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MacRumors
Apr 19, 2006, 08:51 PM
http://www.macrumors.com/images/macrumorsthreadlogo.gif (http://www.macrumors.com)

Mac business 50% of quarterly revenue.

- Up 4% from the same quarter last year
- Pleased with Intel transition progress, and "solidly on track" to complete the Intel transition by the end of calendar 2006.
- "Pause" in sales due to transition anticipation. Reasons listed include: delays due to shipping delays on MacBook Pro, users awaiting Universal Apps and users awaiting upcoming Intel Macs.
- 1,112,000 Macs sold during March; $1.572 Billion in Revenue.
- 614,000 Desktop Macs ($833 million revenue)
- 498,000 Portable Macs ($739 million revenue)

Music business 50% of quarterly revenue

- Up 79% year over year
- Over 50 million iPods sold cumulatively
- 8,526,000 iPods sold
- Over 1 billion iTunes Songs sold. 87% marketshare.
- iTunes: 2.9 million songs, 60,000 podcasts, 9000 music videos, 70+ television programs
- iPod: 78% of MP3 player marketshare (up from 71% in December) in U.S.
- 2000+ iPod Accessories
- 40% of New Cars sold in U.S. will offer direct iPod integration

Retail
- $636 Million in revenue
- 50% of Macs sold were "new to Mac"
- 141 Stores Open by end of Quarter

Outlook
- Still expect a pause in demand in Mac business due to transition
- Happy with the Intel transition
- "Very excited about the products in our pipeline"

From Q&A
- Software sales better than expected (iLife and iWork, particularly).
- iPod: Plans to increase local advertising and point of sale locations in outside countries to boost marketshare.
- Question about Intel Mac mini price increase: Apple viewed Mac mini as still an "incredible" value, wouldn't comment on future pricing plans.
- Supply/Demand balance for Intel Macs.
- 40 New retails stores this year, primarily in the U.S.
- Boot Camp impact? A lot of customer requests for it. Many Windows users were considering switching to the Mac, and feel it makes it more appealing. Still gathering data. "High level of interest". Not releasing the download number for Boot Camp.
- Again, on target to transition the entire product line to Intel by end of the year.
- No plan to sell and support Windows.
- Music store "above break even"
- Don't feel the French DRM legislation is good for anyone
- Very excited about the product pipeline including Macs
- Nothing holding back the Intel transition

yankeefan24
Apr 19, 2006, 08:52 PM
more apple profit the better

D3LM3L
Apr 19, 2006, 08:55 PM
I wish they had asked something about Leopard...

neilson31
Apr 19, 2006, 08:55 PM
This sounds like a good time to buy more APPL stocks. :)

aricher
Apr 19, 2006, 08:57 PM
As a (minor) Apple shareholder I am really looking forward to seeing what the full hardware Intel transition and Boot Camp factor will do for sales. That said, I'm not making the switch to an Intel Mac until Adobe gets it act together and Apple releases 'Leopard" and iLife '07. It's astounding that the music biz has become 50% of their quarterly revenue. Keep it up Apple!

mkrishnan
Apr 19, 2006, 08:58 PM
- Don't feel the French DRM legislation is good for anyone

*sigh* Agreed. :( But otherwise, it's a good time to be Apple. :)

daveL
Apr 19, 2006, 09:06 PM
Apple's biggest Intel transition challenge. I'm a bit weirded out by the fact that Apple ditched the PowerBook so early in the game. Lots of Pros use them for field media work. On the consumer side, it's just not that big a deal. Once the Pro desktops come out (September), the full flock of Pro media apps need to be available (including 3rd party). Just my take. I really don't see it happening that quickly, read Adobe. Maybe Apple will maintain the PPC desktop line along side the new Intel desktops to fill the void until the apps are available on the Intel platform.

Analog Kid
Apr 19, 2006, 09:07 PM
It's astounding that the music biz has become 50% of their quarterly revenue. Keep it up Apple!
50% of Macs sold (in retail, if I understand it) were "new to Mac"-- That is a big deal...

