Apple Q3 2005 Financial Results

[asif786]

CUPERTINO, California—July 13, 2005—Apple® today announced financial results for its fiscal 2005 third quarter ended June 25, 2005, reporting the highest revenue and earnings in the Company’s history. Apple posted a net quarterly profit of $320 million, or $.37 per diluted share, and revenue of $3.52 billion. These results compare to a net profit of $61 million, or $.08 per diluted share, and revenue of $2.01 billion in the year-ago quarter, and represent revenue growth of 75 percent and net profit growth of 425 percent. Gross margin was 29.7 percent, up from 27.8 percent in the year-ago quarter. International sales accounted for 39 percent of the quarter’s revenue.

Apple shipped 1,182,000 Macintosh® units and 6,155,000 iPods during the quarter, representing 35 percent growth in Macs and 616 percent growth in iPods over the year-ago quarter.

“We are delighted to report Apple’s best quarter ever in both revenue and earnings,” said Steve Jobs, Apple’s CEO. “The launch of Mac OS X Tiger has been a tremendous success, and we have more amazing new products in the pipeline.”

“We’re very pleased to report 75 percent revenue growth and a 425 percent increase in net income,” said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the fourth quarter of fiscal 2005, we expect revenue of about $3.5 billion and earnings per diluted share of about $.32.”

http://www.apple.com/pr/library/2005/jul/13results.html

how super :)

[Applespider]

Great results... so Creative now can't say that their Zen sales are bad because the whole sector is weak :rolleyes:

And two quarters in a row (generally the weakest of the year) when Mac sales were over a million shipped... (doesn't this just count for retail and distributor sales too - it's not including Apple online sales?)

[rdowns]

Apple shares up $.76 in after hours trading. I hope this is the beginning of another run up as I still own 250 shares.

[yellow]

ANd I sold my Apple stock.. gumby it all to heck!

[Fredstar]

That is crazy.
I would have thought iPod sales would have stayed pretty steady (even decline) but the iPod craze is obviously still very much there - given all the analyst's saying that the portable mp3 industry was in decline.
Also Mac sales wow, Apple have a crap line up atm, especially laptops, (apart from argueably iMac's) so i am v surprised they were up from last quarter, also given the Intel announcement.

[ham_man]

:eek:

Those are some amazing numbers. 6.1 million+ iPods and 1.1 million+ Macs. Congratulations Apple...

[MacRumors]

http://www.macrumors.com/images/macrumorsthreadlogo.gif (http://www.macrumors.com)

Apple has announced (http://today.reuters.com/investing/financeArticle.aspx?type=marketsNews&storyID=2005-07-13T203515Z_01_WEN4785_RTRIDST_0_TECH-APPLE-EARNS-URGENT.XML) their Q3 2005 Financial Results today:

Apple said net income for its third fiscal quarter ended June 25 rose to $320 million, or 37 cents per share, from $61 million, or 8 cents a share, a year ago, on a split-adjusted basis.

Revenue rose 75 percent to $3.52 billion from $2.01 billion.

The webcast conference call (http://www.apple.com/quicktime/qtv/earningsq305/) is ongoing.

[Flying Llama]

:eek: :eek: :eek:
NICE! Very impressive. I wish they would still be telling us computer-independant sales, but oh well... :(
How does this compare to the last quarter? It has definately grown immensly compared to a year ago.

EDIT: 616% growth in iPods!?! Wow, it's still growing.

llama :o

[dsharits]

Wow, that's quite impressive! I never would have guessed that summer could be the highest ever. I can't wait to see how things go this fall/winter.

[Trowaman]

I thought this was supposed to be a slow quarter with a decline in sales or something. Somehow my expectations were lowered to where good news seems even better, how ridiculously ingenious.

[the_mole1314]

VERY IMPRESSIVE! That should shut up the nay sayers...

[abrooks]

I'm completely stoked, these finance companies need new analysers because they got Apple sooooooo wrong :D

[autrefois]

Very good news all around.

They set a record for portable sales. So much for people worrying about the lack of a Powerbook G5. :)

They didn't say specifically how many Powerbooks were sold versus iBooks, but if the whole unit set a record, they can't be doing that bad.

