While the iPhone X starts at $999 in the United States, with an even more expensive 256GB model available for $1,149, Apple CEO Tim Cook believes the price can ultimately work out to less than one cup of coffee per day.
On a conference call after Apple reported its fourth quarter earnings results on Thursday, Cook started by saying the iPhone X can be financed for as little as $33 per month at select carriers in the United States.
AT&T, for example, offers the base model iPhone X for 30 monthly payments of $33.34, which works out to exactly $1,000 over that period.
“I think it’s important to remember that a large number of people pay for the phone by month,” said Cook. “I think you would find you could buy an iPhone X for $33/month. So, if you think about that, that’s a few coffees a week — it’s less than a coffee a day at one of these nice coffee places.”
Cook added that many customers are now trading in their current iPhone towards their next iPhone, reducing their total amount owing by $300 to $350 in the process. He said the iPhone tends to have the highest resale value in the industry.
“In terms of the way we price, we price to the value that we’re providing,” said Cook. “We’re not trying to charge the highest price we could get or anything like that. We’re just trying to price it for what we’re delivering. iPhone X has a lot of great new technologies in there that are leading the industry.”
“It is a fabulous product,” he added, still referring to the iPhone X. “We can’t wait for people to start getting it in their hands.”