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AppleCare: To Extend or Not?
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Dedicated MacNNer
Join Date: Jun 2003
Location: Kula, Maui, Hawaii
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Aloha,
About 11 months ago I purchased a MD 1.25ghz G4 PowerMac. It has been an absolutely great machine, not a single problem has arisen and I've not once had to call Apple Tech Support. Never crashes, never malfunctions thus far.
I'm coming to the end of my window to purchase AppleCare. Something around $209 if purchased from a place like Small Dog.
Best I can tell, this model of PM has no known large issues (ie. ibook's logic board, emac's display foibles). Hence the question, is it worth spending at least 20% of the machine's current value to have 2 more years of warranty coverage?
Thanks!
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Moderator 
Join Date: Sep 2001
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I usually only recommend AppleCare for notebooks. But if you can find an AppleCare package for cheap, such as on eBay perhaps, it is nice to have for peace of mind.
But at the full price, for a Power Mac; not worth it I think.
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I like chicken
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Meow Mix, Meow Mix
Please de-liv-er
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Dedicated MacNNer
Join Date: Oct 2001
Location: Washington DC
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I would say no - industry wide extended warrantys are about 60% pure profit for the company selling them. Also - the most common things to wear out - the ones with moving parts - are also the cheapest to replace. A new hard drive is a hundred bucks, as is a new "superdrive". New fans are real cheap...
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Addicted to MacNN
Join Date: May 2001
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I'd agree with PowerMacMan and say no, unless you can get a good deal.
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Dedicated MacNNer
Join Date: Feb 2001
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Agree with the above posters. The house wins on extended warranties overall, so unless a failure would be catastrophic it's not worth it. Considering the replacement cost of a G4 tower is under $1000 and will drop further, I wouldn't do it.
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Dedicated MacNNer
Join Date: Jun 2003
Location: Kula, Maui, Hawaii
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Originally posted by 3.1416:
Agree with the above posters. The house wins on extended warranties overall, so unless a failure would be catastrophic it's not worth it. Considering the replacement cost of a G4 tower is under $1000 and will drop further, I wouldn't do it.
Thanks to all, I shall heed your advice and not purchase the extended warranty. I was leaning that direction anyway, but given its my first Mac since an Apple II+, I wanted to consult the wisdom bank here at Macnn  The thing has been so stable, plus I baby it with semi-regularly Disk Warrior and Repair Permission spa treatments.....
Thanks again,
John
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Addicted to MacNN
Join Date: Mar 1999
Location: Bellevue, WA
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I bought mine for the DP 1.25Ghz PowerMac G4.
Few weeks ago, the Pro mouse went bad and they exchanged one for me right away.
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Dedicated MacNNer
Join Date: Aug 2003
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we got it in case the monitor got messed up or something happened to it. We have a 17 inch apple studio display.
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Dedicated MacNNer
Join Date: Jun 2003
Location: Kula, Maui, Hawaii
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Originally posted by kpne1home:
we got it in case the monitor got messed up or something happened to it. We have a 17 inch apple studio display.
I bought a NEC 1760V flat panel display seperately and it came with a 3 year warranty. I don't use the Apple mouse very much, prefer one with 2 buttons and a scroll wheel, but if all that went wrong was a dead mouse, that would be a $200 mouse 
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Dedicated MacNNer
Join Date: Aug 2003
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I don't think it's really worth it for a Power Mac either. I have a Dual G5 and I doubt i would get it. On the other hand I have no problems on a Power Book, Apple display, or something just as fragile and expensive to replace.
Considering it for the ipod since it's half the cost of the battery replacement but if a 4-gen shows up soon with bluetooth then i'll use it towrd that instead.
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Forum Regular
Join Date: Nov 2003
Location: North Shore, HI
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My dual 1GHz MDD went out on me a few weeks ago. Turned out to be a bad processor so they replaced for free since it was on Applecare. Still have over a year left on my Applecare and I'm sure glad I purchased it. The repair would have cost me $500.00 if not for the APP. As with all extended warranties, it's all a gamble! I would recommend you purchase APP for your Dual Mac.
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Mac Pro 3.2 GHz Dual-Quad Core • iMac 2.66 GHz Intel Core 2 Duo • MacBook Pro 15" 2.0 GHz i7 Quad Core
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Dedicated MacNNer
Join Date: Feb 2001
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Originally posted by laieboy:
Still have over a year left on my Applecare and I'm sure glad I purchased it. The repair would have cost me $500.00 if not for the APP.
