At some point market share will impact profit share. Apple has to be mindful of market numbers. I don't see how they can maintain a 70% or whatever it now is profit share and see their global market share in sales decline every single quarter. Eventually many of these people that buy these crappy and super cheap Android phones will buy more expensive models and if they are already in the Android ecosystem and are familiar with that platform they will be more likely to stick with it.
Apple is not doomed if they don't release a smaller and larger iPhone this year. Nor are they doomed if they do. They have time to address concerns at least until 2014. But eventually I think these analysts are correct and Apple will have a cheap, standard, and large version to compete in the global market space. What works in the U.S. doesn't always work in other countries and even in the U.S. the trend is for larger displays. They are getting hit on both sides. Without a larger display iPhone this year you might see a lot of iPhone defectors to Android.
The cheapest phone Apple now sells overseas is the iPhone 4 for $500. A 2 1/2 year old phone selling for that dear a price is just not going to cut it. If they can make a 16GB iPod touch and sell it for a nice profit at $199 there is no reason why they couldn't at $330 either. The phone specific parts are not that expensive especially if it is just a 3G phone without LTE.
The issue is not Apple's profits, which are doing quite well. The long term issue is the market size for each ecosystem. If Android eventually takes the vast majority of the market, that will effect Apple in many ways, all of them bad. They cannot just sit on their laurels and hope for the best (not that I think they are).
But u have to include the touch and iPad in that ecosystem. By far, the iPad is crushing competitors in the tablet space.
The strange thing about saying that Apple "doesn't have a response" to the the Galaxy IIIS Mini is that the model is Samsung's smaller (4") phone with outdated internals (3G only). Essentially, an iPhone 4 with a poorer quality/low res screen, plastic construction, lesser camera, etc.)
It's one thing to say Apple should chase after Samsung's big phablet devices (although that's clearly debatable). It's another to say that Apple needs to copy Samsung's inferior, critically panned new copy of the 2010 iPhone 4. Read any review of the IIS Mini and even the most exuberant fans of Android will tell you it's not the droid you are looking for. So why does Apple need to copy this copy?
At the rate Samsung is going they won't have encore to run to. They are throwing everything but the proverbial kitchen sink onto the market, saturating it and in effect hurting themselves for the future.
Does any analyst have an original thought? They are parroting the same tired rhetoric they have been for years. If Apple's profit declines significantly then they talk. As it is I would trust Apple's plan as it has been proven to be successful. Apple has plans for growth, and they will release new products when they are ready. Whether they are the same products these parrots expect, who knows, but they may be even more successful. Quit trying to bet against Apple, and enjoy their brilliance.
You got it right....Apple has a history of releasing great products because they put so much thought and development into the overall product and how users interact with that product. This creates a great user experience with Apple products. It is not just about specs or numbers but how it all works together.....the whole ecosystem as well. Apple puts out a unmatched blend of software and hardware to make great products. When the timing and product is ready I can see them making a larger phone (not much larger) but only when it can all be tied togther to make it a great product.....not just a rush to keep up with competitors.
I'm gonna go out on a limb here and say that Apple doesn't give a flying fig what stock analysts think, want or demand.
True, but AAPL shareholders care - every time these analysts open their mouths, the stock falls some more. Even when their ramblings are consistently shown to be nonsense later, the damage has already been done. Everyone repeats these "Apple is doomed" stories. No one repeats the "never mind" stories.
Whenever I hear this crap I feel like I'm being trolled by Android-lovers. Rather than advising their clients about what Apple should do or must do, these analysts should stick to advising their clients on what they should or must do with respect to shares of Apple: buy, sell, hold, short, etc.
Also, if they're so bullish on Samesung, can't they advise clients to purchase those shares on overseas exchanges?
Thank God none of you are running the company! I don't want AAPL to go any lower. This analyst, as well as all the others, are absolutely right that Apple needs to diversify their iPhone line. It won't dilute the value that the "regular" iPhone offers, but offering models of different sizes or specifications will certainly allow a new set of consumers to find value in the iPhone. When more consumers see value, Apple sells even more phones!
I wish these articles would just eliminate the word "Samsung." As soon as that name comes into the picture, you guys turn off your rationality and go into disagreement mode.
Thank God none of you are running the company! I don't want AAPL to go any lower. This analyst, as well as all the others, are absolutely right that Apple needs to diversify their iPhone line. It won't dilute the value that the "regular" iPhone offers, but offering models of different sizes or specifications will certainly allow a new set of consumers to find value in the iPhone. When more consumers see value, Apple sells even more phones!
I wish these articles would just eliminate the word "Samsung." As soon as that name comes into the picture, you guys turn off your rationality and go into disagreement mode.
