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The eBook reader wars

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ljbirns:
Game consoles ( X Box, Playstations  etc.) are all about selling  games
Razors are all about selling blades
Smartphones are about selling airtime

wraith808:
That's quite the limited and short-sighted view of the different markets, IMO.  Computers are about selling software?  That's *one* focus... but considering that Google doesn't sell any software, that would sort of place that outside of the scope of your list, no?  That's just one example...

ljbirns:
Could be  ... but it is my view based on my experience in retail.
You only buy ONE reader ( game console, razor. cell phone )  etc  you potentially buy 100's of games, blades, software, and air time.

40hz:
Actually, not a sense of entitlement, as I do believe that they should be able to charge whatever they can.  But from the perspective of doing it so blatantly, and people actually joking on their side on the matter, it seems strange.
-wraith808 (July 07, 2010, 11:07 AM)
--- End quote ---

Agree. It is strange.

Apple has been milking something similiar for all it's worth.  ;D

But some people enjoy being beaten up too - so I guess we shouldn't be too surprised right?

  

JavaJones:
Virtually none of the computer component manufacturers sell software either. So where's their "razor cartridge" to keep them in business?

Could be  ... but it is my view based on my experience in retail.
You only buy ONE reader ( game console, razor. cell phone )  etc  you potentially buy 100's of games, blades, software, and air time.-ljbirns (July 07, 2010, 02:49 PM)
--- End quote ---

Isn't this potentially the same as saying the point of selling cars is to sell oil changes, tires, air fresheners, etc? The sales model you're talking about (razors) is pretty specific and very real in the industries that use it, but just because other markets have similar potential aspects doesn't make them the same. In the case of the razors (and printers), the same company sells both the item and its consumables. Also the item itself is generally sold very cheaply, possibly even at a loss, and the consumables are priced relatively high to recoup. Generally the item isn't even useful over the long-term without regular renewal of consumables, and that's just not true of computers (unless you consider electricity)

 I think the key though is that the same company is selling both the thing itself and its accessories (and also that the majority of profit does not come from the main device). This is arguably true for Apple of the iPod for example, since they sell iPods and tons of accessories but *also* tons of music. But it does not seem correct for the computer market in general. That is more of an "ecosystem" than a "razors and blades" scenario IMHO.

- Oshyan

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