They're also perhaps expecting the dollar to depreciate.
Considering we're in a global recession, the Federal Reserve in the US has openly manipulated markets and the value of the dollar, Apple has done pretty well.
Of course the latter, since any time anyone says Apple will do something and they don't, there's no recognition thereof. This has nothing to do with integrity or chutzpah whatsoever. I see no logical reason for the existence of a smaller iPad, just as I saw no logical reason for the existence of a smaller iPhone. If Apple thinks there is one, they're welcome to try. They've been quite wrong about a desire/market/purpose for some products before.
So the fact that record numbers of people are buying iPads is proof that there's no window for any other size? I hope you're not taking a critical thinking course. You just failed if you are.
No, you haven't even begun to get it: there's no purpose for a smaller one.
I see that you're still thinking that you're the only one entitled to an opinion. Why should anyone listen to your opinion over the tons of people who posted here who DO see a need for a smaller one?
Apples and oranges. This article compares Apple's results to the year ago quarter. Apple grew handsomely (20% increase in profits). The analysts predicted a larger increase, but Apple never promised it. In fact, Apple beat its own guidance, as well. So where is the lie?
Apple cares about the user experience more than anything. From a usability perspective, a 7" tablet is worse at everything than a ~10" one.
And the user experience of a 27" iMac is better than a 21". Apple should drop the 21" iMac. And they should drop the 16 and 32 GB iPhones. And they should only sell dual processor Mac Pros. And the MacBook Air line should be eliminated entirely and they should only sell the 15" rMBP.
See how silly that sounds? "worse than a 10" one" doesn't mean "bad". It's also better at many things and equal at many more.
A 7% decline in gross margins is pretty significant. That means Apple is willing to sell at lower prices so that there isn't much of a price umbrella for competition to succeed. I can see them offering a 7.85" iPad at $200 to $250 level to prevent Google and Amazon from succeeding.
The GM decline is very surprising. There are several options:
1. Lowering their prices to be competitive. Since sales are still growing at double digit rates, that doesn't seem likely.
2. Major change in product mix. This is likely to be part of it. If a new iPhone comes out in October and they're already seeing some customers holding off, they may be predicting lower iPhone sales next quarter (I didn't check their projections). Since the iPhone is quite profitable, a drop in sales would reduce overall margins.
3. Changing exchange rates. Since so much of what Apple sells is imported, a weaker dollar would hurt margins in the US. However, less than half of their business is in the US, so the impact would be reduced somewhat. Products sold in other countries could get higher or lower margins depending on relative exchange rates.
4. Major increase in manufacturing cost. This doesn't seem likely unless they know something that hasn't hit the business newspapers yet.
In any event, a 7% swing in margins over one quarter is HUGE.
So the fact that record numbers of people are buying iPads is proof that there's no window for any other size? I hope you're not taking a critical thinking course. You just failed if you are.
No, I'd say more the fact that people aren't moving to existing 7" tablets in droves is reason enough to think the majority doesn't want a smaller one. And don't claim it's because there's no "iOS version" of a 7" tablet, because that didn't stop people from moving away from the iPhone.
They can put the 32nm A5 in which will reduce power consumption and give the same performance. The smaller screen will also consume significantly less power. Even though the battery will be smaller, the capacity should easily be offset by the screen and new A5. Result is the same performance and same battery life.
It would be better for reading e-books because of the weight. It would be better for kids in early grades (like K-3) because of the smaller size. You could mount it in your car as a NAV much easier than the regular iPad. It would be a good way to get into gaming and challenge the Wii U or Vita. It would be something parents are a little less wary to give to kids because of the lower price.
I'm not sure I'd use one. But people are buying smaller tablets so there is a market for them. If Apple made a smaller iPad they'd deal a serious blow to their competitors who only seem to have success in this market and can't compete at all against Apple in the 10" tablet space.
And if they were to put an A5 in it what would be the price? I'm sure it'd be higher than the $249 target many here think the Mini would need to succeed.