[aricher]

Excellent - keep it up Apple!

[Freg3000]

Stock is up after-hours. These are very impressive results.

[rosalindavenue]

Can one of your business types distinguish between "shipped" and "sold?" What if a bunch of computers are sitting in inventory, unsold?

[Flying Llama]

I'm completely stoked, these finance companies need new analysers because they got Apple sooooooo wrong :D

Exactly, they had me sooo worried. But hey, you gotta say this is a nice suprise, like the feeling we all used on christmas if we didn't peak. It would have been worse if the analysers said something extraordinary, letting us down. At least we didn't get our hopes up. Actually, I kinda like these analysers! ;)

llama

[applekid]

Apple beats the expectations... again!

(Relevant article, posted on MacBytes: http://www.macsimumnews.com/index.php/archive/analysts_ipod_sales_slowing_while_mac_sales_surge/)

Good news for my 5 shares...

[Flying Llama]

Can one of your business types distinguish between "shipped" and "sold?" What if a bunch of computers are sitting in inventory, unsold?

When they say shipped, I believe they're meaning sold... but I could be wrong.

llama :o

[autrefois]

Another thing I was struck by during the conference call: both Mac and iPod sales were up and doing quite well apparently. I assume someone will post the specifics.

In Macbytes there were recent articles saying iPod sales were slumping while Macs were going up, and another one saying the opposite. They were both wrong: both are up! :)

[rjfiske]

both Mac and iPod sales were up and doing quite well apparently. I assume someone will post the specifics.


Be happy to!

http://images.apple.com/pr/pdf/q305data_sum.pdf

and

http://images.apple.com/pr/pdf/q305fin_statements.pdf

and (press release)

http://www.apple.com/pr/library/2005/jul/13results.html

[narco]

I'm completely stoked, these finance companies need new analysers because they got Apple sooooooo wrong :D

My thoughts exactly. Most of these so-called "analysts" are about as useful as a guidance counselor. If they really had all the answers, they wouldn't be "analyzing" to begin with.

But I'm glad things are going well at Apple. All this "growth" talk is giving me a little growth of my own.

Fishes,
narco.

[maveness]

I'm currently trying to listen to the Quarterly Analyst's call... and it's filled with pops, gaps, and differing sound levels. What a mess!

http://stream.qtv.apple.com/events/jul/analyst/q3_2005_analyst_ref.mov

[rdowns]

That is crazy.
I would have thought iPod sales would have stayed pretty steady (even decline) but the iPod craze is obviously still very much there - given all the analyst's saying that the portable mp3 industry was in decline.
Also Mac sales wow, Apple have a crap line up atm, especially laptops, (apart from argueably iMac's) so i am v surprised they were up from last quarter, also given the Intel announcement.

I don't think the Intel announcement will effect Apple much, if at all. The general public, by and large , have no idea about the switch. Apple's power users and geeks do and sales of Power Macs already have sucked for 3 quarters now.

[shawnce]

I'm currently trying to listen to the Quarterly Analyst's call... and it's filled with pops, gaps, and differing sound levels. What a mess!

http://stream.qtv.apple.com/events/jul/analyst/q3_2005_analyst_ref.mov

Yeah, weird it is usually good quality. Someone screwed up plugging things in...

[asif786]

I'm currently trying to listen to the Quarterly Analyst's call... and it's filled with pops, gaps, and differing sound levels. What a mess!

http://stream.qtv.apple.com/events/jul/analyst/q3_2005_analyst_ref.mov

i know..the pops were so annoying that i just couldn't stand it any more. i had to turn it off :o

[Freg3000]

I'm currently trying to listen to the Quarterly Analyst's call... and it's filled with pops, gaps, and differing sound levels. What a mess!

http://stream.qtv.apple.com/events/jul/analyst/q3_2005_analyst_ref.mov

There was one part where I couldn't hear the question from the analyst at all. Generally it has been pretty flakey.

[Fiveos22]

Holy crap! (I'm an apple zealot and I'm even impressed)

[Lacero]

Without a doubt, Apple will be releasing dual-core Powermacs soon, to stem the prudent financial outlook on heels of the intel announcement.

