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Is The Apple Tax America's Costly Obsession?

This article is more than 10 years old.

Reuters certainly seems to think that the passion for Apple products is indeed a costly obsession. I have to admit that I'm not quite sure myself:

But when it comes to immediate impact on their wallets, maybe they should be thinking about something else entirely: The Apple tax.

Americans are shelling out big bucks annually to outfit the entire household with Apple products. And they are spending hundreds - if not thousands of dollars - more each year for the unexpected Apple "taxes" -- add-ons that lock them into the Apple system: iTunes downloads for music, movies and games, along with subscriptions and accessories.

Within tech journalism (OK, alright, I confess, only over at The Register where I also write) we tend to refer to the Apple Tax as being just that premium that one pays for Apple products. The couple of hundred extra one pays over and above a similarly specced machine (but of course one not as desirable or lovely!) rather than the entire cost of the equipment. Similarly, we tend not to talk of the ecosystem as being the tax, for ebooks, MP3s and so on cost something wherever you get them (legally that is).

But even with those provisos, yes, there is indeed an Apple tax.

Martorana is hardly alone in forking over so much money to the tech juggernaut. In 2011, the average amount U.S. households spent on Apple products was $444, according to Morgan Stanley analyst Katy Huberty.

That figure has been rising smartly every year. In 2010 it was $295. Back in 2007, it was only $150.

That's an impressive number, certainly, but perhaps a little context. Median household income is around the $50,000 a year level. So we're talking about under 1% of household income here. That's some way from being a significant portion.

But this is where I really disagree:

Remember, this is not something that consumers are being forced to pay. They are dipping willingly into their own pockets, because they're essentially slaves to the devices.

That last clause. No, people voluntarily spending their own money as they desire are not slaves. They rather think that what they're spending their money on is worth more than both the money they're spending and also any alternative purchases that could be made with the same cash. That is, to them, this is good value. I might not agree as I'm not that into Apple's devices (nor anything much beyond a keyboard with a browser attached if truth be told). But the whole point of this freedom and liberty thing is that we each get to go our own way and decide what provides us with the most bang for the bucks we've got available. If it's Apple's shiny shiny that floats your boat well good luck to you. With all who sail in her.

As I say, that's the little bit I disagree with: this isn't compulsion, slavery or even addiction. It's a rational choice by consumers based on their own estimations of their own desires. As such it isn't a tax: it's a premium being paid to satisfy their particular desires.