ValueAnalyst
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Apple Pay gains 30 more US banks amid wait for more retail chains
I'm not sure if the "millions" comment is correct. Square offers a $50 product that accepts Apple Pay, and I'm sure there are even cheaper ways to get it done. I would assume merchants would care about their customers' satisfaction in exchange for $50.redstater said:
And how are they going to do that? Apple would be asking the retailers to spend millions (and for larger ones, billions) in new hardware that they will have to roll out and support, when they will get no more money from it than they already are. Apple Pay - and mobile payments generally - only benefit Apple (and Google) and the banks. They do not increase profits for the retailers, so why bother? "Your competition down the street does." That only works if it is a mom-and-pop shop. Usually the competition will be a regional or national chain. And in any case, you are talking about the small percentage of the population that A) owns an iPhone 6, 6s or an Apple Watch,daye said:Apple should persuade more retailers to accept Apple Pay. Apple should make P2P /ATM on Apple Pay.
has signed up for Apple Pay and C) wants to use Apple Pay any given day and D) is motivated to choose their retailer over who gives them the opportunity to pay with their phone or watch instead of paying with their credit card like they have all their previous life. That is going to be, like 10 people per store MAYBE? They are willing to give that up in order to avoid the expense of buying, installing and supporting the new equipment.
Until large retailers give up on MCX or their own proprietary mobile payment apps - because stores want to lock their own consumers in AND collect data for their own advertising campaigns - you may not see any real action on Apple Pay.
in addition, in just a few months, hundreds of millions of people will have upgraded to 6, 6S, 7, and SE and Apple Watch and Apple Watch S. We're not talking about just 10 people per store. And to top it off, these hundreds of millions of people are the top spenders in the world...
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Apple Pay gains 30 more US banks amid wait for more retail chains
It baffles me that Apple is focused on adding more banks when CLEARLY the roadblock in front of Apple Pay is lack of vendor support. When can I leave my cards home?
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How Apple Watch became the iPod of the future
I love the content of the article, but some parts are highly speculative. Specifically, I'd like to see the math around "$7B revenue in 3 quarters" and "high margin" statements.
$7B revenue would imply ~14m unit sales t best and the estimates I've seen are between 10-12m units for calendar year 2015.
On margins: In response to an analyst question on lower-than-expected gross margin forecast, during the fiscal 2Q15 earnings call, CFO said:
"And also, we’re launching the Apple Watch. Apple Watch is not only a new product, but it’s a brand new category with a lot of new features, a lot of new, innovative technologies. And Apple Watch margins will be lower than company average."
He made that comment when Apple Watch was priced $50 more than what it sells for now, so I disagree with the "high margin" comment. -
Warren Buffett's Berkshire Hathaway buys $1B of Apple stock
Don't get me wrong: Regardless who initiated the position, this is big news. It's not the HUGE news that it would've been if Warren Buffett went on CNBC and indicated he was the one who made the decision and talked up the company's prospects and low valuation. But nevertheless, whether it's Todd, Ted or Warren, it is nice to have the seal of approval from Berkshire Hathaway.
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Shipping delays continue to dog Apple's 4" iPhone SE
OBVIOUSLY Apple is restriction supply to keep margins in line. A company that can source 250m iPhones in a year must be able to meet demand for a paltry one million a month demand for iPhone SE (which so far makes only 1% of apple installed base) ESPECIALLY during a fiscal year where the flagship product is suffering. It's as obvious as trump's craziness.
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Warren Buffett's Berkshire Hathaway buys $1B of Apple stock
I couldn't agree more. They may have consulted him because of the hype this will get on CNBC and other financial websites, but probably not because of the fundamentals of the investment. Thumbs up for putting my thoughts into words better than I could.msuberly said:Berkshire's $1B holding in Apple is #16 on its list of publicly traded holdings, and represents less than .3% of Berkshire's market cap. Some other perspective: Berkshire added $1.25B of Phillips 66 stock last quarter...where is the headline of that?
This investment will hardly move the needle at Berkshire. If Buffet was consulted at all, it would be because of the hype surround Berkshire's stock picks and not because of the fundamentals of the investment. -
Strong iPhone SE launch suggests 15M incremental 2016 sales for Apple, RBC says
I meant that the incremental sales from iPhone SE should be over 100 million. Management has been touting for years that people prefer 4-inch phones. Where are those people now? By Fiksu data, Apple has literally sold less than a million units of SE during the 7 days . We all know what happens to demand after launch week (remember apple watch? remember 6S, which matched 6 adjusting for china launch time only to then fell off much behind 6?). Management needs to come out and explain somehow why SE hasn't sold better in the launch week. Otherwise, I'm not sure what the unwillingness of people to upgrade their 3+ year-old 4-inch phones say about the upgrade cycle.cintos said:
Well, the article actually says they will sell 40 Million SEs. After cannibalization they are suggesting net 15 Million more iPhones in total during 2016.ValueAnalyst said:I don't understand how 15M is considered a success, especially at a lower than expected price and gross margin, when there are 300 Million people using 3 or more years old 4-inch iPhones, tens of millions of people in China and India alone becoming "middle class" each year, and a ton of people who regrettably upgraded to larger screen iPhones because 4-inch form factor hasn't been updated in years. Apple should be selling over 100 million of IPhone SE's not 15M!!! -
Strong iPhone SE launch suggests 15M incremental 2016 sales for Apple, RBC says
I don't understand how 15M is considered a success, especially at a lower than expected price and gross margin, when there are 300 Million people using 3 or more years old 4-inch iPhones, tens of millions of people in China and India alone becoming "middle class" each year, and a ton of people who regrettably upgraded to larger screen iPhones because 4-inch form factor hasn't been updated in years. Apple should be selling over 100 million of IPhone SE's not 15M!!!