[Lynxpro]

But what I wanted to know was the rate of Pepsi iTunes redemption this year. The previous year it was a miserable 5%.

Any clue?

And just to let everyone know, there is a promotion going on now at 7-Eleven with the 33oz. Slurpees. Granted, 7-Eleven will try to charge you the full price of the Slurpee even if you only want to buy a cup (the cup has the iTunes code on it).

[iSwift]

This is the first news/rumor article that has been posted where I haven't seen any "negative" votes. Although I'm sure that will change...

[fatbarstard]

Apple has momentum! And is it about to go into the school selling season...

Q3 is usually slow becuase it is the summer break and spending is usually down so this is a very strong set of numbers... that's why analysts have been down on the stock - its hard ot predict yet another v strong quarter on the back of the past two when all the history shows that Q3 should be slower... ya can't argue the math.

So Apple turns out a better performance than everyone thought... well thems the breaks... oh dear... how sad.....



:D :D :D :D :D :D :D

[rdowns]

:eek: :eek: :eek:
NICE! Very impressive. I wish they would still be telling us computer-independant sales, but oh well... :(
How does this compare to the last quarter? It has definately grown immensly compared to a year ago.

EDIT: 616% growth in iPods!?! Wow, it's still growing.

llama :o

With apologies to Dr. Q, here are some numbers

Desktop sales
687K units, $845M revenue, Q3 2005
608K units, $803M revenue, Q2 2005
416K units, $567M revenue, Q3 2004

Portable sales
495K units, $720M revenue, Q3 2005
462K units, $691M revenue, Q2 2005
460K units, $696M revenue, Q3 2004

iPod sales
6,155K units, $1.103B revenue, Q3 2005
5,311K units, $1.014B revenue, Q2 2005
860K units, $249M revenue, Q3 2004

Other music which includes iTMS
$241M, Q3 2005
$216M, Q2 2005
$73M, Q3 2004

Total revenue
$3,520M, Q3 2005
$3,243M, Q2 2005
$2,014M, Q3 2004

[rdowns]

But what I wanted to know was the rate of Pepsi iTunes redemption this year. The previous year it was a miserable 5%.

Any clue?


No numbers released but it would be a mere pimple on the ass of Apple Computer, Inc.

[Flying Llama]

With apologies to Dr. Q, here are some numbers

Desktop sales
687K units, $845M revenue, Q3 2005
608K units, $803M revenue, Q2 2005
416K units, $567M revenue, Q3 2005

Portable sales
495K units, $720M revenue, Q3 2005
462K units, $691M revenue, Q2 2005
460K units, $696M revenue, Q3 2004

iPod sales
6,155K units, $1.103B revenue, Q3 2005
5,311K units, $1.014B revenue, Q2 2005
860K units, $249M revenue, Q3 2004

Other music which includes iTMS
$241M, Q3 2005
$216M, Q2 2005
$73M, Q3 2004

Total revenue
$3,520M, Q3 2005
$3,243M, Q2 2005
$2,014M, Q3 2004

Cool, thanks rdowns. This is a very good quarter indeed.

llama

[Flying Llama]

Also nice to see we wont have supscriptions in the iTMS for now. Renting music is terrible, I don't see how anyone could like it.

llama

[maveness]

Despite impressive growth year-over-quarter, and beating market rates of growth in the computer sector, they are projecting FLAT revenues for next quarter; they describe this as a "prudent" response to concerns over lowered Mac sales in light of the Intel switch.

They totally dodged the question as to whether this flat forecast was made in light of a drop in sales seen after the Intel announcement (granted, only two weeks worth of data), or whether it was just being very conservative.

I'm still dithering over buying an iMac, myself, as I do need a new machine. Kinda hoping for another price drop.

[Cougarcat]

Great, now all Apple has to do is actually advertise their macs and OS X. :rolleyes:

[DakotaGuy]

With apologies to Dr. Q, here are some numbers

Desktop sales
687K units, $845M revenue, Q3 2005
608K units, $803M revenue, Q2 2005
416K units, $567M revenue, Q3 2004


Not bad for the desktops. Anyone know what model is the best seller? I know Apple quit releasing numbers by product families. My guess is the iMac G5 is killing even the mini in the desktop market.

