By now, Apple’s business model is pretty obvious. While everyone else tries to sell more and more cheap stuff, and even give things away for free, Apple sells less expensive stuff at a huge markup.
This has never been more clear than in the new home assistant market. Amazon and Google have ocme out with cheap devices that they hope will become ubiquitous. Amazon, for example, wants Alexa to be embedded in all sorts of home appliances. Neither Amazon nor Google need to make big profits on selling the devices. They want to make money on the services that flow through them. Apple is now coming out with its “home pod” that is twice the price – and has much better speakers. Huh?
In other words, Apple is not trying to caputrethe entire market. It will fight to capture the upscale users and is bettering that these folks will pay for quality sound and Siri.
Will this work?`Stay tuned.