March 1, 2010
I really do hate journalists who think they are correct, and have spun a story out of nothing, when you actually reveal the facts. I don’t know why they do it, maybe it’s an honest mistake, and it creates a story. Maybe it is just that they have not done any research.
I came across this article today, which clearly states to have found out the prices of the Apple iPad when released in the UK from whatever rumoured sources it found. It’s basically taken it from a website I’ve never heard of, and I’m somewhat of a geek. So, according to either the telegraph or geeky gadgets, the iPad in the UK is “significantly more expensive and Apple’s US iPad Prices”
It goes on to quote that a US Entry model is $499 which is equal to £326, giving us a $1.53 = £1 exchange rate. Well that’s already out of date, as the exchange rate plummeted today, and is actually nearer to $1.49. That’s by the by, maybe Apple have agreed on UK pricing before the exchange rate plummeted, and we’ll stick with the £326 for this argument.
However, and this is the crux of this discussion, so keep with me. I won’t be able to wander into the Apple Store on Fifth Avenue in New York with only $500 in cash, and walk away with an iPad. That’s because the price that is the headline shout in the US is ex tax, so in NYC, it’ll be 8.875% higher. Similarly, that UK price of £326 will still be subject to 17.5% VAT which is what electronic goods have in the UK, suddenly making the £326 = £383.05 inc VAT.
I’m pretty sure, the argument of “significantly more expensive” goes straight out of the window when it’s actually under £10 difference.
Telegraph – shame on you for not researching correctly. I bet my comment won’t be published, but at least someone else has already pointed it out!
EDIT – Oh, my comment did get published!
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