My question is. How do people still spend $300-400 for a phone (or a $100/month+) cellphone plan if they are unemployed? or losing their homes? Maybe not paying rent and squating allows them to buy these things????
[/quote]
People who are in distress are not buying those. But that still leaves good 70% households who can afford this and do not have a smartphone. They are upgrading very fast this year from feature phones to this.
I remember reading somewhere that the movie industry did OK during the great depression, because people needed to escape somewhere from their day to day problems. Maybe the smartphone/app is the equivalent of movies in great depression.
It is becoming like the candy for adults.
Personally if the times get bad, I will give up on my cable, landline, movie nights and Wii before I give up on the smartphone.