EricNau
Apr 19, 2006, 09:07 PM
Wow, those figures are better than I would have guessed (especially the growth percentages).

Seems like Apple is getting stronger. :)

twoodcc
Apr 19, 2006, 09:08 PM
great news!! can't wait to see what new products are in store for us! :)

treblah
Apr 19, 2006, 09:09 PM
http://www.macrumors.com/images/macrumorsthreadlogo.gif (http://www.macrumors.com)


Music business 50% of quarterly revenue

- Up 79% year over year
- Over 50 million iPods sold cumulatively
- 8,526,000 iPods sold
- Over 1 billion iTunes Songs sold. 87% marketshare.
- iTunes: 2.9 million songs, 60,000 podcasts, 9000 music videos, 70+ television programs
- iPod: 78% of MP3 player marketshare (up from 71% in December) in U.S.
- 2000+ iPod Accessories
- 40% of New Cars sold in U.S. will offer direct iPod integration


What happened to all those iPod killers? :D

Foxglove9
Apr 19, 2006, 09:10 PM
Very impressive news from Apple. Also would have liked any info about Leopard. Next year should be the big Apple year it sounds like. That would be the first true year of all Intel products, and going head-to-head with Vista.

Surreal
Apr 19, 2006, 09:12 PM
It's astounding that the music biz has become 50% of their quarterly revenue. Keep it up Apple!

See, there's this device...i think it's called an ipod. i don't think it's going to catch on but...

jcook793
Apr 19, 2006, 09:14 PM
I wish everyone would follow France on this DRM thing. That would be good for everyone. I love and use iTunes because of the convenience, but I despise DRM because it means I don't own anything.

Shaker
Apr 19, 2006, 09:15 PM
Very impressive news from Apple. Also would have liked any info about Leopard. Next year should be the big Apple year it sounds like. That would be the first true year of all Intel products, and going head-to-head with Vista.


Leopard is going kick Vista's a$$.

081440
Apr 19, 2006, 09:17 PM
50% of Macs sold (in retail, if I understand it) were "new to Mac"-- That is a big deal...


Ditto!:D


That's what were after... more consumers = more and better apple products

Stella
Apr 19, 2006, 09:18 PM
- "Very excited about the products in our pipeline"

What else are Apple going to say - they always are - even if nothing materialises ( or projects are cancelled that us commoners never see ).

Anyway, despite the transition, I think Apple's performance for sales of PCs ( Personal Computers - before anyone over-reacts ) were quite impressive.

mikea
Apr 19, 2006, 09:21 PM
I am one of the pc guys about to make the switch. I am waiting to see the new version of the ibooks. Apple has created a really cool exciting vibe and I see it everywhere. I used to laugh at Mac users..until I bought an ipod and thougt..wow this thing is brilliant, so i looked into the company further. Now i am hooked..I watch these boards way too much. I am hoping for a new ibook (Mac Book?) ASAP. I relaly do hope it is ready soon. It would seem to me that it is a product that could be one of there best sellers.
ALL positive..things look good for Apple..I like it!

pavetheforest
Apr 19, 2006, 09:26 PM
I am one of the pc guys about to make the switch. I am waiting to see the new version of the ibooks. Apple has created a really cool exciting vibe and I see it everywhere. I used to laugh at Mac users..until I bought an ipod and thougt..wow this thing is brilliant, so i looked into the company further. Now i am hooked..I watch these boards way too much. I am hoping for a new ibook (Mac Book?) ASAP. I relaly do hope it is ready soon. It would seem to me that it is a product that could be one of there best sellers.
ALL positive..things look good for Apple..I like it!

i'm with him, but now i'm thinking about the MBP....maybe i'll wait a week...

bathysphere
Apr 19, 2006, 09:29 PM
I wish everyone would follow France on this DRM thing. That would be good for everyone. I love and use iTunes because of the convenience, but I despise DRM because it means I don't own anything.

