Why would Apple release a $1,000 iPhone?

What’s great about Apple is its brand value.

I don’t know if it’s similar in the US or not but, here in South Asia, if someone carries an iPhone X then the level of respect for them increases automatically. People here judge iPhone users as more classic people who are in good financial standings.

Even celebrities use iPhones, no matter what phone they promote in their movies.

The mentality amongst people living here is that; Android phones are cheap and can be bought by anybody. While Apple is expensive and those who can afford it are classic and superior to the Android user.

Although both iPhone and Android phone provide the same experience, the iPhone gives people the value to be considered different than Android users, an incentive to be viewed by others (compared to Android users).

So, they pay for it, no matter what the price is. The more expensive the price, the more value it could create for its users.

From here:

To here:

In those long years, Apple’s business model has always been making products expensive, keeping sales high, and raising revenue. And what’s awesome is that they have succeed in it.

So, why would Apple release a $1000 phone?

Because that is what their business model is. They don’t want to make the whole world use an iPhone. They want iPhones to be used by those who could afford it and provide perfect service with value to them.

And that's what Warren Buffet also meant when he said, “ the iPhone is enormously under-priced.”