Sure, but hindsight is 20/20. Ex ante, you're paying $300 or so for a maximum potential "payoff" of around $1000 (the cost of replacing the whole machine, which actually goes down with time). Unless you have reason to believe there's a very high chance of failure, it's not a good buy. (The other reason would be if a loss would be catastrophic, which is why medical and auto insurance is a good idea. But if you can't sustain a $1000 loss from having to replace a Mac, you probably shouldn't have bought it in the first place).
As with all extended warranties, it's all a gamble!
Exactly. And like with most forms of gambling, it's not a good investment. Apple doesn't offer AppleCare as a charity. They make a profit from it, which necessarily means that buyers on average lose.
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Dedicated MacNNer
Join Date: Jun 2003
Location: Kula, Maui, Hawaii
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Another thing that bothered me was the graph in the letter Apple sends to offer AppleCare. The graph shows one red bar that indicates the cost of AppleCare, in this case, $250. Then it shows a black bar that indicates the average cost of a repair on a PM, looks to be about $350.
That makes one think, "gee, what a nice company, they're taking a loss on it just for me."
But it's misleading and rather sneaky. I assume the black bar is just the average cost of repair for those machines that need repairing rather than an indication of the average cost of repair for all machines sold, whether they needed service or not.
Yet even going by Apple's sneaky schtick, if your machine should need service, on average, you'd only be out $100 over the cost of AppleCare. Probably less if you can find a competent "shade tree" technician.
Thus in the end, on average, I'm only risking $100 by not buying AppleCare. Of course we're talking about a PM, not an laptop or emac, where the risk of needing repair is greater.......
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Forum Regular
Join Date: Nov 2003
Location: North Shore, HI
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Originally posted by 3.1416:
Sure, but hindsight is 20/20. Ex ante, you're paying $300 or so for a maximum potential "payoff" of around $1000 (the cost of replacing the whole machine, which actually goes down with time). Unless you have reason to believe there's a very high chance of failure, it's not a good buy. (The other reason would be if a loss would be catastrophic, which is why medical and auto insurance is a good idea. But if you can't sustain a $1000 loss from having to replace a Mac, you probably shouldn't have bought it in the first place).
Exactly. And like with most forms of gambling, it's not a good investment. Apple doesn't offer AppleCare as a charity. They make a profit from it, which necessarily means that buyers on average lose.
The APP is $249.00 not $300.00. Are you saying that sustaining a loss of $1000 is a better option then paying $249 for the APP? Maybe $1000 is not much to you but for the majority of us on these boards that's quite an amount to toss around.
I've already sent in my PM G4 for repair so now I'm already ahead $250 because the repair would have cost me $500. I plan to keep this computer much longer than three years so getting the APP was a non-issue for me. Just talking from experience!
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Mac Pro 3.2 GHz Dual-Quad Core • iMac 2.66 GHz Intel Core 2 Duo • MacBook Pro 15" 2.0 GHz i7 Quad Core
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Professional Poster
Join Date: May 2001
Location: Switzerland
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Originally posted by Starry Night:
About 11 months ago I purchased a MD 1.25ghz G4 PowerMac. It has been an absolutely great machine, not a single problem has arisen and I've not once had to call Apple Tech Support. Never crashes, never malfunctions thus far.
I was going to say no, don't get the warranty.
Then you did it! You tempted fate...
Now, I'd say invest, and be quick about it!
On a serious note, I got AC on my cube a while back, and after 2 years 11 months the '@' key fell off the keyboard and the mouse went lame.
Both replaced within 2 days.
If you intend on keeping the machine, for me, a warranty provides some decent peace of mind.
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Dedicated MacNNer
Join Date: Feb 2001
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Originally posted by laieboy:
Are you saying that sustaining a loss of $1000 is a better option then paying $249 for the APP?
No. If I knew with certainty that the machine would break, of course I'd get APP. But I don't. In fact, there's a less than 25% chance it would happen, because Apple makes a profit on it. So yeah, I'm saying that the possible loss of $1000 is better than the guaranteed loss of $250. Sometimes I'll get unlucky, but in the long run I'll come out ahead.
Maybe $1000 is not much to you but for the majority of us on these boards that's quite an amount to toss around.
