyers "one" supplier.

Sep 24, 07 - 04:41 pm Comment from: Sure Am Relieved

Apple seems to have 100% of the market for quality desktop computers as far as I can see, and thus is a monopoly, arguably.

Apple, however, is not:

- a company that illegally maintains a monopoly. Unlike a certain other company, it hasn't been neither charged with this, nor convicted of it...
- habitually engages in anti-competitive behaviour, specifically habitually tries to destroy the competition
- disrespects the customer, habitually. To the contrary, Apple successfully and habitually tries to improve things for the customer.
- only improves products until they achieve a monopoly, then ignores them for years at a time
- actually does what they say
- actually tries to obey the law, as opposed to creatively or not so creatively skirt it

Sep 24, 07 - 04:41 pm Comment from: @essefgy

Troll??

>>But that one was too soon, too harsh<<
>Would it somehow have been better if the price drop was less, or later?<

Yes. Algr. Yes it would have been better. It would've been a hell of a lot more palatable and wouldn't've gotten as much bad press.

So, to all those people out there buying up iPhones left and right, we should go back and tell them to pay Apple another $100 bucks, right. I am sure everyone who bought at $300 would just love to buy at $400. grin

OH and all you who got $200 back cause you bought with in the 14 day grace period, I expect to see checks in the mail to Apple right away. NOW. Also for all those who got $100 store credit. Don't you dare use them. ...............

OK, enough ranting. Lets just let this price thing go, please. And as for Woz. Give me a break dude. Your a mega Millionare. Bite me, OK. I can use those bucks. :-(

en



Hey people, we don't have the whole story. We get a little part. And I find it funny for anyone to complain about prices coming down. EVER.

Sep 24, 07 - 04:42 pm Comment from: KingMel

In my opinion, Apple made a mistake by attempting to differentiate its iPhone line by memory (4GB/8GB). Why complicate manufacturing and distribution that way? And why force consumers into a $100 jump for the extra 4GB when it seemed obvious that 8GB+ was more appropriate for such a capable multimedia device. That seemed even more obvious when the iPod touch came out in 8GB & 16GB versions.

The key issue here, in my opinion, is Apple's failure to properly price the iPhone from the start. If they reduced the price because demand was lower than expected, then they made a mistake in initial pricing or were greedy. If they reduced the price because they had 30% extra margin built into the price, then again, they made a mistake or were greedy. If they reduced the price because of the offsetting revenue stream from AT&T;for iPhone accounts, then they should have factored that in at the beginning. If the driver for the price reduction was the insertion of the iPod touch with its higher memory levels, then Apple had plenty of time to factor that into the release price of the iPhone back in June. I really like Apple, but the atmosphere at Apple is in danger of becoming a little too grasping for my taste. Sometimes the harder you squeeze the less you get in the long run.

Sep 24, 07 - 04:44 pm Comment from: Roberto

Woz, try not to use big words you don't understand.

Sep 24, 07 - 04:46 pm Comment from: Voltaic

"...The Mac Pro was refreshed. It was called the Intel transition and the inside is totally new. And if you just want a superficial exterior change... a second optical drive bay and additional front ports were added. Other than that, you can't improve too much on a design that is almost perfect. Same with the displays; what more can you do to make it better?"

My friend, it has been 14 months since the introduction of the MacPros. I am not looking for new enclosures, I am looking for faster processors and yes, lower prices. Not even in the agonizingly slow to upgrade PowerPC days it took Apple this long to upgrade their Macs. Further more, if it took longer than 6 months they would "significantly" drop the price on the towers. The same goes for the Pro monitors.

Here is a good example of what Apple is up to, I just copied it from the Apple Store:

30" Cinema HD:

Original price: $3,299.00 <------- (this price goes back to when Apple 1st introduced these monitors 3-4 years ago. Down right false advertising)
Your price: $1,499.00 <------- REFURBISHED
Estimated Ship:
Within 24 hours
Free Shipping

NEW $1,799.00 <-------
or as low as $43 a month
Estimated Ship: Within 24 hours
Free Shipping

I love Apple, I want it to stay HONEST.

Like the guy said, remember to "Think Different".

Sep 24, 07 - 04:47 pm Comment from: Mo

It's pretty easy to say everything was so innovative when you were involved when everything was an innovation. I don't think that Woz has done anything innovative himself, since that time, and I am mystified why anything he says is relevant now.

When Colbert interviewed him last year it was embarrassing to see, the nonsense that comes out of his mouth.

Sep 24, 07 - 04:55 pm Comment from: Figurative

You know Woz, why don't you stick to things you know about.

If you were to tell me that they used the wrong capacitor in the new iPods, I'd take you more seriously.

-F

Sep 24, 07 - 04:55 pm Comment from: reminder

apple is still a cool company,in fact if they are gaining market share its because they still one of the best hardware/software companys in the world.