yeah i agree also. i bought a couple of things from itunes when it first came out, but then regretted it because as lenient as 'fairplay' is, i still don't really own the music. needless to say i haven't bought anything from itunes for about the last three years, and i don't know anyone else who has either. the same goes for copy protection on cd's. my girlfriend works in a record store, and they get quite a few returns everyday from people who can't copy a cd to their computer, or use a song from the cd as part of a mixtape for a friend, etc., and another significant portion of people who won't even buy the cd in the first place. while the number of people not buying (or returning) likely pale in comparison to the number of people that actually do buy, i think it's fairly significant that someone would rather go without than concede to an unjust compromise (drm).

good for france on this one.

Stella
Apr 19, 2006, 09:33 PM
I wish everyone would follow France on this DRM thing. That would be good for everyone. I love and use iTunes because of the convenience, but I despise DRM because it means I don't own anything.

I do too.

Unfortunately, reality, DRM is a necessity, we need a unified DRM implementation that is used by all devices and all music stores.

MrCrowbar
Apr 19, 2006, 09:42 PM
Mikea, you are a victim of the so called halo effect. :p

I knew G4 powerbooks before I knew iPods though. I'm still reluctant tu buy an iPod though. If I buy one, I want my library on it, so the 30GB would do. But the n I tell myself "Do you relly want to pay 300 bucks for a music player?" Now I have a shuffle and it's fine. Some dumb software problems here and there but besides that I am happy. No worries about scratching the display too. Who needs displays for listening to music anyway? :p :rolleyes:

Now I'm waiting for a small apple laptop to replace my windows monster here. Computers do very funny things when the RAM is broken to a point where redundancy isn't enough anymore for correcting the errors. Naughty stuff :rolleyes: :mad:
I don't know what I will do with this mashine once I mave my Macbook (Pro). I can hardly do anything on it now...

And since there's Boot Camp and Parallel's stuff (works nice by the way, I've tried it for an hour in a store) I'm thinking of ditching my windows mashines for good. Maybe keep one around for the fun of building a computer and upgrading and taking care of it :rolleyes: . I've always liked the idea of water cooling. Hope the Intel PowerMacs will have that again, it's just "cool" :rolleyes: if you think about it.

Is there a way of hooking 2 extra screens to an iMac? I love working with multiple screens. Great for debugging graphic heavy apps ;) , just run it on one screen and monitor the code (and system output) on the other. But 3 screens would be even cooler. Is there a Mac that can handle this? :confused:

mackeeper
Apr 19, 2006, 09:43 PM
I am ripping out my hair! I want a fullscreen video ipod SO BAD!!!!! I WANT IT NOW!

MrCrowbar
Apr 19, 2006, 09:48 PM
I am ripping out my hair! I want a fullscreen video ipod SO BAD!!!!! I WANT IT NOW!

There you go:
http://static.flickr.com/43/108849427_12e7905e3d.jpg
:p :D :o :rolleyes: :cool: :) :o

Oh, you meanT fullscreen. I thought you meant widescreen ;)

dr_lha
Apr 19, 2006, 09:55 PM
Music business 50% of quarterly revenue

- Up 79% year over year
- Over 50 million iPods sold cumulatively
- 8,526,000 iPods sold

Is now a good time again to reflect on:

http://apple.slashdot.org/article.pl?sid=01/10/23/1816257

and of course, the famous thread 500:

http://forums.macrumors.com/showthread.php?t=500

Mac Fly (film)
Apr 19, 2006, 09:55 PM
great news!! can't wait to see what new products are in store for us! :)
In the webcast I kept on hearing them say: "we're exicted about the products we have in the pipeline" It drove me mental!! I must know!!:mad::D

MrCrowbar
Apr 19, 2006, 09:59 PM
In the webcast I kept on hearing them say: "we're exicted about the products we have in the pipeline" It drove me mental!! I must know!!:mad::D

I'm also excited about the products they have in the pipeline. :mad:

boncellis
Apr 19, 2006, 10:19 PM
Is now a good time again to reflect on:

http://apple.slashdot.org/article.pl?sid=01/10/23/1816257

and of course, the famous thread 500:

http://forums.macrumors.com/showthread.php?t=500

Those are both good reads, though I think the 500 thread has reached "infamous" status, wouldn't you agree?

