Why the Apple Watch can afford to cost thousands of dollars

Would you pay thousands of extra dollars for an Apple gadget made of gold?

Perhaps not, but the company is betting that at least some people will. Its Apple Watch Edition is made from 18-karat gold and will likely be very expensive – think thousands of dollars expensive – despite offering little to no extra functionality over the aluminum and steel models. Who would pay for such a thing?

Well, just ask Vertu.

Somehow, I don’t think many people are going to pay thousands and thousands of dollars for a watch, only to realise that everybody and their dog has the exact same one for 350 dollars. But hey, what do I know – I’m not rich.

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