Tim Cook on iPhone XS: People Want the Most Innovative Phone Possible and 'It's Not Cheap to Do That'

In an interview with Good Morning America's Robin Roberts this morning, Apple CEO Tim Cook discussed the new iPhone XS, XS Max, Apple Watch, and the recent exemption of some Apple's products from President Trump's proposed tariff on Chinese goods.

tim cook gma image
Roberts asked Cook about the cost of the iPhone XS and iPhone XS Max line, the latter of which is Apple's most expensive iPhone to date at $1,449 for the 512GB model. Cook explained that monthly payment plans provided by carriers help make the cost of the iPhones easier to digest.

He pointed out that all of the technology included in the iPhone, replacing previous separate gadgets like MP3 players and digital cameras, requires each smartphone to be priced at a premium. Cook also mentioned Apple's aim to "serve everyone," which he mentioned in an interview last week.

Roberts: "One model starts at almost $1,100, are you afraid that a group of people are being priced out?"

Cook: "Well we want to make an iPhone for everyone, that's always been our objective and we've got several iPhones in the line and they go down to materially lower. But if you look at this phone, it's the most advanced iPhone we've ever done.

The way most people pay for these...they do a deal with a carrier and they pay so much per month, so if you look at even the phone that's priced over $1,000, most people pay $30 a month for it, so that's about $1 a day. And so if you look at it, the phone has replaced your digital camera...it's replaced your video camera, it's replaced your music player, it's replaced all of these different devices. And so arguably the product is really important and we found people want to have the most innovative product available, and...it's not cheap to do that."

Cook then discussed the tariff situation, explaining that while the iPhone is assembled in China, parts of the device come from all over the world, including the United States.

The iPhone is assembled in China, but the parts come from everywhere. Including the United States, you know, the glass comes from Kentucky, there are chips that come from the U.S., and of course the research and development is all done in the United States.

So, I don't want to speak for them, but I think they looked at this and said that it's not really great for the United States to put a tariff on those type of products.

In regards to potential blowback from the Chinese government on this tariff exemption, and how this could impact consumers, Cook says he's optimistic that the U.S. and China will sort the situation out.

The topic then moved onto the company's record trillion dollar valuation, which it hit in early August, making it the world's only trillion dollar publicly traded company in terms of market capitalization. Cook says that, from his point of view, Apple "could only have been created in America," and as such he and his executives feel a responsibility to help the country thrive, including creating jobs and encouraging coding in public schools.

"And so we do that in terms of creating jobs, we've created 2 million jobs in America. We want to create even more, we're investing $350 billion in the country over the next five years and we're starting up facilities in a number of different places. We're really proud of that contribution, but we want to do more.

You can visit Good Morning America's Twitter account to watch the full interview, which also includes a discussion of the iPhone XS camera, Memoji, the Apple Watch Series 4's ECG monitor, fall detection, and more.

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Related Forum: iPhone

Top Rated Comments

KJL3000 Avatar
35 months ago
Is Tim actually explaining the higher prices today with built-in gadgets like camera and music player (without headphone jack, btw)?? This was a valid argument 10 years ago. Now it’s obviously a very lame excuse for justifying insane prices.

LOL
Score: 77 Votes (Like | Disagree)
nortonandreev Avatar
35 months ago
I don't think it's "the most innovative phone" if it's exactly the same as the last one.
Score: 71 Votes (Like | Disagree)
BootsWalking Avatar
35 months ago
He pointed out that all of the technology included in the iPhone, replacing previous separate gadgets like MP3 players and digital cameras, requires each smartphone to be priced at a premium

That happened 11 years ago Tim.

youtube.com/watch?v=x7qPAY9JqE4&t=2m27s ('http://youtube.com/watch?v=x7qPAY9JqE4&t=2m27s')
Score: 58 Votes (Like | Disagree)
0008652 Avatar
35 months ago
The world doesn’t only revolve around the U.S., I don’t have a 30$ monthly deal with my carrier nor do I get the iPhone upgrade program.

I would also love to hear his reasoning behind the inflated pricing in Europe. Even if I add a 20% tax on the dollar prices, the difference is noticeable.

Moreover, even though I could buy it I simply won’t. I cannot connect it to a screen and keyboard/mouse and magically have a Mac. It is still a phone with an ok camera (compared to a compact camera) that softens the details way too much.
Score: 57 Votes (Like | Disagree)
Spacedust Avatar
35 months ago
Better bring back the good old iPhone SE!
Score: 47 Votes (Like | Disagree)
tkermit Avatar
35 months ago
And so if you look at it, the phone has replaced your digital camera...it's replaced your video camera, it's replaced your music player, it's replaced all of these different devices. And so arguably the product is really important and we found people want to have the most innovative product available, and...it's not cheap to do that
You could do all of that 10 years ago already, when iPhones were generally much cheaper. As far as I can see, there's no mention of the innovation that would justify the recent price increase.
Score: 45 Votes (Like | Disagree)

Top Stories

apple music change forever

Apple Music Teaser: 'Get Ready – Music is About to Change Forever'

