Apple Made $6.5 Billion Selling Its Accessories Separately

When Apple unveiled the iPhone 12 in 2020, it promised that it will have a long-term impact on the smartphone market. Apple has stated that beginning with the iPhone 12, it will no longer include a charging cable or earbuds in the standard iPhone box. To back up their choice, they said that not including these attachments helps to build compact packaging and enables 70% more boxes to be transported, which decreases carbon dioxide emissions as well as the exploitation of raw materials necessary to produce them.

Apple’s Excuse

Apple

Apple estimates that this minor modification would reduce annual carbon emissions by almost 2 million metric tons, or even equal to eliminating about 450,000 automobiles off the road each year. That’s not all: Apple didn’t tell you that removing EarPods plus chargers from the smartphone packaging will help raise company earnings by more than $6.5 billion. The Daily Mail recently reported that Apple retail locations still offer earbuds and chargers individually for around $19 apiece. In addition, because of their lower production costs, Apple may be able to save $35 on each accessory.

Adding to this, Apple saves money by removing these extras from the iPhone packing, resulting in reduced overall packaging and hence more revenue. With these figures as well as the reality that Apple has delivered approximately 190 million iPhones since 2020 and roughly $296 million in peripherals, it is predicted that Apple has made earnings of up to $6.5 billion.

However, it’s noteworthy to note that even though these peripherals have been removed from the current iPhone devices, Apple continues to offer them at their original pricing point.

Apple

The business explains this by pointing out that the latest iPhones have better optics and quicker processing, making them more expensive. Google and Samsung, who were first slammed for this choice, have now jumped on board. For the first time, Samsung and Google are not offering any peripherals with their latest smartphones.

In the past, they’ve also imitated Apple’s lead and removed the headphone port, and added a notch to their handsets’ displays. It’s important to remember, though, that environmental concerns aren’t the only ones driving these decisions.

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