[ont.micro.mac] price

info-mac@utcsrgv.UUCP (info-mac) (05/12/84)

Date: Thu 10 May 84 23:25:31-PDT
From: Chad Leland Mitchell <uw-beaver!M.CHAD@SU-SIERRA.ARPA>
Subject: price
To: info-mac@SUMEX-AIM.ARPA

1-The categorization of people reading the BBoard is a real overgeneralizaton.
For example, I am a certified developer.  I am also a graduate student and
cannot afford a Lisa.  I have some things I am putting together with one other
person.  Since they would need to be coded in assembly anyway (the Mac is the
slowest machine they could possibly run on) we will be using the assembler
when it arrives.  Meanwhile we are doing the product design.

  I have no other direct connection with Apple.  I have friends who work there
and at HP, IBM, etc.  Some of my school research is paid for by IBM.  And I
have worked for Bell Labs.  Almost three years ago I specified the personal
computer which I would be willing to buy and which would be interesting for
me to program.  At the time there was nothing anywhere near the price range.
The Lisa was impressive and if it had been cheaper or earlier would have been
a hit.  I know several people who bought IBM PC-XTs prior to January 24th who
wish they had waited for the $5500 Lisa 2/10 (much cheaper than about $7000 for
a "somewhat similarly equiped" PC XT).

  The Macintosh is very close in all respects including price to the dream
machine that I specified.  It is powerful enough to do interesting work and
to make an attempt at enogh user friendliness to call it an appliance.  I am
looking forward to being able to program on top of an existing user interface
which is not upward compatible with punched cards.

  I find it hard to believe that anyone could fall for the statement that if
IBM had come out with this machine we would all be complaining.  If IBM had
come out with this machine, Apple would have lost totally.  We would all be
shocked at something so innovative (IBM does innovative research, but it is
a real surprise when they come out with innovative products since they have a
stated policy of letting other companies do their market research for them).

  Apple isn't perfect (and I admit that there may be people on this BBoard that
seem to doubt it).  The Mac has some flaws.  SOME of the software is coming
late.  On the other hand, the software is no later than it has been for
everything else I have ever dealt with, it is far more powerful and complex
software than has been on personal computers before, and Second Quarter does
not mean April;  it means before June 30.  I know of no other machine in the
price range that comes close in almost any measure I care about.  It is not a
Dorado, nor a Lilth, but then it does not cost $100,000 nor even $10,000.

  Thus, you see, I am not a rich Lisa buyer, but I like the Mac a lot.  It
brings computing to my parents (who bought one), my brother (who bought one),
my wife (who tells me we need two).  None of them has ever written a program.
All of them had access to IBM PCs and used them for word processing and
accounting.  None of them liked using the PC and they still had negative
feelings toward computers in general.  They each spent a few hours using a
Macintosh and decided that they wanted one.  They now feel confortable about
computers.  Computers are acceptable topics of conversation.  My wife is
planning to computerize her files, her recipes, our library, etc.  She could
have done that before on other machines, but she never felt the desire to and
never really felt comfortable with a computer before, despite my prompting for
several years.
  Macintosh does something which may seem terrible to some.  It makes computing
fun.  I admit that to some it may have been fun before Macintosh (myself
included), but then some people thought it was lots of fun to enter in long
sequences of machine code using front panel switches.

2-I have been asked by a friend (Robert Gardner) to forward this to the BBoard:

I have been trying to understand why some people are claiming
the Macintosh is overpriced.  A look through the What's New
column of the most recent BYTE shows, for instance, the Zenith
Z-100 PC compatible with 128K bytes RAM, 2 serial ports,
graphics, and one DS/DD drive lists at $2800; the new PC
portable (if you can call 30 pounds portable) with 256K RAM and
1 DS/DD drive (but minus everything else IBM PC's are famous
for coming without) lists at $2800 also.  These machines come
only with system software, don't include a mouse or graphics in
ROM, windowing, etc., and are bogged down by a barely adequate
CPU.  A look through the mail-order discount houses also shows
the Mac is at least competitively priced.

So, I wonder, the Mac is overpriced compared to what?  It's
more expensive than the Kaypro or the myriad of other 8-bit
machines, but certainly a 16/32 bit machine can't compare in
price with an 8-bit machine (unless we're comparing
price/performance).  I think the answer is that the Mac is
overpriced compared to expectations, and perhaps Apple is
guilty of raising false expectations (I guess Scully is to
blame for shattering those expectations).

Finally, while we all would certainly like to see the Mac
cheaper (and everything else we purchase, too!), we need to
remember that this country is built on the profit motive.
According to Adam Smith, when demand exceeds supply prices
remain high.  Currently, Apple is able to sell more Macintoshes
than it can build, so the price is justifyably high.  Rumor has
it that it costs Apple around $600 to build a Mac (I assume
this includes parts and labor only), so we can surely expect
the price to fall once their production facilities are able to
keep up with demand.  In the meantime, I don't think we can
begrudge Apple their well-deserved profits.
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info-mac@utcsrgv.UUCP (info-mac) (05/15/84)

Date: Mon 14 May 84 10:09:50-PDT
From: Chad Leland Mitchell <uw-beaver!M.CHAD@SU-SIERRA.ARPA>
Subject: price
To: info-mac@SUMEX-AIM.ARPA

Individually, a few of Jerry's points make some sense, but taken together I
am not sure.  For example:
-Apple may be going for market share.  I am sure that they are based on
advertizing strategies, but we will not really know as long as they can sell
every Mac they can make at the current price.  If they drop the price as
production catches up to sales THEN we will know they are going for market
share.  Until then we do not know.
-To be useful by Jerry's definition, a Mac needs a second drive and a printer
which does not bring the price to $4000.  First he complained that the second
drive was not available.  Is he now complaining that it is available?
-Jerry's main concern about software is that there is not enough software
right now.  I cannot understand how changing the certified developer program
would help with that.  If Apple approved everyone who applied from here on
they would still contribute little software until soemtime next year.
-If I see a BYTE article which says that there are only 7 or 9 (or however many
there are right now) software packages currently available for the Mac, I hope
it also reads "(as of May 7)" or something like that.  The "Update" on the 
Macintosh and Lisa 2 in the current BYTE seems to have been written right after
the January 24th meeting.  With such a lag time, any claim to little software 
is likely to be very out of date.
-I am not too worried that no software will arrive.  I might be if it were all
still in design or development phases, but much of it is in Beta test and very
little that makes it to beta test does not really ship.
-We all want the software to be well tested and really custimized to take
advantage of the Mac.  We complain about the MS-Basic which seems to be a quick
port.  We also want all of that software right now.  I would rather wait till
June for well tested software than get something now that works as well as some
of the early software on some other machines.  The ONLY editor that I am aware
of for the IBM-PC when it was announced was EDLIN which as you might guess is
a line editor.

I do have a possible correction to make.  Rumors still seem to indicate that
in the early days of the Certified Developer program there was a 90% acceptance
rate.  When they reached about 1000 certified developers (far more than
anticipated) they seem to have decided to change that acceptance rate
significantly (this is just a rumor to me, but others seem to support this).
Perhaps when their staff figures out how to support the volume of developers
already accepted they will change the acceptance rate again.  Thus I stand
corrected.  Back when they told me that anyone with the right qualifications
would be accepted that was true, but it may no longer be true.
						Chad
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