I would say if they did release actual sales numbers by model in the desktop line it would probably rank like this... 1) iMac 2) Mac Mini 3) eMac 4) PowerMac. Anyone feel different?

I don't think the Intel switch will hurt much until part of the line is on Intel. The rest of the PowerPC product mix at that time will not sell. If the Mac Mini is the first to get an Intel processor it will then be faster then the PowerMac and iMac G5, so imagine what will happen to PowerMac sales??? Not good.

[Multimedia]

I don't think the Intel announcement will effect Apple much, if at all. The general public, by and large , have no idea about the switch. Apple's power users and geeks do and sales of Power Macs already have sucked for 3 quarters now.
Yeah that PowerMac sales down among geeks is really killing Apple. I only bought one before and another after the announcement. I'm really worried my dual 2.5 GHz PowerMac G5 will be so retarded next year - NOT! :p

Make no mistake - Universal Binary will be the RULE for at least a decade if not forever. I believe there will be ZERO impact on all PPC PowerMacs after the completion of the switch to Intel. And I think we will still get native PPC code for many years to come. :)

[autrefois]

Thanks rjfiske and rdowns!

Very good news all around. And they reiterated that there will be new Mac releases before the Intel switchover. Can't wait!

One caller also asked a really important question that gets raised here fairly often: if iPods are having a "halo" effect on Mac sales, why isn't Apple trying to capitalize on that by having Mac (TV) ads. The response was basically that if iPods are getting people to buy Macs, that iPod ads would certainly help the halo effect as well.

I suppose, but a Mac ad here and there couldn't hurt, could it?? I guess maybe now that the Intel switch is happening soon, it makes sense that they wouldn't necessarily do ads (or would it be the opposite: they should do ads to keep sales from slumping?). But anyway, I'm glad the question came up.

[treblah]

Despite impressive growth year-over-quarter, and beating market rates of growth in the computer sector, they are projecting FLAT revenues for next quarter; they describe this as a "prudent" response to concerns over lowered Mac sales in light of the Intel switch.

They totally dodged the question as to whether this flat forecast was made in light of a drop in sales seen after the Intel announcement (granted, only two weeks worth of data), or whether it was just being very conservative.


I think Apple is just being overly pessimistic. With the back-to-school sales this quarter I believe they will see an increase over this amazing quarter.

I agree Apple really needs to have some good OS X TV spots. All they need to do is record the screen of someone using it. Show the UI, installing + uninstalling of apps, Expose, Dashboard, and iLife. Have a narration describing what is being seen and mention no malware, viruses. Regular folk have no idea that there are alternatives to Windows.

[micvog]

Can one of your business types distinguish between "shipped" and "sold?" What if a bunch of computers are sitting in inventory, unsold?

"Shipped"/"sold" are the same - the total units sold to the distribution channel. Units sold to consumers would be "sell-through".

Since distribution channel inventories were relatively unchanged (4-6 weeks for iPod, 4-5 weeks for Mac), the sell-through was 6.1mm iPods and 1.1mm Macs (i.e. your very valid point of units sitting in inventory does not apply in this case).

[andiwm2003]

there are more desktops sold than portables. could that be a mac mini effect?

pity that they don't break down the numbers anymore. might be interesting to developers wich platforms are out there.

andi

[Frozone]

Dang...Can't wait until this Christmas quarter to see what impressive numbers Apple puts up... 10 Million iPod's sold? 1.5 Million Mac's?! Let's Hope! :D

[aswitcher]

I would say if they did release actual sales numbers by model in the desktop line it would probably rank like this... 1) iMac 2) Mac Mini 3) eMac 4) PowerMac. Anyone feel different?


Yeah I would like to see that breakdown.

[The Shadow]

I would say if they did release actual sales numbers by model in the desktop line it would probably rank like this... 1) iMac 2) Mac Mini 3) eMac 4) PowerMac. Anyone feel different?

I guess maybe the PMacs sold more than eMacs.

While most of the news is really rosy, it should be tempered by the relatively small growth in NOTEBOOK sales. This is really noticable and can only be attributable to the lack of G5 processor. I wouldn't mind betting Powerbook sales were flat or even down, and overall notebook figures propped up by the iBook (Could be wrong).