Yes, $1000 is a good chunk of change. So is $250, and I see no reason to spend that much on what is essentially a gamble with the odds against you. (Yes, the odds are against you with all insurance. The difference is that a $50,000 hospital bill can ruin you financially, while a $1000 computer replacement really shouldn't).
I've already sent in my PM G4 for repair so now I'm already ahead $250 because the repair would have cost me $500. I plan to keep this computer much longer than three years so getting the APP was a non-issue for me. Just talking from experience!
And of the 4 Macs I've owned not one has needed service in the period covered by AppleCare, so I've saved around $1000 by not getting it. But trading anecdotes is pointless. The fact remains that as long as Apple profits from AppleCare, buyers on average lose.
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Fresh-Faced Recruit
Join Date: Dec 2002
Location: Bridgeport, Connecticut, USA
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One thing most people seem to forget is that most credit cards extend the manufacturer's warranty for another full year. The Mastercard I used to buy my new Powerbook last month has this feature, so I'm covered until April 2006. BTW, the Applecare plan for a Powerbook is $349, not $249 like desktop systems which is expensive as it is.
(Last edited by php; May 31, 2004 at 01:20 PM.
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Forum Regular
Join Date: Nov 2003
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If you plan to spend $5,000.00 on a system (which is how much I spent, including monitors, etc.) then $250 is not much to spend at all. I'm just glad I did.
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Mac Pro 3.2 GHz Dual-Quad Core • iMac 2.66 GHz Intel Core 2 Duo • MacBook Pro 15" 2.0 GHz i7 Quad Core
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Professional Poster
Join Date: Jul 2002
Location: Hanging on the wall at Jabba's Palace
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Originally posted by Kenneth:
I bought mine for the DP 1.25Ghz PowerMac G4.
Few weeks ago, the Pro mouse went bad and they exchanged one for me right away.
And how much did that mouse end up costing you in the end? 
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"Laugh it up, fuzz ball!"
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Junior Member
Join Date: Mar 2004
Location: Palo Alto, CA
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AppleCare is about peace of mind. If your computer is your livelihood, or even your favorite toy, it's worth buying. If it isn't, it's not. That's my take on it. I didn't buy it for my dual 1ghz quicksilver, and in retrospect I would have. For the record, nothing has gone wrong with this computer. Not one thing. I'm lucky. Things happen. Stuff breaks. Usually, it's less expensive than applecare. Sometimes, it's not - it's for those people that the extended warranty is a good thing.
There's something else to consider - AppleCare is support. Phone support. I am lucky enough to live close to an apple store, but many people aren't, or just don't want to have to lug a g5 out of the office. For these people, needing help with some issue or another, AppleCare can be the savior of a day's work.
You can play the odds all you want. If you bought 1000 computers, you ought to come out as the loser, with Apple making some money off you out of the AppleCare money for those computers. If you used all of those computers and didn't want any of them to be unusable for any lengthy period of time, it would suddenly make the peace of mind that much more valuable.
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I have no credentials whatsoever to post here.
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Forum Regular
Join Date: Jan 2002
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Consider my situation. My phone support has expired. I have a power supply in my G5 that needs to be replaced. I'm also unable to play any games without it locking up, so that needs to be addressed as well.
I could still sell the computer and get close to what I paid for it. I also have the option of dragging this thing to my nearest Apple Store, which, considering its weight, isn't all that convenient. There is also the added hassle of removing all of my personal files from it. In addition I am afraid it may return to me in a worse state than when I left it. Call me paranoid, or really really paranoid, if it makes you feel better.
The last option is that I could extend the Applecare, which I wasn't planning on doing before these problems, get my phone support back and hope I can get them to bring somebody out here and look at my G5. Then if any parts need to be replaced, I know exactly what's being done to it.
What would you do in my situation? I haven't been able to make up my mind. My girlfriend thinks that I should extend the Applecare.
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Junior Member
Join Date: Mar 2004
Location: Palo Alto, CA
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Keep in mind that coming out to see you isn't something that AppleCare does. They'd likely point you at the consultant network.
Removing your personal files ought not be an issue - the exception is when you are sending your computer away to an applecare facility. They seem to have a tendency to wipe drives very often.
Lugging can be a pain. Make the Store staff at least lug it to and from your car for you.
Remember that the phone support is really seperate from the extended warranty. If you call for a warranty repair it's a whole different ballgame.
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I have no credentials whatsoever to post here.