Apple cares about the user experience more than anything. From a usability perspective, a 7" tablet is worse at everything than a ~10" one.
This is just like the netbook craze five years ago. Companies made 7" laptops. No one actually wants a 7" laptop, since they're unusable. So netbooks got bigger. They made 8" and 9", and finally netbooks settled around 10" before becoming completely worthless. Let's ISOT Apple away in… 2007. I figure netbooks would have only gotten even bigger until they weren't even netbooks anymore, but rather very cheap, very poorly hardware'd laptops.
I think you will be very much proven wrong on the iPad mini debate.
No, I'd say more the fact that people aren't moving to existing 7" tablets in droves is reason enough to think the majority doesn't want a smaller one. And don't claim it's because there's no "iOS version" of a 7" tablet, because that didn't stop people from moving away from the iPhone.
If the big three of Walt Mossberg, David Pogue and MG Siegler all have good comments on Google's Nexus 7 it's either signaling the End of Days or there's something worthy about 7" tablets.
iPod touch accounted for more than half of iPods sold, and iPod sales were higher than Apple expected.
No actual numbers? I suspect that's because the sales are falling at an alarming rate. Not sure the next iPod Touch will do much to arrest that. All the kids will want an iPad Mini for Christmas instead of an iPod this year and I still maintain the iPod Touch is simply too expensive compared to the increasing number of decent smartphones for under £200.
No, I'd say more the fact that people aren't moving to existing 7" tablets in droves is reason enough to think the majority doesn't want a smaller one. And don't claim it's because there's no "iOS version" of a 7" tablet, because that didn't stop people from moving away from the iPhone.
Again, your logic fails.
In order to buy a 7" tablet today, they'd have to not only choose a different tablet size, but an inferior OS and inferior hardware. Plus, 7" tablet sales have been significant (something like 20% of the entire tablet market). There's no way of knowing how many people would buy a 7" APPLE tablet based on the sales of the existing 7" tablets.
Wasn't there any statement about the supposed imminent dividend?
Probably didn't want the share price to tank any further than it already has in after hours trading (down over 5% at 23.20 GMT). Probably announce it later when the markets calm down.
There's no way of knowing how many people would buy a 7" APPLE tablet based on the sales of the existing 7" tablets.
One way to solve this debate - release the iPad Mini and see how many it sells. If nobody buys it then axe it. Problem solved, debate over. We will all know the numbers and the iPad Mini doubters can move on to whining about something else.
No actual numbers? I suspect that's because the sales are falling at an alarming rate. Not sure the next iPod Touch will do much to arrest that. All the kids will want an iPad Mini for Christmas instead of an iPod this year and I still maintain the iPod Touch is simply too expensive compared to the increasing number of decent smartphones for under £200.
iPod sales declined 10% from 7.5M a year ago to 6.8M.
One way to solve this debate - release the iPad Mini and see how many it sells. If nobody buys it then axe it. Problem solved, debate over. We will all know the numbers and the iPad Mini doubters can move on to whining about something else.
Please tell me you only forget to add the /s to the end of this post.
And if they were to put an A5 in it what would be the price? I'm sure it'd be higher than the $249 target many here think the Mini would need to succeed.
The smaller screen will cost less. The smaller battery will cost less. The smaller size of the case means it will be cheaper (and easier) to make and still offer high quality.
The iPad is what people want. Apple can charge $50-100 more for a tablet than anyone else can because there's additional perceived value in an iPad. They can do an 8GB for $249 and a 16GB for $299 ($50 more than Nexus) and still make money, IMO.
The smaller screen will cost less. The smaller battery will cost less. The smaller size of the case means it will be cheaper (and easier) to make and still offer high quality.
The iPad is what people want. Apple can charge $50-100 more for a tablet than anyone else can because there's additional perceived value in an iPad. They can do an 8GB for $249 and a 16GB for $299 ($50 more than Nexus) and still make money, IMO.