Anyway you look at it, this is a bit of a shame as Apple had industry leading momentum in notebooks for so long, although admittedly some of this was probably due to crappy G4 Powermacs and G4 iMacs alternatives driving people to notebooks.

Just sayin'

[micvog]

Despite impressive growth year-over-quarter, and beating market rates of growth in the computer sector, they are projecting FLAT revenues for next quarter; they describe this as a "prudent" response to concerns over lowered Mac sales in light of the Intel switch.

My guess is that as Apple gets closer to release Intel Macs, you will see more of a negative impact on PPC Macs.

If you "need" a Mac sometime over the next few months, you might as well buy one now (in the grand scheme of things, a speed-bumped PPC Mac will be obsolete just as fast as one that is not). So I think Apple is stealing out-period sales into the current period. There also are probably a fair number of people who wouldn't want a rev. A Intel Mac who are purchasing a PPC Mac to get them through the transition.

As we get closer to the Intel Macs, I think you will see those in the market wait, especially after today's AppleInsider article about the speed of the Intel Macs.

[AlmightyG5]

I think the Halo effect is working! :p

[rdowns]

there are more desktops sold than portables. could that be a mac mini effect?


NO, that's the PowerBook and iBook suck and have old technology and haven't had a decent update in ages effect. :D :D

[DakotaGuy]

there are more desktops sold than portables. could that be a mac mini effect?

More likely an iMac G5 effect.

[macidiot]

I think Apple is just being overly pessimistic. With the back-to-school sales this quarter I believe they will see an increase over this amazing quarter.


Apple is always conservative in its guidance. Which is a good thing in my book. And a sign of responsible management. Otherwise you can get into Enron type fiascos where management is trying to hit the numbers. Besides, its always better to underpromise and overdeliver.

[Makosuke]

Mmm... now them's some happy numbers. Desktop and laptop Mac sales up both quarter-to-quarter and year-to-year, iPod sales huge, and profits looking good (providing those profits are directly invested in cool new stuff, that's good too; otherwise I'd rather just see lower prices).

Considering the things I saw less than a week ago saying "now that the days of the iPod selling well are over...", it really makes you wonder whether these people just make stuff up when they write articles.

It's interesting on the breakdown; unit sales (and revenue) are up both since the same quarter last year and last quarter in every single market segment and global region Apple reports with the lone exception of Japan, which is down a little over last year. Japan is pretty Windows-centric and not many people use PCs anyway, but I wonder why that is?

[tristan]

I think it's Tiger. Everybody and their grandmother bought a copy. Sometimes I feel like the only guy on the net with Panther, like the last freakin' Mohican. I hope they saved something for next quarter.

[dejo]

I think it's Tiger. Everybody and their grandmother bought a copy. Sometimes I feel like the only guy on the net with Panther, like the last freakin' Mohican. I hope they saved something for next quarter.

You're not the only Mohican... :)

[macidiot]

My thoughts exactly. Most of these so-called "analysts" are about as useful as a guidance counselor. If they really had all the answers, they wouldn't be "analyzing" to begin with.

But I'm glad things are going well at Apple. All this "growth" talk is giving me a little growth of my own.

Fishes,
narco.


As far as I can tell the analysts haven't gotten Apple estimates right in about 10-15 years. At first, it could partly be attributed to the fact that Apple used to provide almost no guidance whatsoever, leaving the analysts to perform their own legwork. Since analysts apparently rarely do any actual work of their own, they were consistently incredibly wrong.

Now, Apple does provide some guidance. Which explains why analyst estimates are at least in the same universe as actuals. Since analysts still apparently don't do any work of their own, relying almost exclusively on guidance, they are still almost always wrong. One notable exception seems to be Piper Jaffray's Apple analyst, who appears to at least be performing some research.

Lesson here? Stock analysts as a rule are worthless. They typically tend to lag by several quarters. At best, they might provide some general sector coverage. And I've said this before, its your money. People should do their own research. The only one that really suffers from bad stock picks is the investor.

