Steve Jobs surprised everybody when announcing the aggressive cut in the price of the iPhone: shifting the high-end the 8-gigabyte iPhone model to US$399 from US$599. Of course, iPhone owners might feel upset, considering that their 2 months old mobile phone lost US$200 of its value within couple of minutes; while Apple announced to be on track to ship its millionth iPhone by the end of September, a quite amazing achievement.
Some analysts consider such announcement as expected in order to further increase the number of potential customers, and AT&T id also seeing it as a good move considering that 25% of iPhone owners are new AT&T customers. Of course, Apple shares immediately lost 5%, as some share holders were expecting premium prices to generate record benefits irrespectively of the goal to achieve a long-term success for the iPhone as expected by Steve Jobs and Apple management.
When one want to look behind the scene for identifying the reason of such price cut, we could come up
