Apple is increasingly transforming itself into a luxury brand. A year after debuting its first thousand-dollar smartphone, the company replaced it with two more. At the same time, it cut its lowest-priced iPhone. The moves could boost Apple’s near-term revenue and profits. But they could lead to stagnating phone sales and could discourage people from becoming Apple customers, which could have long-term consequences for the company.
Apple, it seems, has now fully bought into