Thursday, November 22, 2012

Sprint PCS v. Metro PCS and the $4,000 MacBook Air

I looked at the total cost of ownership (TCO) for my new Galaxy Note II with a Sprint PCS plan.  It is

$300 + $80/month = $2,220

If I had purchased a new Galaxy S III with a Metro PCS, which is pretty much the same phone, it would have been:

$40 + $50/month = $1,240

From my understanding, they use the same physical network, so they should be exactly the same thing.

Wow, that is an 80% increase!  That would be like this change:

My Apple MacBook Air I bought 6 months ago:  $2,200 TCO (if I ignore the $400 I paid for accessories like a mouse, and extra charger, cables to use an external monitor, etc.).

Today's cost for a new product that basically does the same thing:  $4,000!

Would you pay $4,000 for a MacBook Air?

Yup, smart phones are the future.  :-)

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