I'm surprised that the Music and Computer components are 50/50, I expected the iPods to produce a higher percentage of Apple's revenue. Is the markup on the Macintosh that much more than it is for the iPod?

Things certainly look bright for the future, when you consider that Apple has done this well with only having converted half of their machines to the Intel architecture. iPod sales might drop a little over the next year, but you just know Mr. Jobs has something hatching to keep it out in front...

Dirgayuza
Apr 19, 2006, 10:28 PM
Huhuhu.. I hope because of the announcement, Apple stock rises.. Playing a game now with my Business Class @ http://vse.marketwatch.com/Game, and put all my money on Apple.. in hope of MacBook!

Bring on the MacBook now!~ =p and get more than 50% revenue from Macs.

bretm
Apr 19, 2006, 10:37 PM
See, there's this device...i think it's called an ipod. i don't think it's going to catch on but...

Please note that they don't actually make much money off it. In fact, he pointed out that they were "above break even." Which means they're barely pulling a profit.

Once again, creating the software themselves to sell the hardware.

It's just so odd that the best software manufacturer out there (Apple) doesn't even care if they make money from their software. They just use it to sell computers.

I like the computers, but hey, we USE the software. They need to quit fooling themselves and start making software for XP as well. I'm still going to use OSX for the integration, but heck, make some money for the company and my stock!

deckwalker
Apr 19, 2006, 10:51 PM
http://www.macrumors.com/images/macrumorsthreadlogo.gif (http://www.macrumors.com)
- 1,112,000 Macs sold during March; $1.572 Billion in Revenue.
- 614,000 Desktop Macs ($833 million revenue)
- 498,000 Portable Macs ($739 million revenue)


I'm really surprised that the PPC desktops still outsold the MacIntel line-up. I thought the "pause" in purchases they mention would have killed desktop sales.

MrCrowbar
Apr 19, 2006, 10:58 PM
[..]
I like the computers, but hey, we USE the software. They need to quit fooling themselves and start making software for XP as well. I'm still going to use OSX for the integration, but heck, make some money for the company and my stock!

I have iTunes and Quicktime on my PC :rolleyes:
Both pretty buggy though...

The good thing about Apple is that they make both the hardware and the sowftware. It just works out of the box. If they did software for PC there would be a lot of money involved for testing so it works on every hardware. And who would buy Macs if the software would be available on PC too? Most users don't care about the OS anyway, they use the applications. I'm doing graphics and audio editing in a semi-professional way. Photoshop and Logic work for PC but they work so much better on a Mac. Ever seen a PC in a Music Studio? I haven't ;)

dejo
Apr 19, 2006, 11:05 PM
Please note that they don't actually make much money off it. In fact, he pointed out that they were "above break even." Which means they're barely pulling a profit.

The "above break even" remark was in reference to the iTunes Music Store, not the iPod. Apple is making pretty good money off the iPod.

aswitcher
Apr 19, 2006, 11:06 PM
I'm also excited about the products they have in the pipeline. :mad:


Well I dont expect anything new for at least a few weeks given they had a chance to announce it with Steve at the new Cupertino thingy and here at the Q results...

Damn :(

dr_lha
Apr 19, 2006, 11:25 PM
I'm really surprised that the PPC desktops still outsold the MacIntel line-up. I thought the "pause" in purchases they mention would have killed desktop sales.
I'm sorry what? Those Desktop sales will include the Intel iMac, which has been out and available for the longest out of all the Intel Macs.

