Phil Schiller: The iPhone was a 'Bet the Company Product'

Phil Schiller: The iPhone was a 'Bet the Company Product'

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Apple SVP Phil Schiller told the court that the iPhone was a 'bet the company product' while on the stand in a trial to determine damages owed by Samsung to Apple for patent infringement.

CNET reports that Schiller took the stand yesterday with about 11 minutes left in the session, giving him just enough time to introduce himself and speak about his role at Apple and the development of the iPhone.

"There were huge risks [with the first iPhone]," he said. "We had a saying inside the company that it was a 'bet the company' product...We were starting to do well again in iPod...Then here we're going to invest all these resources, financial as well as people, in creating this product."

At the start about 100 people were working on the iPhone. Now, "almost everyone" at Apple works on the device.

Apple is seeking $380 million in damages for infringement of five patents by thirteen Samsung devices. Samsung believes it should pay only $52 million.

The trial started on Tuesday and should take about six days before the jury deliberates. Most of yesterday was spent questioning Julie Davis, an expert accountant hired by Apple to determine how much Samsung owes the company. Davis said Apple lost sales because of Samsung's infringement, but even if they didn't, Samsung should pay $287 million.

MIT professor of marketing, John Hauser, analyzed the value of the patents on Apple's behalf, and testified that in a $199 smartphone, customers would pay $100 more for the features covered by three Apple patents. That includes the bounce-back effect on scrolling and other touch screen features.

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Phil Schiller: The iPhone was a 'Bet the Company Product'

it's about time... - November 16, 2013 at 12:21am
And finally the truth comes out... "Almost everyone" at apple works on the iPhone, and that was at the expense of all the loyal users of Apple's other product lines: that's why Apple had to drop the "it just works" ad campaign, because stuff just stopped working as the "lesser" product lines were neglected. However, I have hopes that now that Steve is gone, and more rational and balanced approach will be taken. The Maverick refresh and new Mac products support this, and I think Cook's attitude is better toward consumers. I'm hopeful.
Lolwut - November 15, 2013 at 6:35pm
Samsuck, can't go wrong with them!
Jack black - November 16, 2013 at 6:50am
The galaxy note 3 is a great phone. You can fit an iPhone inside the screen and download all types of things with ease for free. Apps on iOS that cost money are free in google play. Samsung is awesome
Nope - November 16, 2013 at 8:18am
Lmaoooo that was funny pirating apps is illegal like most of what samsung does cause if a app cost money on the App Store it has to on google play also plus samsung has nothing to do with google play and also the screen is outrageously huge why would anyone want that in their pocket !
Nat - November 16, 2013 at 11:43am
About app store, yes apps do cost money but it is getting the money worth downloading because I don't mine paying for them. @Jack if the phone is so great can I grab it with one hand or even use it with one hand because it's not necessary ti take up space like that for two hands!