The following video is part of our "Motley Fool Conversations" series, in which analyst Bryan Hinmon and analyst Charly Travers discuss topics across the investing world.
A Wall Street analyst made waves recently by downgrading Apple's stock, fearing that subsidies for its iPhone will be going away. Without a subsidy, will customers be willing to pay the premium price for a new iPhone? Bryan and Charly discuss how history and the entrenched telecom business model impact the likelihood of vanishing subsidies.
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