Apple will never please everyone, so why try? Apple doesn't need cheap phones. If there is money to be made with a 5" phone, no doubt it is investigating. Apple isn't reading blogs to find out what to do. It knows what to do considering it had the most profitable calendar year in human history.
Actually it was Apple's momentum that begged an answer from Samsung. Samsung finally came up with some worthy devices. But that doesn't mean Apple has to "respond". I think a more appropriate analysis would be %u2013 Where is Apple's next gamechanger that Samsung will need to answer anew. Or what is Samsung's gamechanger to beg an answer from Apple. Because while their new phones are great, none of Samsung's phones are "gamechangers" the way the iPhone was.
Lot of opportunities for Apple yet seems as though Apple is being overly cautious in it approach. Time is important Yet actually perfecting a product or upgrade is more important. Hopefully Apple starts to give the customer more choice with 2 sizes of IPhones. However the real differentiator be their IOS and ecosystem
Apple doesn't have to do squat with Samsung. They have better things to do like continue making kick-a$$ products, and making all the money in the industry.
Analysts like to think it's some sort of pi$$ing contest with the two. What really irks me is that they seem to think they know tech to tell Apple how to run their business. Idiots.
Apple will never please everyone, so why try? Apple doesn't need cheap phones. If there is money to be made with a 5" phone, no doubt it is investigating. Apple isn't reading blogs to find out what to do. It knows what to do considering it had the most profitable calendar year in human history.
No company can please everybody, but does the idea that Apple can never capture the entire market preclude it from growing further? If humans only did things that worked 100% of the time, we would still be in the stone age.
No company can please everybody, but does the idea that Apple can never capture the entire market preclude it from growing further? If humans only did things that worked 100% of the time, we would still be in the stone age.
Last time I checked, Apple IS growing. However, they're growing by continuing to offer industry-leading products that work well together and offer a great user experience.
They are not doing it by growing share with cut-rate products -- nor should they.
Anyone remember a time when Apple had NO iDevices, only a tiny percentage of the PC desktop market, and still was an extremely successful company?
No, nothing is "begging for an answer" from Apple. Apple doesn't "answer". It designs and releases the products it wants to release, and thats proven insnaely successful for them thus far. The company would have spiralled into a black hole long ago if it listened to any advice from these analysts.
The issue is not Apple's profits, which are doing quite well. The long term issue is the market size for each ecosystem. If Android eventually takes the vast majority of the market, that will effect Apple in many ways, all of them bad. They cannot just sit on their laurels and hope for the best (not that I think they are).
If Android was a consistent, unified OS- then you may have a point. But as it stands now, because of the fragmentation of Android (a thousands different skins and versions) than your point is less relevant. It's used by companies who all have different agendas as to the direction and functionality of the OS, and all want to differentiate it to their benefit. Most consumers DONT see iOS vs Android. They see iPhones vs a million other types of phones, each phone with an OS that looks different.
No company can please everybody, but does the idea that Apple can never capture the entire market preclude it from growing further? If humans only did things that worked 100% of the time, we would still be in the stone age.
I don't understand your analogy. Apple has never did things that only worked 100% of the time. All the iDevices were panned when they were announced.
Apple cares about making the best products with the most profit. It doesn't play the market share game. It plays the profit share game.
Market share doesn't pay the bills. Look at HP and Dell.
Comments
At some point market share will impact profit share. Apple has to be mindful of market numbers. I don't see how they can maintain a 70% or whatever it now is profit share and see their global market share in sales decline every single quarter. Eventually many of these people that buy these crappy and super cheap Android phones will buy more expensive models and if they are already in the Android ecosystem and are familiar with that platform they will be more likely to stick with it.
Apple is not doomed if they don't release a smaller and larger iPhone this year. Nor are they doomed if they do. They have time to address concerns at least until 2014. But eventually I think these analysts are correct and Apple will have a cheap, standard, and large version to compete in the global market space. What works in the U.S. doesn't always work in other countries and even in the U.S. the trend is for larger displays. They are getting hit on both sides. Without a larger display iPhone this year you might see a lot of iPhone defectors to Android.
The cheapest phone Apple now sells overseas is the iPhone 4 for $500. A 2 1/2 year old phone selling for that dear a price is just not going to cut it. If they can make a 16GB iPod touch and sell it for a nice profit at $199 there is no reason why they couldn't at $330 either. The phone specific parts are not that expensive especially if it is just a 3G phone without LTE.
But u have to include the touch and iPad in that ecosystem. By far, the iPad is crushing competitors in the tablet space.
