Tim Cook says Apple products aren't only 'for the rich' ahead of iPhone X launch

Tim Cook says Apple's products not 'for the rich'Stephen Lam/Getty Images

Apple CEO Tim Cook has said the products from the company are not exclusively made for the rich.

In an interview with Fortune's Adam Lashinsky, Cook spoke about issues related to education, health care, privacy, and environment. The interview soon turned to the one thing that interests all Apple enthusiasts – the price of its products.

Lashinsk asked Cook about the company's strategy of selling "premium-priced, high-margin, high-end products," which has strengthened its value over the years.

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Cook was quick to deny the claim. "Well it's not high margin. I wouldn't use that word. There's a lot of companies that have much higher margins".

He said, "We price for the value of our products. And we try to make the very best products. And that means we don't make commodity kind of products. And we don't disparage people that do; it's a fine business model. But it's not the business that we're in."

Addressing the concerns over the price, Cook pointed out Apple's cheaper offerings – iPhones and iPads –are available in the market for about $300 (£227).

"But if you look across our product lines, you can buy an iPad today for under $300. You can buy an iPhone, depending upon which one you select, for in that same kind of ballpark," he said to express his notion on usual price concerns. "And so these are not for the rich."

Cook's remarks come amid rumors that suggest Apple's new iPhone X would touch the four figure mark at £1,000 (current top model starts at £580). The interview did not have any other details about Apple's upcoming devices, which are set to be unveiled on 12 September 2017.

The CEO also noted that they would not have over a billion devices in their active installed base if they were only making products for the rich. "That's a sizable number no matter who's looking at the numbers".

As of now, people can get an iPhone or an iPad at an affordable price. But, it is important to note those are older models. Apple keeps pulling the plug on its product portfolio, making the older iteration cheaper after a new product gets into the market. An Android device in comparison can go as cheap as £50.

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