Apple’s New iPhone 4G: Profits could be damaged

By Posted 18 May 2010, 05:32

We have a new report on the Apple iPhone 4G device to share with you now, which reveals that future Apple sales of the upcoming device could be ‘immensely damaged’, as a result of the prototype leak by Gizmodo.

According to this article from CNN Money, new court documents have been released, in which Apple’s attorney George Riley has condemned Gizmodo’s actions and warned that the leak would have a serious negative affect for Apple.

A quote from him reads: “By publishing details about the phone and its features … people that would have otherwise purchased a currently existing Apple product would wait for the next item to be released, thereby hurting overall sales and negatively [a]ffecting Apple’s earnings.”

You could argue that the phone was always going to be released anyway, and that this isn’t really an issue since everyone will still buy the handset regardless of if it was leaked or not.

Riley added that the estimated loss of earnings for Apple as a result of this leak could be ‘huge’. Give us your thoughts on this.

Do you think Apple are being slightly greedy, or do you believe Riley’s comments that sales will now be seriously affected?

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  • Chelsea

    I can see their point since I was going to get an iPhone but decided to wait and get the new one when it came out since the new features sounded so good but at the same time they're still going to get my money and since the new iPhone will probably be more expensive than the current models, they'll actually be getting MORE money than they would if everyone had bought current models. They may get the money later than they would otherwise but they'll also be getting more. So yeah, I do think it's kind of stupid that they're suing and making such a big deal out of it.

  • Brian

    I don't see how it matters because those people would just buy the iphone 4g anyway. I understand it damages the current 3gs sales immensely which I'm sure Apple wants to get rid of stock prior to this launch, but I think in the end the leak won't affect overall sales at all. As with all technology and cars alike, people kind of already figure as soon as they walk out of the store their product is already becoming obsolete and something new is in the works.

  • http://www.myspace.com/mesariot shane

    Apple is definitely being greedy. I mean they are acting in a business sense by trying to maximize their profits, because this definitely has stopped people from making purchases in order to wait until the new iphone comes out.

    But then again this is only getting more people to talk about the new iphone giving much more buzz about it, essentially starting to make the new iphone bigger than it would have normally been.

    "Mesa Riot"

  • Tyson

    If a new droid was coming out but someone leaked one of the phones before the release, you don't think their current sales would be hurt? Or they wouldn't file charges? Of course they would. So would any other type of electronic company in the situation.

  • Big Dave

    I don't think they'll suffer too much. I'm waiting for a new one, but many others are content with the current technology. People are still buying 3g's for $100 even though they were released in 2008. Apple will likely lower prices of current equipment and sell more once the new phone's released.

  • Narada A

    GREED!

  • TechlessTom

    Rubbish, I went to buy an iphone the other week and the store assistant volunteered the information that the new iphone would be out in a matter of a month or two (something I wasn't aware of) and advised to wait for the new one… The leak on Gizmodo has only served to make me even more eager for it's realise… it's a positive, not negative, in a market now saturated with alternatives.

  • Pavan

    Apple has definately being greedy and stupid. I for one along with others had an intution of a new launch in June – July hence i have been waiting for this new launch since.
    People who are not keeping an eye on development in market and apples treand would have surely gone and bought a model which will be out of date within months of buying it.
    Apple wants to maximise its profit and probably are expecting some sort of compensation from Gizmo but unfortunately they followed the book of law while publishing and handling the prototype.
    Apple will only loose this fight.

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