As I've said they might "make money" but the profit margins will be far lower and the Mini will probably cannibalize 30% of the higher margin iPad's sales.
Remember we're talking about a device that's screen is not even 2 inches smaller. It's still a big sheet of glass needed and if it has Retina like so many are hoping the battery will still have to be a decent size and all these components need to fit in a smaller case.
There really isn't much cost benefit if the specs match the current iPads. If they want to price it at $249 I think we're looking at an A4 chip at best and low res screen.
The smaller screen will cost less. The smaller battery will cost less. The smaller size of the case means it will be cheaper (and easier) to make and still offer high quality.
The iPad is what people want. Apple can charge $50-100 more for a tablet than anyone else can because there's additional perceived value in an iPad. They can do an 8GB for $249 and a 16GB for $299 ($50 more than Nexus) and still make money, IMO.
I'm not sure about a smaller iPad at all, but if it came to fruition, I think a 16GB $299 makes since, but not an 8GB $249. The don't even sell a current model iPhone with 8GB anymore.
But with a possible larger-screened iPod Touch (to match the speculative larger-screened 6th gen iPhone), will an iPad mini still be necessary?
If the big three of Walt Mossberg, David Pogue and MG Siegler all have good comments on Google's Nexus 7 it's either signaling the End of Days or there's something worthy about 7" tablets.
Anything that's priced that low is going to get good reviews. The Nexus is great for the money. Fact is Apple isn't going to release a product that offers them no profits (after R&D is accounted for you can't tell me Google isn't coming in at a loss on the Nexus).
Comments
Quote:
Originally Posted by anantksundaram
They're also perhaps expecting the dollar to depreciate.
Considering we're in a global recession, the Federal Reserve in the US has openly manipulated markets and the value of the dollar, Apple has done pretty well.
Quote:
Originally Posted by Tallest Skil
Of course the latter, since any time anyone says Apple will do something and they don't, there's no recognition thereof. This has nothing to do with integrity or chutzpah whatsoever. I see no logical reason for the existence of a smaller iPad, just as I saw no logical reason for the existence of a smaller iPhone. If Apple thinks there is one, they're welcome to try. They've been quite wrong about a desire/market/purpose for some products before.
For an opposing and well-reasoned point of view.
http://www.macworld.com/article/1167833/opinion_googles_nexus_7_makes_the_case_for_a_smaller_ipad.html
So the fact that record numbers of people are buying iPads is proof that there's no window for any other size? I hope you're not taking a critical thinking course. You just failed if you are.
I see that you're still thinking that you're the only one entitled to an opinion. Why should anyone listen to your opinion over the tons of people who posted here who DO see a need for a smaller one?
Apples and oranges. This article compares Apple's results to the year ago quarter. Apple grew handsomely (20% increase in profits). The analysts predicted a larger increase, but Apple never promised it. In fact, Apple beat its own guidance, as well. So where is the lie?
And the user experience of a 27" iMac is better than a 21". Apple should drop the 21" iMac. And they should drop the 16 and 32 GB iPhones. And they should only sell dual processor Mac Pros. And the MacBook Air line should be eliminated entirely and they should only sell the 15" rMBP.
See how silly that sounds? "worse than a 10" one" doesn't mean "bad". It's also better at many things and equal at many more.
The GM decline is very surprising. There are several options:
1. Lowering their prices to be competitive. Since sales are still growing at double digit rates, that doesn't seem likely.
2. Major change in product mix. This is likely to be part of it. If a new iPhone comes out in October and they're already seeing some customers holding off, they may be predicting lower iPhone sales next quarter (I didn't check their projections). Since the iPhone is quite profitable, a drop in sales would reduce overall margins.
3. Changing exchange rates. Since so much of what Apple sells is imported, a weaker dollar would hurt margins in the US. However, less than half of their business is in the US, so the impact would be reduced somewhat. Products sold in other countries could get higher or lower margins depending on relative exchange rates.
