Are we on the verge of real price wars for handsets (Moto X+1)?

[rangerover61]

I remember when the first land-line cordless phones arrived on the scene. Also the first PC's. To give you perspective, my college computer classes used punch cards for data entry.

I have seen prices decline on every form of electronics, but cell phone technology. I mean smart phone technology. I have been waiting to purchase a better phone than my Droid Razr Maxx since coming off contract with Verizon a few months ago. But $600-750 is insane to spend on the latest and greatest.

I was pleasantly supprised to read of the specs and rumored pricing of the Moto-x-1 yesterday from another web-site. Specs were almost HTC One and Galaxy S5, but for $400. I cannot for the life of me figure out why pricing has not declined more over the past few years. Since cell phones have replaced land-lines for a large percent of users, it would seem that handset pricing should have declined more than they have.

Are we on the verge of a price war on hand sets? Is Motorola starting one with the Moto-X-1?

 

[Vsweety]

Are we on the verge of a price war on hand sets? Is Motorola starting one with the Moto-X-1?

I doubt it very much. For the phone manufacturers there's far too much money to be lost that way. I'll bet a(n illegal) price cartel is much more likely.

 

[NoYankees44]

Probably expect a $600+ then drop pretty quickly. Just the X did.

There is too much money in bringing a phone too market plus advertising it for there to be a significant drop. You have to remember how fast the market moves. 2months after a phone come out it is completely one upped by newer hardware. Then manufacturers have to constantly keep old hardware up to date with the super fast Android updates. It is just not a market for the cheap right now.

What will change this is he market stagnating. Just like the pc market, hardware can only get so good. People will see less of a reason to pay the high price. That combined with the market becoming saturated will pull prices down.

Also, people pay the price. Until they stop, there is no reason for manufacturers to charge less.

 

[Ry]

IMO, the first batch should cost more to cover the development costs.

Posted via Android Central App (Moto X)

 

[rangerover61]

Yesterday I called the nearest Best Buy store in Branson, MO to inquire if they would price match on the Moto-X at Verizon and Amazon's current off contract price of $399.99. The guy on the phone had to go ask someone in the cell phone department if they could do this. He come back on the line and un-equivocally stated they would be glad to price match. I also asked if I could purchase the two phones on my Best Buy CC under the 12 month no-interest plan. Again I was given a definite yes.

Today I drove the 1 hour one-way trip to pick them up. When I inquired about the purchase at the store, the cell phone department manager over-ruled the past information I had received and stated they would not price match. He was quite rude, with a CYA attitude. I don't doubt that the $399.99 price could be below his cost, but that is not following Best Buy's price match policy.

Best Buy Low Price Guarantee - BestBuy

Amazon.com: Motorola Moto X, Black 16GB (Verizon Wireless): Cell Phones & Accessories

I fired off an email to Best Buy's customer service after arriving back home complaining about my treatment. I know it won't go anywhere, but I got it off of my chest. Best Buy's price match guarantee specifically states they will price match Amazon.com. It also specifically states they will not price match "on-contract" phones. They do not exclude "no-contract" phones. The Best Buy cel phone department manager claimed that the Verizon phone being sold on the Amazon and Verizon web-sites were subsidized. "No-contract" phones do not require a plan.

Am I right or wrong? Is Best Buy right or wrong?

 

[rangerover61]

Also, people pay the price. Until they stop, there is no reason for manufacturers to charge less.

This is evident from the people waiting for service at my local Verizon company store. We are sheep waiting to be sheared.

 

[Citizen Coyote]

Are we on the verge of a price war on hand sets? Is Motorola starting one with the Moto-X-1?

Maybe. Phones like the Nexus 4 and 5, and the OnePlus One, have shown you can cram a lot of tech into a phone and not slap a "premium" price on it. If I recall the original price for the Moto X was not cheap ($599?) but it quickly dropped in price, and Moto started offering sales on the device after several months. It would not surprise me to see the new Moto X+1 offered at $500 or less at introduction in an effort to get more marketshare, especially since they've got Motomaker all set up and running.