[Floop]

Tiger will have helped, but clearly it is the iPod which is bringing in the big moolah.

[Floop]

What would be interesting would be for someone to take the time, care and effort to go back through the archives and tabulate stock market analysts expectations for Apple's quarterly results alongside their supposedly informed commentary versus the actual results.

These analysts bother me. And the people who ask the inane questions during the broadcast call, most of whom ask for Apple to provide "a little more colour on this..." and "a little more colour on that..." when their questions have so ridiculously clear answers that I could have given them to them and the Apple people could have been sipping margaritas in a Jacuzzi.

Maybe that's what they were doing... would account for the crappity audio feed...

[mac-er]

Actually, I don't think they asked a question about advertising Macs in regards to the iPod halo effect.

They were asked about whether they would advertise that Macs with PowerPC processors were still good to prevent a drop-off in sales. They responded that there was still enough time before the first Intel Macs to decide that.

[Floop]

Actually, I don't think they asked a question about advertising Macs in regards to the iPod halo effect.
They were asked that question actually - and their response was

"If it is the iPod is causing the Halo effect, then actually what we should do is continue advertising the iPod".

I thought that was a pretty smart answer actually, one that I am surprised I could not figure out myself.

[Kirtus]

When they say shipped, I believe they're meaning sold... but I could be wrong.

llama :o

I think there is a distinction because they are including any computer donated and things like that.

[Fender2112]

- Question asked if Apple has considered advertising the Mac further especially surrounding the iPod "halo" effect, but no real answer was given.

I took this to mean: Why spend the extra money if the iPod can sell Macs?
I believe Apple should advertise Macs and OS X more aggressively. But obviously they don't share the same belief. :(

[springdaddy]

I want to know how the hell people can give this thread a negative vote? There are like 74 positives and 7 negatives as I write this...unbelievable!

[macidiot]

It's interesting on the breakdown; unit sales (and revenue) are up both since the same quarter last year and last quarter in every single market segment and global region Apple reports with the lone exception of Japan, which is down a little over last year. Japan is pretty Windows-centric and not many people use PCs anyway, but I wonder why that is?


I don't know, and this is idle speculation, but maybe its because of 2 Japanese stereotypes... herd/group mentality and intense xenophobia? One, everyone else uses windows, so to be part of the group, one should use windows too. Something like that adage, "the nail sticking out gets hammered down." And two, while windows is from an American company, there are plenty of Japanese pc manufacturers, like NEC, Fujitsu, Sony, etc. So, Japanese can buy a "Japanese" product, unlike with Apple. Kind of like why xbox is treated in Japan like it ships with embedded ebola virus.

Then again, it could just be because Apple hardware, with the exception of the mini, hasn't had any major introductions/upgrades in a long time.

[jiv3turkey748]

ive said it before and ill say it agian if sales are this good just imagine how good they could be if apple accually advertised something other than the ipod

[Fender2112]

Quote:

Originally Posted by andiwm2003
there are more desktops sold than portables. could that be a mac mini effect?

More likely an iMac G5 effect.

Or perhaps the lack of a G5 PowerBook. I think alot of folks were really holding out for that.

[iMeowbot]

ive said it before and ill say it agian if sales are this good just imagine how good they could be if apple accually advertised something other than the ipod
Sales were a lot lower when they were advertising the things. Maybe they're onto something :)

[rdowns]

Yeah that PowerMac sales down among geeks is really killing Apple. I only bought one before and another after the announcement. I'm really worried my dual 2.5 GHz PowerMac G5 will be so retarded next year - NOT! :p

Make no mistake - Universal Binary will be the RULE for at least a decade if not forever. I believe there will be ZERO impact on all PPC PowerMacs after the completion of the switch to Intel. And I think we will still get native PPC code for many years to come. :)

Regardless, PM sales have been in the dumps the past 3 quarters. (Looking for the numbers) Make that the last 6 quarters.

Q3 2005 - no longer separate out by family
Q2 2005 141K
Q1 2005 167K
Q4 2004 156K
Q3 2004 173K
Q2 2004 174K
Q1 2004 206K

[quigleybc]

yay!!