4. Major increase in manufacturing cost. This doesn't seem likely unless they know something that hasn't hit the business newspapers yet.
In any event, a 7% swing in margins over one quarter is HUGE.
Quote:
Originally Posted by jragosta
So the fact that record numbers of people are buying iPads is proof that there's no window for any other size? I hope you're not taking a critical thinking course. You just failed if you are.
No, I'd say more the fact that people aren't moving to existing 7" tablets in droves is reason enough to think the majority doesn't want a smaller one. And don't claim it's because there's no "iOS version" of a 7" tablet, because that didn't stop people from moving away from the iPhone.
Quote:
Originally Posted by EricTheHalfBee
They can put the 32nm A5 in which will reduce power consumption and give the same performance. The smaller screen will also consume significantly less power. Even though the battery will be smaller, the capacity should easily be offset by the screen and new A5. Result is the same performance and same battery life.
It would be better for reading e-books because of the weight. It would be better for kids in early grades (like K-3) because of the smaller size. You could mount it in your car as a NAV much easier than the regular iPad. It would be a good way to get into gaming and challenge the Wii U or Vita. It would be something parents are a little less wary to give to kids because of the lower price.
I'm not sure I'd use one. But people are buying smaller tablets so there is a market for them. If Apple made a smaller iPad they'd deal a serious blow to their competitors who only seem to have success in this market and can't compete at all against Apple in the 10" tablet space.
And if they were to put an A5 in it what would be the price? I'm sure it'd be higher than the $249 target many here think the Mini would need to succeed.
Quote:
Originally Posted by Tallest Skil
Apple cares about the user experience more than anything. From a usability perspective, a 7" tablet is worse at everything than a ~10" one.
This is just like the netbook craze five years ago. Companies made 7" laptops. No one actually wants a 7" laptop, since they're unusable. So netbooks got bigger. They made 8" and 9", and finally netbooks settled around 10" before becoming completely worthless. Let's ISOT Apple away in… 2007. I figure netbooks would have only gotten even bigger until they weren't even netbooks anymore, but rather very cheap, very poorly hardware'd laptops.
I think you will be very much proven wrong on the iPad mini debate.
Quote:
Originally Posted by Tallest Skil
No, I'd say more the fact that people aren't moving to existing 7" tablets in droves is reason enough to think the majority doesn't want a smaller one. And don't claim it's because there's no "iOS version" of a 7" tablet, because that didn't stop people from moving away from the iPhone.
If the big three of Walt Mossberg, David Pogue and MG Siegler all have good comments on Google's Nexus 7 it's either signaling the End of Days or there's something worthy about 7" tablets.
http://www.forbes.com/sites/briancaulfield/2012/07/16/mossberg-pogue-seigler-googles-nexus-7-trifecta-is-complete/
Quote:
Originally Posted by AppleInsider
iPod touch accounted for more than half of iPods sold, and iPod sales were higher than Apple expected.
No actual numbers? I suspect that's because the sales are falling at an alarming rate. Not sure the next iPod Touch will do much to arrest that. All the kids will want an iPad Mini for Christmas instead of an iPod this year and I still maintain the iPod Touch is simply too expensive compared to the increasing number of decent smartphones for under £200.
Again, your logic fails.
In order to buy a 7" tablet today, they'd have to not only choose a different tablet size, but an inferior OS and inferior hardware. Plus, 7" tablet sales have been significant (something like 20% of the entire tablet market). There's no way of knowing how many people would buy a 7" APPLE tablet based on the sales of the existing 7" tablets.
Quote:
Originally Posted by Shojin Monkey
Wasn't there any statement about the supposed imminent dividend?
Probably didn't want the share price to tank any further than it already has in after hours trading (down over 5% at 23.20 GMT). Probably announce it later when the markets calm down.
It was on the call.
http://www.appleinsider.com/articles/12/07/24/apple_announces_shareholder_dividend_payout_to_occur_august_16_2012.html
Quote:
Originally Posted by jragosta
There's no way of knowing how many people would buy a 7" APPLE tablet based on the sales of the existing 7" tablets.
