QUOTE(hyperyouth_firepower @ Oct 23 2013, 09:45 AM)
Nokia MS strategy is different.
All other OEMs for Android, with exception of Google, runs on economy of scale. Especially the fact that the core OS itself doesn't need much R&D, since Google has done most of the heavy lifting for them. Not to say that they don't have costs, just not as high as how Google has to pay.
On the other hand, Google doesn't need to sell their Nexus with profit. They sell it with near-zero margin. Where does Google earn their money? By profiling users. Ads, profiles, etc.
BlackBerry sells I think less than 3M BB10 per quarter, and from their quarter reports, from January indicates that they have produced about (that's assuming 90 days is considered a quarter, give and take). Therefore BlackBerry does not enjoy the economy of scale to mass produce even the low end on low prices)
I don't think BlackBerry can lower their price point at this stage even if they wanted to. With recent news of their hardware partners unable to produce due to low demand, I think if BlackBerry wants to achieve the economy of scale with or without profit they'll need to
b) elect or partner with new hardware vendor that can meet up with BlackBerry's super strict QA on security (they have some very strict QA on their products in their factories, its a well known fact) yet achieve the economy of scale.
c) make deals with Qualcomm so that they won't lose out being first partners. Or, jump to Intel? (In the past the deal with TI-OMAP used to be very good, until TI-OMAP suddenly reversed its decision and abandoned the SoC market, and decided to only focus on the embedded chipset market, much to the chagrin of BlackBerry (where they have to re-code the entire thing from scratch)
All other OEMs for Android, with exception of Google, runs on economy of scale. Especially the fact that the core OS itself doesn't need much R&D, since Google has done most of the heavy lifting for them. Not to say that they don't have costs, just not as high as how Google has to pay.
On the other hand, Google doesn't need to sell their Nexus with profit. They sell it with near-zero margin. Where does Google earn their money? By profiling users. Ads, profiles, etc.
BlackBerry sells I think less than 3M BB10 per quarter, and from their quarter reports, from January indicates that they have produced about (that's assuming 90 days is considered a quarter, give and take). Therefore BlackBerry does not enjoy the economy of scale to mass produce even the low end on low prices)
I don't think BlackBerry can lower their price point at this stage even if they wanted to. With recent news of their hardware partners unable to produce due to low demand, I think if BlackBerry wants to achieve the economy of scale with or without profit they'll need to
b) elect or partner with new hardware vendor that can meet up with BlackBerry's super strict QA on security (they have some very strict QA on their products in their factories, its a well known fact) yet achieve the economy of scale.
c) make deals with Qualcomm so that they won't lose out being first partners. Or, jump to Intel? (In the past the deal with TI-OMAP used to be very good, until TI-OMAP suddenly reversed its decision and abandoned the SoC market, and decided to only focus on the embedded chipset market, much to the chagrin of BlackBerry (where they have to re-code the entire thing from scratch)
QUOTE(hyperyouth_firepower @ Jan 2 2014, 07:36 PM)
If you compare it with Moto X, yeah.
But for the fact that its one of the phones that can piggyback BB10 and Android OS, its quite the bargain actually.
you, sir, are a lord in explaining all these technicalities But for the fact that its one of the phones that can piggyback BB10 and Android OS, its quite the bargain actually.
May 13 2014, 02:21 AM

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