Apple will only get about $1 billion in revenue this year on iPod. That equates to $100 million in profits.
I'm sorry but for Apple such small profits does not justify putting so much time/expense into iPod development.
Apple should not allocate resources to such a niche market. They need to focus on Watch, iPad, iPhone, and Mac.
Apple can probably make $100 million in profits selling hot dogs at Apple stores but that does not mean they should.
IMO the iPod has no place in Apple's future. With the Cloud and the push for Watch there really is no reason for it.
Not every product Apple (or any company) sells has to make a gazillion dollars. Yeah, tell Apple what it needs to focus on - I'm sure they're grateful for your all-knowing amateur pontifications of what's best for them.
williamlondon wrote: »
Your original creative accounting is now a fact? And now you're predicting $0 future profit by using your earlier "calculations" as evidence? Nice one, that's one way to "prove" your position.<ha!!>
Sorry, but I don't buy your figures as anything but boohockey. They don't do anything to these products, not even upgrade them to latest technology and they still sell $1B/year, that's a revenue stream you let sit and contribute minimal effort to keep going, if you can do a bit more effort and increase it significantly, you do that (if you have the resources), but you don't kill it, and that's possibly where Apple is at, assuming this report is accurate.
Personally, I hope they don't kill it, I have a Shuffle that I use for the gym, my iP6+ is nothing I'd ever be so stupid to take into the gym, or go running with, it's too big, but the Shuffle is perfect, and I know others are of a similar mind. These products do have use cases and they do sell, they just don't receive the love from Apple because, well, they'd rather sell you an $800 phone (requiring a SIM) than one of these cheaper devices (as would the telcos).
sog35 wrote: »
Apple has stopped breaking out ipod sales. That alone should tell you its days are numbered
Of course they "must be", you've just said so.
The knock off brands are sold for peanuts and Apple is notoriously good at cutting itself good deals from its suppliers, I'd say that is a load of…
Apple will be getting their usual 40%+ profit margin and has no trouble moving them in its stores or the many large department stores that stock them.
Just they are not the glamour product they once were and if you are not constantly hearing them being advertised, you come to the conclusion that they aren't being sold.
Personally, I'd rather they just killed off the iPod range completely. I know they won't, since it's a big market, but to me it's a dwindling market that isn't that interesting any more. Everyone I know, old and young, has a phone which has enough storage for music. Nobody has a music player.
All of us have no iPhones with data plans. have iPod touch 5gs. I have iPod touch 4g. and kids just use $15 slider phones. I do have about eight Macs only because I keep throwing away older ones; otherwise it'd be double-digits. And I use an iPod Nano 3G about 7 hours a day/night. Best audio player/recorder ever. Just did a corporate video's audio with my 3G iPod Nano and the Blue (30-pin) Mikey.
Disappointing to see little love here for the Nano and Shuffle iPods. I do not run or exercise with my phone for a variety of reasons but mainly due to the size. Despite my love of all things Apple, the Watch does not seem like a worthy substitute for a mid level Garmin....yet.
So I would really like to see a Nano with wifi and a few other updates. Probably dreaming though.
I really miss the iPod Classic. I own an iPod touch and to be honest I never use it. Its a piece of crap and not a good music player imo. I don't need or want apps on my music player thanks!
As a radio presenter I'm constantly listening to music on the go for play listing upcoming shows and unfortunately my Classic is now slowly dying.
All of Apple's current iPod offerings are unsuitable for my needs (lots of audio pros and musicians agree with me) simply because of poor storage capacity and lack of tactile control which is essential when driving or exercising.
Think about it... the click wheel is absolute genius in design because it could be controlled outside of a shirt pocket (you always knew where to press on it to play/skip etc. and volume could be changed through shirt material!). It was also far easier to control in a pocket and in a car environment as you didn't have to take eyes off the road to look for a touchscreen button among lots of other icons!
A new large capacity iPod with flash storage and a click wheel, maybe along the lines of a super slim credit card 3rd gen Nano with 128GB, would have been fantastic though that's all but a pipe dream I fear.
A dedicated music player like the iPod Classic still beats a phone hands down. Maybe time to look to Sony et al for a replacement