One way to solve this debate - release the iPad Mini and see how many it sells. If nobody buys it then axe it. Problem solved, debate over. We will all know the numbers and the iPad Mini doubters can move on to whining about something else.
I'm looking forward to both the iPad mini AND the "iPhone 5"
Quote:
Originally Posted by Shaun, UK
No actual numbers? I suspect that's because the sales are falling at an alarming rate. Not sure the next iPod Touch will do much to arrest that. All the kids will want an iPad Mini for Christmas instead of an iPod this year and I still maintain the iPod Touch is simply too expensive compared to the increasing number of decent smartphones for under £200.
iPod sales declined 10% from 7.5M a year ago to 6.8M.
Quote:
Originally Posted by Shaun, UK
One way to solve this debate - release the iPad Mini and see how many it sells. If nobody buys it then axe it. Problem solved, debate over. We will all know the numbers and the iPad Mini doubters can move on to whining about something else.
Please tell me you only forget to add the /s to the end of this post.
Quote:
Originally Posted by blackbook
And if they were to put an A5 in it what would be the price? I'm sure it'd be higher than the $249 target many here think the Mini would need to succeed.
The smaller screen will cost less. The smaller battery will cost less. The smaller size of the case means it will be cheaper (and easier) to make and still offer high quality.
The iPad is what people want. Apple can charge $50-100 more for a tablet than anyone else can because there's additional perceived value in an iPad. They can do an 8GB for $249 and a 16GB for $299 ($50 more than Nexus) and still make money, IMO.
Quote:
Originally Posted by silverpraxis
Please tell me you only forget to add the /s to the end of this post.
What? /s?
Quote:
Originally Posted by EricTheHalfBee
The smaller screen will cost less. The smaller battery will cost less. The smaller size of the case means it will be cheaper (and easier) to make and still offer high quality.
The iPad is what people want. Apple can charge $50-100 more for a tablet than anyone else can because there's additional perceived value in an iPad. They can do an 8GB for $249 and a 16GB for $299 ($50 more than Nexus) and still make money, IMO.
As I've said they might "make money" but the profit margins will be far lower and the Mini will probably cannibalize 30% of the higher margin iPad's sales.
Remember we're talking about a device that's screen is not even 2 inches smaller. It's still a big sheet of glass needed and if it has Retina like so many are hoping the battery will still have to be a decent size and all these components need to fit in a smaller case.
There really isn't much cost benefit if the specs match the current iPads. If they want to price it at $249 I think we're looking at an A4 chip at best and low res screen.
Quote:
Originally Posted by EricTheHalfBee
The smaller screen will cost less. The smaller battery will cost less. The smaller size of the case means it will be cheaper (and easier) to make and still offer high quality.
The iPad is what people want. Apple can charge $50-100 more for a tablet than anyone else can because there's additional perceived value in an iPad. They can do an 8GB for $249 and a 16GB for $299 ($50 more than Nexus) and still make money, IMO.
I'm not sure about a smaller iPad at all, but if it came to fruition, I think a 16GB $299 makes since, but not an 8GB $249. The don't even sell a current model iPhone with 8GB anymore.
But with a possible larger-screened iPod Touch (to match the speculative larger-screened 6th gen iPhone), will an iPad mini still be necessary?
Quote:
Originally Posted by Gatorguy
If the big three of Walt Mossberg, David Pogue and MG Siegler all have good comments on Google's Nexus 7 it's either signaling the End of Days or there's something worthy about 7" tablets.
http://www.forbes.com/sites/briancaulfield/2012/07/16/mossberg-pogue-seigler-googles-nexus-7-trifecta-is-complete/
Anything that's priced that low is going to get good reviews. The Nexus is great for the money. Fact is Apple isn't going to release a product that offers them no profits (after R&D is accounted for you can't tell me Google isn't coming in at a loss on the Nexus).