The strange thing about saying that Apple "doesn't have a response" to the the Galaxy IIIS Mini is that the model is Samsung's smaller (4") phone with outdated internals (3G only). Essentially, an iPhone 4 with a poorer quality/low res screen, plastic construction, lesser camera, etc.)
It's one thing to say Apple should chase after Samsung's big phablet devices (although that's clearly debatable). It's another to say that Apple needs to copy Samsung's inferior, critically panned new copy of the 2010 iPhone 4. Read any review of the IIS Mini and even the most exuberant fans of Android will tell you it's not the droid you are looking for. So why does Apple need to copy this copy?
Quote:
Originally Posted by iSteelers
Does any analyst have an original thought? They are parroting the same tired rhetoric they have been for years. If Apple's profit declines significantly then they talk. As it is I would trust Apple's plan as it has been proven to be successful. Apple has plans for growth, and they will release new products when they are ready. Whether they are the same products these parrots expect, who knows, but they may be even more successful. Quit trying to bet against Apple, and enjoy their brilliance.
You got it right....Apple has a history of releasing great products because they put so much thought and development into the overall product and how users interact with that product. This creates a great user experience with Apple products. It is not just about specs or numbers but how it all works together.....the whole ecosystem as well. Apple puts out a unmatched blend of software and hardware to make great products. When the timing and product is ready I can see them making a larger phone (not much larger) but only when it can all be tied togther to make it a great product.....not just a rush to keep up with competitors.
They produce bad products, eventually their bubble will burst
True, but AAPL shareholders care - every time these analysts open their mouths, the stock falls some more. Even when their ramblings are consistently shown to be nonsense later, the damage has already been done. Everyone repeats these "Apple is doomed" stories. No one repeats the "never mind" stories.
Whenever I hear this crap I feel like I'm being trolled by Android-lovers. Rather than advising their clients about what Apple should do or must do, these analysts should stick to advising their clients on what they should or must do with respect to shares of Apple: buy, sell, hold, short, etc.
Also, if they're so bullish on Samesung, can't they advise clients to purchase those shares on overseas exchanges?
Thank God none of you are running the company! I don't want AAPL to go any lower. This analyst, as well as all the others, are absolutely right that Apple needs to diversify their iPhone line. It won't dilute the value that the "regular" iPhone offers, but offering models of different sizes or specifications will certainly allow a new set of consumers to find value in the iPhone. When more consumers see value, Apple sells even more phones!
I wish these articles would just eliminate the word "Samsung." As soon as that name comes into the picture, you guys turn off your rationality and go into disagreement mode.
Apple will never please everyone, so why try? Apple doesn't need cheap phones. If there is money to be made with a 5" phone, no doubt it is investigating. Apple isn't reading blogs to find out what to do. It knows what to do considering it had the most profitable calendar year in human history.
Analysts like to think it's some sort of pi$$ing contest with the two. What really irks me is that they seem to think they know tech to tell Apple how to run their business. Idiots.
Quote:
Originally Posted by jungmark
Apple will never please everyone, so why try? Apple doesn't need cheap phones. If there is money to be made with a 5" phone, no doubt it is investigating. Apple isn't reading blogs to find out what to do. It knows what to do considering it had the most profitable calendar year in human history.
No company can please everybody, but does the idea that Apple can never capture the entire market preclude it from growing further? If humans only did things that worked 100% of the time, we would still be in the stone age.
Last time I checked, Apple IS growing. However, they're growing by continuing to offer industry-leading products that work well together and offer a great user experience.
They are not doing it by growing share with cut-rate products -- nor should they.
No, nothing is "begging for an answer" from Apple. Apple doesn't "answer". It designs and releases the products it wants to release, and thats proven insnaely successful for them thus far. The company would have spiralled into a black hole long ago if it listened to any advice from these analysts.
Quote:
Originally Posted by Captain J
The issue is not Apple's profits, which are doing quite well. The long term issue is the market size for each ecosystem. If Android eventually takes the vast majority of the market, that will effect Apple in many ways, all of them bad. They cannot just sit on their laurels and hope for the best (not that I think they are).
If Android was a consistent, unified OS- then you may have a point. But as it stands now, because of the fragmentation of Android (a thousands different skins and versions) than your point is less relevant. It's used by companies who all have different agendas as to the direction and functionality of the OS, and all want to differentiate it to their benefit. Most consumers DONT see iOS vs Android. They see iPhones vs a million other types of phones, each phone with an OS that looks different.
I don't understand your analogy. Apple has never did things that only worked 100% of the time. All the iDevices were panned when they were announced.
Apple cares about making the best products with the most profit. It doesn't play the market share game. It plays the profit share game.
Market share doesn't pay the bills. Look at HP and Dell.