On Tuesday, Apple Inc. will introduce its latest top-of-the-line iPhone, and even the cheapest model is expected to cost about $1,000. A few days later, Samsung’s Galaxy Note 8 goes on sale for a comparable amount. The iPhone is expected to be made from glass and stainless steel, while the Note has an exceptionally large, bright screen with a metal-and-glass case. New features for the iPhone will include upgraded cameras and the ability to unlock your phone with a 3D scan of your face. All that stuff has pushed up prices, and there’s a risk that even many longtime early adopters will balk at laying out four figures, including tax.
“A thousand dollars is a line in the sand,” says Ramon Llamas, an analyst at researcher IDC. “There’s going to be a comparison of what $1,000 is to people’s everyday lives, and whether or not that purchase is justified. For some people, $1,000 represents a single paycheck. For others, it represents several weeks of groceries.”