EDIT: I should remind you that the Intel iMac was available for shipping for almost all of that quarter, unlike the MacBookPro which only became available towards the end. Given this its hardly surprising that Desktops outsold laptops.

neonart
Apr 19, 2006, 11:31 PM
I bet they held off on the MacBook release for this very reason. This creates a splash and raises stock prices, then a couple of weeks later they do the same with the Macbook.

The pent-up demand for Macbooks has to be really high. The iBooks were refreshed last summer. Once they get the new machines out for the school season, it's going to be insane!

sockdoggy
Apr 19, 2006, 11:48 PM
Huhuhu.. I hope because of the announcement, Apple stock rises.. Playing a game now with my Business Class @ http://vse.marketwatch.com/Game, and put all my money on Apple.. in hope of MacBook!

Bring on the MacBook now!~ =p and get more than 50% revenue from Macs.

There's a general rule and that is to buy on rumor and sell on fact.

Another thing, unless Apple announces surprising fiscal results, the stock won't necessarily have a preference for going up or down because the EPS is what is expected and therefore the market is already adjusted to its current price.

Good luck in your game and diversify!

MrCrowbar
Apr 19, 2006, 11:53 PM
I bet they held off on the MacBook release for this very reason. This creates a splash and raises stock prices, then a couple of weeks later they do the same with the Macbook.

The pent-up demand for Macbooks has to be really high. The iBooks were refreshed last summer. Once they get the new machines out for the school season, it's going to be insane!

Nice one neonart! Makes sense to me that the introduction of a new product has less to do woth demand but more with stocks. Steve will have his taxes back in no time :eek:

sam10685
Apr 20, 2006, 01:01 AM
holy moly... they're kickin' butt... 3rd quarter projections???

nigham
Apr 20, 2006, 01:17 AM
I'm surprised that the Music and Computer components are 50/50, I expected the iPods to produce a higher percentage of Apple's revenue. Is the markup on the Macintosh that much more than it is for the iPod?

Consider that the most pricey iPod costs $200 less than the least-priced Macintosh...

gnasher729
Apr 20, 2006, 01:51 AM
This sounds like a good time to buy more APPL stocks. :)

If you are interested in a defunct oil company, go ahead and try to buy some APPL stock. Good luck.

If you are interested in the top innovative computer manufacturer, put in an order for some AAPL shares.

aegisdesign
Apr 20, 2006, 02:42 AM
The good thing about Apple is that they make both the hardware and the sowftware. It just works out of the box. If they did software for PC there would be a lot of money involved for testing so it works on every hardware.

Easy solved.

Apple publishes a spec. PC manufacturers have to certify against that spec.

That's exactly what Microsoft do with Windows. It's up to the hardware manufacturers to comply with the spec, not Microsoft to write drivers for every Tom, Dick and Harriet that comes along with a new piece of hardware.

These days, hardware barely differs from PC to PC. They all use the same chipsets. Bung an NVidia or ATI card in and it'll probably work. Of course, you've still got to have EFI support in your PC.....

bigandy
Apr 20, 2006, 02:45 AM
I'm a bit weirded out by the fact that Apple ditched the PowerBook so early in the game.

t'was the worst in need of an update. it had to be a big priority. and there had to be a big surprise at mwsf in january. the iMac alone was not enough..

they have kept on with the 12/17 models for people that need G4s. and you can still get them in stores without looking too hard...

CrackedButter
Apr 20, 2006, 02:46 AM
Is now a good time again to reflect on:

http://apple.slashdot.org/article.pl?sid=01/10/23/1816257

and of course, the famous thread 500:

http://forums.macrumors.com/showthread.php?t=500

I read the famous thread 500 and I'm curious, was it your purpose to remind us that people would think the ipod would be a flop or that all the moaning and bitching on those pages was a reflection of the moaning and bitching on the boards today?

How some things never change...

aegisdesign
Apr 20, 2006, 02:50 AM
I'm surprised that the Music and Computer components are 50/50, I expected the iPods to produce a higher percentage of Apple's revenue. Is the markup on the Macintosh that much more than it is for the iPod?