Money!!

yawn :rolleyes:

[rdowns]

I think it's Tiger. Everybody and their grandmother bought a copy. Sometimes I feel like the only guy on the net with Panther, like the last freakin' Mohican. I hope they saved something for next quarter.

I don't see that in the numbers.

Software last quarter $213 million
Software this quarter $239 million

Difference of $26 million - divide it by $100 for Tiger price (generous number given many sold at wholesale and not the $129 retail) and you have 260,000 copies. (poor assumption that only s/w revenue growth was Tiger).

I stand corrected, according to AppleInsider

Sales of Mac OS X "Tiger" added about $100m in revenue to Apple's quarterly results. Best selling release in company history. The install base of Mac OS X is now close to 16 million.

Over two million copies of Tiger shipped by early June. Apple then shipped "several hundred thousand" additional copies of the OS with new Mac purchases.

[davey-nb]

Then make it up!
According to Marketwatch:

"The photo iPod was a failure, the (smaller iPod) shuffles are going to wind up being challenged by mp3 players in phones and they don't have any important new Macs until next year," Mark Stahlman, managing director of equity research at Caris & Co., told CNBC's "Squawk Box."

The fact that iPods are now being sold at Wal-Mart (WMT, news, msgs) indicates the market is "relatively saturated," he added. Wall Street optimists are looking for shipments of 10 million iPods in the December quarter; it's very doubtful that will happen, Stahlman said.

And yes, this guy gets paid for these insights!

[rdowns]

I took this to mean: Why spend the extra money if the iPod can sell Macs?
I believe Apple should advertise Macs and OS X more aggressively. But obviously they don't share the same belief. :(

I think that was a smart response. As a VP of Sales and Marketing, might I suggest to Apple that they continue to advertise the iPods but put Macs in the ads as well? In the background but show them none the less.

[aegisdesign]

Tiger will have helped, but clearly it is the iPod which is bringing in the big moolah.

No.

The figures quoted are revenue, not profit.

[puckhead193]

great news,
Slowly and shortly apple will take over a huge piece of the computer market :p

[dejo]

Then make it up!
According to Marketwatch:

"The photo iPod was a failure, the (smaller iPod) shuffles are going to wind up being challenged by mp3 players in phones and they don't have any important new Macs until next year," Mark Stahlman, managing director of equity research at Caris & Co., told CNBC's "Squawk Box."

The fact that iPods are now being sold at Wal-Mart (WMT, news, msgs) indicates the market is "relatively saturated," he added. Wall Street optimists are looking for shipments of 10 million iPods in the December quarter; it's very doubtful that will happen, Stahlman said.

And yes, this guy gets paid for these insights!

Did Stahlman makes these comments after the quarterly report? If so, his predictions of future doom are probably an effort to distract attention from the fact that he probably was quite wrong about this last quarter.

[Xtremehkr]

Good job Apple. Keep the good stuff coming.

[aegisdesign]

Or perhaps the lack of a G5 PowerBook. I think alot of folks were really holding out for that.

That and PC laptops have got a lot more powerful and a lot cheaper in the last year. Centrino is really hurting Apple there.

[toolhouse]

Yah!

Accumulated 2000 shares over the years with an average cost of $17 pre-split, wife thougt I was nuts until last year. Go Steve!!!

[davey-nb]

Did Stahlman makes these comments after the quarterly report? If so, his predictions of future doom are probably an effort to distract attention from the fact that he probably was quite wrong about this last quarter.

Yeah, it was after the call.
I never knew there were so many Apple "experts".
Since the iPod sales explosion it seems everyone wants to say they know what Apple is up to. But they usually just make themselves look bad. Even Businessweek is running a story now saying the end is near for Apple.

[gwangung]

That and PC laptops have got a lot more powerful and a lot cheaper in the last year. Centrino is really hurting Apple there.

Hm. Maybe ya think Apple should do something about that? :rolleyes:

[minimax]

Mac sales have been stable since the introduction of the imac in Q1 2005. I will be impressed with apple if they succeed to extend the year to year growthrate of 35% into Q1 2006. Until then: yawn.

[Floop]

No. The figures quoted are revenue, not profit.

Sure, but why is the revenue higher than ever before?

