Report claims Apple saved $6.5 billion by removing charger and EarPods from iPhone boxes

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Report claims Apple saved $6.5 billion by removing charger and EarPods from iPhone boxes

Removing the charger and EarPods from the iPhone case allowed 70% more devices to be installed on a pallet

More boxes on a pallet will allow Apple to ship more phones to users simultaneously. As a result, using smaller boxes would allow Apple to reduce annual carbon emissions by 2 million metric tons, the company said. This is equivalent to taking 500,000 cars off the road.

But not everyone thinks Apple made the move, which has been copied by most of the major phone manufacturers including Samsung and Google, to help the environment. While many would agree that Apple removes the charger from iPhone cases for a “green” reason, the “green” they have in mind is the color of money.

An intelligent observer will note that Apple started this program with the release of its first 5G iPhone series, the iPhone 12. Could it be that Apple decided to offset the extra costs of including a 5G modem and other parts by taking the power unit and EarPods out of the box?
according to daily MailBy removing the charger and EarPods from the case, Apple has saved a total of £5 billion so far. This equates to $6.5 billion. But Apple did not lower the price of its phones when it removed the accessories from the iPhone box. At the same time, many iPhone buyers who wanted to quickly charge their iPhones had 5W adapters that came in the box with older models and had to spend $19 for a 20W charger and another $19 to replace EarPods.
Of course, we might be short selling Apple here. After all, some iPhone buyers may have decided to exchange their EarPods, which were out of the box until Apple removed them, for a pair of AirPods that are currently offered at $129 and up.

If a consumer just wants to replace EarPods, this can be arranged for an additional $19. So even if an Apple customer just wanted to add a charging brick and wired EarPods with their new iPhone, it would cost them an extra $38. When you think about the millions of iPhone units that Apple sells each year, that definitely flows into a lot of money pouring into Apple coffers.

Reducing the box size and allowing 70% more devices on each pallet would help Apple reduce shipping costs by 40% which in turn would allow the company to lower the price of the phone to consumers. Some analysts have calculated that Apple saves the equivalent of $35 on every iPhone they sell. However, there was no cost reduction from the company.

Since it announced that it was removing the charger and EarPods from the iPhone box, Apple is believed to have shipped 190 million iPhone units. The total amount of money Apple saved from this move to cut costs and add the amount of money it saved on shipping comes to £5 billion (or $6.5 billion). daily Mail calculated. In other words, if Apple transferred every cent of the savings to its customers, the public could be $6.5 billion richer.

But well, let’s say Apple can keep half of the amount you saved. This could have saved the public $3.25 billion. And we don’t even include the amount of money the public has spent on buying a new charger because they didn’t have one, or more likely, wanted one that charged at more than 5W.

And we don’t even include the $293.4 million that the program represents daily Mail He says Apple customers have been spending on accessories since the company felt stingy about what they put in the box along with the iPhone.

So let’s look at it this way. Apple saved money on shipping and by not having to buy the charging unit and EarPods that came in the box. Not only did the public not save money, but they also had to replace the accessories they wanted and which they no longer received “for free”.

That $6.5 billion goes directly to the bottom line, which increases Apple’s profits and raises Apple’s stock price. In return, executives like Tim Cook profit by millions of dollars while the public pays to replace missing accessories. Good job if you can get it.