Millions of people buy an iPhone every year and it forms the largest share of revenue for Apple.
We understand the frenzy – It’s a great product and a joy to use.
Congratulations to those who can afford it and are able to buy it. There are a few who even though they can’t really afford it, but they still end up buying it on loans / EMIs.
For the rest who are unable to buy it, read on.
Have you thought about how much it will really cost you to own an iPhone over your lifetime ?
An iPhone costs anywhere between Rs 50,000 to Rs 1 lakh depending on the model you buy.
Thats’ a lot of money to pay for a phone – One that you will use for a maximum of 2-3 years.
Instead of buying the iPhone , if you had instead decided to invest it in the equity markets and decided to forget about the investment for a couple of years, here is how much money you can potentially make:
Scenario for lower end iPhone – Investing Rs 50,000 instead of buying it, while using the balance amount to buy a cheaper phone.
- In 5 years, you will have Rs 1 lakh
- In 10 years, you will have Rs 2 lakhs
- In 33 years, you will have Rs 50 lakhs
Yes, your money will grow 100 times thanks to a superpower called compounding annually at a rate of 15% per annum
So yes, that’s what is the future value of your iPhone today – one that will become obsolete in a few years and worth zero if you actually end up buying it.
Some of you might say, ” Well what’s the point of earning money if you can’t spend it”
We are all for consumption and buying what you want .
This post is meant for those who might want to make a more informed decision, especially those who can’t really afford it or have not made any investments for the future as yet.