Sunday May 16, 2021 2:39 pm PDT by
The Browse tab in the Music app across Apple's platforms has started displaying a prominent teaser hinting at an upcoming major announcement for Apple Music. Under the heading "Coming soon," the headline says "Get ready – music is about to change forever." An accompanying "Tune-In Video" simply shows an animated Apple Music logo. Rumors have indicated that Apple is preparing to launch a...
m1 ipad pro early customer

M1 iPad Pro Arrives Early for Lucky Customer

Saturday May 15, 2021 11:57 pm PDT by
Days ahead of their expected launch and seemingly before official review embargoes lift, one lucky customer has already gotten their hands on the brand new 12.9-inch M1 iPad Pro. Reddit User PeterDragon50 Posted on Reddit, u/PeterDragon50 has already received their 12.9-inch iPad Pro through retailer Nebraska Furniture Mart. The Reddit user says they placed their order when pre-orders...
AirPods Lineup Not Lossless Feature

AirPods, AirPods Max and AirPods Pro Don't Support Apple Music Lossless Audio

Monday May 17, 2021 10:44 am PDT by
Apple today announced that starting in June, Apple Music songs will be available to stream in Lossless and Hi-Resolution Lossless formats, but lossless audio won't be supported on the AirPods, AirPods Max, or AirPods Pro. Apple's Lossless Audio is encoded as Apple Lossless Audio Codec files, with lossless quality ranging from 16-bit 44.1 kHz playback to 24-bit 48 kHz playback and Hi-Res...
apple music spatial audio

Apple Music Launching Spatial Audio With Dolby Atmos and Lossless Audio in June at No Extra Cost

Monday May 17, 2021 6:06 am PDT by
Apple today announced that Apple Music will be gaining support for Spatial Audio with Dolby Atmos at no additional cost starting in June. At launch, Apple Music subscribers will have access to thousands of songs in Spatial Audio from artists like J Balvin, Gustavo Dudamel, Ariana Grande, Maroon 5, Kacey Musgraves, The Weeknd, and many others. Apple says this feature will provide a...
M2 MacBook Pros 10 Core Summer Feature

Redesigned MacBook Pro Models With 10-Core Apple Silicon Chip Said to Launch as Early as This Summer

Tuesday May 18, 2021 5:39 am PDT by
Apple plans to launch new 14-inch and 16-inch MacBook Pro models with an improved iteration of the M1 chip as early as this summer, according to Bloomberg's Mark Gurman. The new chip is said to include a 10-core CPU with eight high-performance cores and two energy-efficient cores, with 16-core or 32-core GPU options. Gurman said the next-generation Apple silicon chip will also support up to...
imac 2021 box

Apple's New 24-Inch iMac Shown Off in Early Unboxing

Monday May 17, 2021 8:18 pm PDT by
Update: The early unboxing video was taken down, but other unboxing and first impression videos are now available. The new 24-inch iMac doesn't officially launch until this Friday, May 21, but an early unboxing of the machine has been shared on YouTube. The iMac unboxing video was made private subsequent to this story. The video from Gadget Guy is in Cantonese, but it offers an up-close...
apple music logo

Apple Music Teaser References 'Hi-Res Lossless' and 'Dolby Atmos'

Sunday May 16, 2021 4:04 pm PDT by
Earlier today, Apple Music began teasing a special announcement with the tagline "Get Ready – Music is About to Change Forever." This teaser comes amid a rumor that Apple is preparing to announce the third-generation AirPods alongside a HiFi, or lossless audio streaming tier for Apple Music on Tuesday, May 18. Now, references to "Apple Lossless," "Free Lossless," "Hi-Res Lossless," and...
Beats Studio Buds feature 3

New 'Beats Studio Buds' Revealed in iOS and tvOS 14.6

Monday May 17, 2021 11:10 am PDT by
Apple is working on new wire-free in-ear Beats-branded earbuds, according to images in the tvOS 14.6 and iOS 14.6 betas that were found by MacRumors contributor Steve Moser. The Beats Studio Buds are unlike any prior Beats headphones that Apple has released as there is no ear wrap as with the Powerbeats Pro or a wire like the Powerbeats. The Beats Studio Buds are tiny in design and are...
iPhone Hi Fi Apple Music Feature

Apple Music Gaining Spatial Audio and Lossless Audio in iOS 14.6, Not All Tracks Supported at Launch

Monday May 17, 2021 8:29 am PDT by
Apple Music's incoming Spatial Audio with Dolby Atmos and Lossless Audio features will be available in June on devices running iOS 14.6, iPadOS 14.6, macOS 11.4, and tvOS 14.6 or later, according to Apple. Apple said thousands of tracks will be available in Spatial Audio with Dolby Atmos at no additional cost, with more added regularly. Already available on the AirPods Pro, Apple describes...
AirPods Lineup Feature Triad

Apple Music Dolby Atmos Compatible With All AirPods Models and Other Headphones

Monday May 17, 2021 6:54 am PDT by
Apple today announced that starting in June, Apple Music subscribers will have access to higher quality Lossless audio streaming, as well as Dolby Atmos, which replicates an immersive audio experience. Despite Spatial Audio for movies and TV shows being only available on the AirPods Pro and AirPods Max, Dolby Atmos for Apple Music, which Apple describes as creating an "immersive audio format ...