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Forum Regular
Join Date: Jan 2002
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Originally posted by BurningBright:
Keep in mind that coming out to see you isn't something that AppleCare does. They'd likely point you at the consultant network.
You're sure? I thought they did. I read what some others had posted about their experiences and also I saw this on Apple's Applecare information page:
Convenient repair options
The AppleCare Protection Plan includes up to three years of onsite service for desktop computers.*
The * is "not available in all locations", but elsewhere I saw it stated that you could have someone come out to your place if you lived within 50 miles of a service center.
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Professional Poster
Join Date: May 2001
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Originally posted by jon l. dawson:
Consider my situation. My phone support has expired. I have a power supply in my G5 that needs to be replaced. I'm also unable to play any games without it locking up, so that needs to be addressed as well.
I could still sell the computer and get close to what I paid for it. I also have the option of dragging this thing to my nearest Apple Store, which, considering its weight, isn't all that convenient. There is also the added hassle of removing all of my personal files from it. In addition I am afraid it may return to me in a worse state than when I left it. Call me paranoid, or really really paranoid, if it makes you feel better.
The last option is that I could extend the Applecare, which I wasn't planning on doing before these problems, get my phone support back and hope I can get them to bring somebody out here and look at my G5. Then if any parts need to be replaced, I know exactly what's being done to it.
What would you do in my situation? I haven't been able to make up my mind. My girlfriend thinks that I should extend the Applecare.
Is a small amount of hassle *really* not worth getting your machine fixed?!
I really do think you are paranoid. Not trusting repairers, so you are continuing to use a faulty machine... sheesh. The world had gone mad.
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Forum Regular
Join Date: Jan 2002
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Originally posted by The Placid Casual:
Is a small amount of hassle *really* not worth getting your machine fixed?!
I really do think you are paranoid. Not trusting repairers, so you are continuing to use a faulty machine... sheesh. The world had gone mad.
Well, whatever, I have seen for myself the operations of a computer repair center, and I believe I've got good reason to be concerned.
I am going to fix it one way or another. I'm planning on doing all my backups tonight.
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Fresh-Faced Recruit
Join Date: Jun 2004
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Originally posted by laieboy:
.....Are you saying that sustaining a loss of $1000 is a better option then paying $249 for the APP? Maybe $1000 is not much to you but for the majority of us on these boards that's quite an amount to toss around.
.....I've already sent in my PM G4 for repair so now I'm already ahead $250 because the repair would have cost me $500. I plan to keep this computer much longer than three years so getting the APP was a non-issue for me.
Please don't take offense but your are an insurance companies' dream come true.
The fact is "sustaining a loss of $1000" is "better" than paying $249.
1) Firstly there is the odds. Do you think you have a 1:4 chance of having a $1,000 fully coverable jardware loss on your g4 or g5? If one did they would be a fool to buy such a machine in the first place.
2) secondly is the loss of value of a present vaule investment which is astonomically multiplied on computer equipment. Your $2500 machine is worth about $1200 after 18 months. The individual compontents also drop similarly in value.
Do you really want to spend $250 today so you can send out your machine to replace a failed $120 mg hard drive with an 120 mg when a 250 mg will cost you $100 18 months from now?
I have had macs and pcs, top-end and very very low-end for 20 years. Except for a notebook I have yet to bother making a single claim on the original warranty never mind even consider getting an extended.
Extended warranties are the absolute highest profit margin insurance product there is. Every consumer group dcries them as one of the worst purchases a person can make. You can bet apple calculated their costs at $100 and want to charge you $250. With consumer electronics, and that is what your g5 and g4 are, they are espcially lacking in value and rely on a known psychological phenomina called "buyers remorse", i.e. you spent a lot of money and feel less guilty if you protect your "investement." After the maufactureres warranty runs out, you do have "investments" in your machine, namely your data and your knowledge of the machine. NONE of this is protected by any warranty, extended or not.
For the $250, your money is much better spent on mirroring your data. This is especially true of laptops which are stolen or dropped much more than warrented failure, but is also absolutely applicable to desktops.
After 20 year of using computers IMHO data backup is the only "insurance" you need.
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Addicted to MacNN
Join Date: Mar 1999
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Originally posted by Socially Awkward Solo:
And how much did that mouse end up costing you in the end?
well.. since my AppleCare agreement expires on Feb/2006.. there may be a chance that my PowerMac G4 will break down in this period. who knows.
It is on 24/7..
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