Sep 24, 07 - 04:57 pm Comment from: Just some dood

The only people who are bitching about the price drop are the ones making money by getting page hits, and people who bought early that had to figure the price would go down... but it was "too soon". The price was going down... you knew it... you bought anyway. Shut up already! You have had an iPhone for over 2 months! Enjoyed it and loved it... and now you want to bitch just because you are most likely a cry baby to start with and are just looking for a reason to open your pie hole and bitch.

ken1w:
The LCDs need to be updated... no iSight built-in... no isight stand alone from Apple. If no LCD update, then Apple needs to release a new iSight for Mac Pro customers. Also needs LED backlighting.

Sep 24, 07 - 04:58 pm Comment from: yet another steve via iPodDailyNews

That monopoly thing, especially when read in full is the most stupid thing I've ever heard the man say. On more than one level. Unfortunately, since he's Woz it'll get widely quoted and play into the "MS never really did anything wrong" revision of history that's going around.

This is getting annoying... an I am rapidly losing my taste for the cult of Woz. Though I'll never get over my first... the Apple II.

Sep 24, 07 - 05:11 pm Comment from: @Jerry

Sorry, but just cause you like that description, does not make it true. :-(

"@........ Apple are the "only" Mac makers.

So if you want one, you have one choice...period. That pretty much sums up what a monopoly is, many buyers "one" supplier."

Wrong. Radio shack makes a reel of wire for connecting speakers. Radio Shack is the only seller of "Radio Shack brand wire for speakers. Your definition would make them a monopoly. ---Wrong. grin

Apple computer sells computers. Dell, HP, and others sell computers. Each is different. But they are all, basically computers.

Look at Microsoft, 95% of the worlds computers and the only one that companies install. Customer choice of OS??? None (not really)
Nuff said.

en

Sep 24, 07 - 05:18 pm Comment from: Jerry T

@ Sure Am Relieved,

Apple don't try to destroy the competition because there isn't any. You can get a Mac from only one maker. That's what Woz said, and in that context the term monopoly is correct.

MW/bad...as in this type of monopoly isn't bad.

Sep 24, 07 - 05:21 pm Comment from: LorD 1776

Sometimes he acts like a spoiled little child. Woz needs to stay in his playroom with all of his expensive toys and let the world move on without him. He is irrelevant.

Sep 24, 07 - 05:28 pm Comment from: Linux Guy And Mac Prodigal Son

Woz, love you man! But you should have gotten engaged to a nurse.

Sep 24, 07 - 05:37 pm Comment from: Eric

Woz, you are an idiot

Sep 24, 07 - 05:42 pm Comment from: Jerry T

@ @Jerry,

In the broader computer scheme you are correct. But Woz was referring to Macs in particular with his comments and not computers in general. Within that context, Apple does have a "locked-in" captive audience.

BTW, It's no longer Apple Computer...wink

Sep 24, 07 - 06:11 pm Comment from: Dan

Woz- do us a favor and shut up. You make no sense, and you are wrong.

As far as a $200 price drop being too harsh, hit me again!

Sep 24, 07 - 06:42 pm Comment from: justme2

Those of you who want "refreshed" iMacs and such, Leopard should do the trick -- I care more about what's under the hood than what the hood looks like.

And maybe the price drop on the iPhone was too soon -- but would've it have felt any better if they did it right before Christmas or something? And it made sense to drop the price on the 8GB at the same time they dumped the 4GB.

Sep 24, 07 - 06:43 pm Comment from: shen

Woz was, is, and will be, a brilliant and independent mind. that means he will be both ground breakingly right and spectacularly wrong. and often a bit of both in a single sentence.....

the monopoly comment was dumb, but you can hardly fault him for wanting Apple to do better. like the parent of an only child, he wants his company to excel and doesn't mind pushing it. the other Steve has been known to have a few personality quirks along similar lines. wink

....I am glad he is there providing a bit of perspective, but he isn't perfect. nor is the other Steve. nor is Apple. but i wouldn't trade people who reach for perfection for those who trade in sub-mediocrity. yeah redmond, i am looking at you!

Sep 24, 07 - 06:49 pm Comment from: Anthony

Apple is the only machine that you can run Windows, Macintosh, and Linux on.

I would say that makes it's computers "anti-monopolistic" in some respects, however it also means that Apple holds a monopoly on the Mac OS 10.

Kind of like how Cingular has a monopoly on the iPhone. You want to use either one of those products, you need "one particular" service.

Sep 24, 07 - 06:49 pm Comment from: dance dance Monkeyboy

Hey Woz, here's a tip...


How about getting off your fat butt and actually CONTRIBUTING something to society for a change? You've been coasting on your laurels for, oh, I don't know- like the last three decades or so? Can't seem to make a go of any venture you dabble in...

You clearly have way too much time on your hands.

Sep 24, 07 - 07:06 pm Comment from: Silver Surfer

You are all idiots WOZ is awesome, you tards know nothing about computing. WOZ made Apple Computer (INC)

BTW Steve Wozniak is on the Board of Directors. He certainly can say "we" come on guys give the dude a break the man is Brilliant. he he

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