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So How Does Apple Fill Product Gaps?

January 11th, 2010

When you don’t know what’s going on with Apple, it’s perfectly reasonable to look over their product lineup and see what gaps might be filled. That, alas, can be a double-edge sword.

Take the desktop lineup. Three models, but no affordable expandable model. The Mac Pro is simply too rich for most Mac users, and, despite its incredible number-crunching capability and the loads of expansion opportunities, most owners never go beyond adding RAM or maybe a second internal hard drive. Indeed, my last two Mac Pros were outfitted in just that fashion, although I did upgrade from the stock graphics card during the initial purchase, since those cards tend to be rather underpowered for such a costly product.

So looking for opportunities, some Mac authors (including your humble author) posited a midrange minitower or perhaps a headless iMac that would offer essentially the same performance as Apple’s mainstream desktop but afford additional opportunities to add stuff internally. This harkens back to the legendary Mac IIcx and its successors, which were quite compact for what they offered.

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Apple’s Financials: Two Out of Three Ain’t Bad

July 21st, 2009

Suppose I told you a few months ago that Apple would come out of the April through June quarter with the highest revenues ever for a non-holiday period. Would you believe me, or just assume that the worldwide recession would make it impossible even for Apple to deliver credible financial results?

Certainly many financial analysts delighted in finding every single indication of faltering sales, and spent plenty of time telling us that Apple had the wrong product mix and needed to build cheap Macs, including netbooks, to remain a credible contender.

In recent days, with growing indications that Mac sales had recovered and then some, the predictions have become more optimistic, but, as usual, Apple still beat the street. Why am I not surprised?

For the quarter ending June 27, which Apple counts as the third quarter for their fiscal year, they reported revenue of $8.34 billion and a net profit of $1.23 billion, amounting to $1.35 per diluted share. This compares to last year’s totals of $7.46 billion, with a net profit of $1.07 billion, or $1.19 per diluted share.

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The Crazy Demands of Apple’s Critics

January 14th, 2009

You know if a tech pundit or financial analyst was fully capable of running a multinational corporation with over 30,000 employees and sales of tens of billions of dollars a year, they wouldn’t be working for peanuts at their present jobs. They’d be raking in hundreds of millions of dollars with some company demonstrating their incredible management skills.

That, however, doesn’t stop us from criticizing a company when we feel they can do something better. Of course, when it comes to Apple, they listen to customer complaints, at least sometimes, and media demands tend to roll off their backs.

Recently, for example, I’ve read rumors suggesting Apple is about to release a 4GB version if the iPhone, primarily for overseas markets where paying the present retail price is difficult.

Should such a product appear, it would be the same iPhone 3G that we all know and love, except for a memory chip with less capacity. Period. Supposedly that would allow Apple to arrange for carriers to offer it for $99 or even less. Now in case you’ve forgotten, the original iPhone did come in a 4GB version, one that didn’t sell very well, so Apple phased it out quickly.

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Newsletter #426 Preview: Turning Good News Into Bad

January 27th, 2008

As I was listening to some talking heads debate Apple’s financial prospects on a 24-hour cable TV show this weekend, I had the vain hope that they would provide a needed dose of reality upon the bad tidings surrounding Apple Inc. these days.

In the end, it was a mixed bag. One financial analyst said Apple was doing just dandy, thank you, while another said Apple’s stock has long been overpriced, and was a better buy at $125 per share. My conclusion is that they really don’t know, but they got on that show because they can provide instant pithy comments on a variety of financial matters that sounded great on TV. It doesn’t matter if they know what they are talking about or not.

It never does, sad to say.

But after it became clear that you can’t fault a company for having record sales, despite a basically gloomy economic outlook, the nasty, noisy negatives of the financial and tech press decided to embark in the incredibly wrong-headed search for the missing iPhones.

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