Revenue = income from what you sell, not profit. So if you sell an iPod at $399, that's $399 of revenue.

What the report shows is that 1.1million Mac sales brings in the same revenue as 8.5million iPods. It says nothing about the markup on them.

You can have billions in revenue and still lose millions if the cost of your sales exceeds your profit margin.

Prime example is Creative who spent $100million on advertising it's mp3 player which resulted in them losing about $100million despite sales and revenue increasing (IIRC).

edit: million, not billion. :-)

bigandy
Apr 20, 2006, 02:51 AM
What the report shows is that 1.1bn Mac sales brings in the same revenue as 8.5bn iPods. It says nothing about the markup on them.


i'd be impressed if they'd sold 1.1 billion Macs and 8.5 billion iPods, in a quarter.

also, their profits would be a little higher...

Shadow
Apr 20, 2006, 04:38 AM
There you go:
http://static.flickr.com/43/108849427_12e7905e3d.jpg
:p :D :o :rolleyes: :cool: :) :o

Oh, you meanT fullscreen. I thought you meant widescreen ;)
Does it have 5.1 surround?


;)

aegisdesign
Apr 20, 2006, 06:37 AM
i'd be impressed if they'd sold 1.1 billion Macs and 8.5 billion iPods, in a quarter.

also, their profits would be a little higher...

Oops. :)

rtdunham
Apr 20, 2006, 09:15 AM
http://www.macrumors.com/images/macrumorsthreadlogo.gif (http://www.macrumors.com)
- No plan to sell and support Windows.


not to parse things too carefully, but this says apple said it had no plans to "sell AND support" which leaves them wiggle room to sell but not support. logically--to me, at least--they'd hardly be expected to support windows. but sell it? has anybody seen an exact transcript? if so, did they say sell AND support? or "no plan to sell OR support Windows?"

makes a big difference.

terry

milo
Apr 20, 2006, 11:13 AM
I'm really surprised that the PPC desktops still outsold the MacIntel line-up. I thought the "pause" in purchases they mention would have killed desktop sales.

Both PPC and intel are still shipping in both desktop models and laptops. Don't forget, the iMac is a desktop. Those numbers tell us nothing about PPC versus intel sales.

Tymmz
Apr 20, 2006, 05:19 PM
Even if Steve Jobs was 6 months in India in the old days, he misses the rest of the globe today:

"- 40 New retails stores this year, primarily in the U.S."

I want an Apple store in Berlin. What's so wrong about it? We have people from all over the globe, why does Apple thinks, they wouldn't make money out of an Apple store in Berlin. Even our most famous and the Europe's biggest shopping centre (no, it is not Herolds in London), the KaDeWe, has only a very, very tiny section dedicated to Apple (1 freakin shop assistant).

You must be kidding me Apple!

Sorry for my rant, but I'm feeling not so well.

drewbert
Apr 21, 2006, 09:51 AM
- Again, on target to transition the entire product line to Intel by end of the year.

Does that mean it will be near the end of the year before we see a Mac Pro tower? Any rumors that say otherwise?

superkatalog
Apr 21, 2006, 12:07 PM
Even if Steve Jobs was 6 months in India in the old days, he misses the rest of the globe today:

"- 40 New retails stores this year, primarily in the U.S."

I want an Apple store in Berlin. What's so wrong about it? We have people from all over the globe, why does Apple thinks, they wouldn't make money out of an Apple store in Berlin. Even our most famous and the Europe's biggest shopping centre (no, it is not Herolds in London), the KaDeWe, has only a very, very tiny section dedicated to Apple (1 freakin shop assistant).

You must be kidding me Apple!

Sorry for my rant, but I'm feeling not so well.

exactly.!

howyoudoin
Apr 22, 2006, 02:38 AM
10 of those stores will be outside the U.S---not bad but probably should be more like 15 but they probably are researching and figuring out what makes more money off the start.