Not because of the hardware.
Not because of Tiger (big, but not that big).

Revenue is higher than ever before because of the millions of iPods they have sold.

[Chaszmyr]

At the end of fiscal 2004, Apple announced that they had $8.28 billion annual revnue, and they were hoping to become a $10 billion company again soon.


Well the results are in. In only the first 3 quarters of fiscal 2005, Apple has announced total revenue of $10.25 billion.

Way to go Apple! :D

[Demoman]

I am not surprised Apple sales are up. In fact, I may be a pretty good case study why they are so. I am a new Mac man, athought I have been programming since 1983. 18 months ago, my boss asked me to learn video production. Gave me a 25K budget. Ended up with a PM 2.0 (very trick) and 10K worth of SW. Needed portibility..enter best PB you can configure. I was so impressed with the Apple products (and depressed by the cost jumps in Wintel - especially enterprise stuff), I started considering Macs as desktops, and using Citrix for running legacy stuff. We now have a test of 4 Minis running and may be close to making a switch away from Dell. This year, all 5 of my family have been converted from Wintel to Mac. My wife got an iPod for her birthday. It seldom is out of her ear. She recently bought me one. I am going to buy another PM soon. I did buy Apple stock. It is not going to be sold. Seems to me there are some pretty good people driving the ship.

[xsnightclub]

Keep in mind that Apple had a great Q3 for education purchases, the best in NINE years. That can lead to some real inroads in marketshare if schools begin to buy Apples (again)!

[freiheit]

That is crazy.
I would have thought iPod sales would have stayed pretty steady (even decline) but the iPod craze is obviously still very much there - given all the analyst's saying that the portable mp3 industry was in decline.

No kidding, and especially with all the hollering in the media that Apple had stockpiles of unsold iPods -- hard to imagine that when units sold were up 6X for the quarter. My god that's a lot of iPods. And most of those people will buy at least a couple of songs from iTunes Music Store, which will make iTunes revune go up in future quarters. I'd say Apple have done a splendid job of reinventing themselves over the past 5 years. It just wasn't Apple without Jobs, no matter what people may say about his management style -- he obviously gets the job done.

[GregA]

616% growth in iPods!?! Wow, it's still growing.Note that in comparison to last quarter, iPod unit shipments rose 16% with revenue growing 9%.

iPods are still growing at a good rate - but the huge jump happened over the last year. Do you remember last quarter results showed iPods having a similarly huge growth over the "previous 2nd quarter"?

And talking about advertising Macs:
I took this to mean: Why spend the extra money if the iPod can sell Macs?
I believe Apple should advertise Macs and OS X more aggressively. But obviously they don't share the same belief. :(Hey, why not just include information about Macs in the iPod boxes.

[Xtremehkr]

I wonder how much things will change when Apple makes the jump to Intel. Assuming that it removes all of the software barriers, making Apples an option for all software users. It may very well come down to a combination of an advanced operating system and attractive hardware.

I am sure that the Apples inbetween will be good as well, though the switch is going to bring about some changes. I just wonder how many changes. Maybe changes is not the right term, added abilities seems more fitting since Apple has said that OSX has been leading a double life for quite some time, I am curious to see what it can do in its other life.

Either way, by the time I am ready to upgrade again Apple will be using Intel chips. So have the iMac with the 23" display ready. The current setup will be relegated to running the entertainment system.

[LimeiBook86]

I stopped about 20 minutes into the thing. It sounds like someone was holding a microphone next to a tape recorder. :D

[jinzo012]

The Powerbook/iBook sales seem to be phenominal. I f you listen throught the call to the Q/A part they go on to say that Apple sold over 477,000 i/Power books.

So guess they're not really all too bad.

[bellis1]

I don't have an MBA so could someone tell me where all that profit goes?

A. Charity
B. Research and Development
C. Steve Job's Money Market Account
D. Shareholders
E. None of the above
F. B, C, and D
E. Everything but A

This is actually an honest question and not in jest.

[mcarnes]

Let's just hope Apple Records doesn't take it all.

[Xtremehkr]

I don't have an MBA so could someone tell me where all that profit goes?

A. Charity
B. Research and Development
C. Steve Job's Money Market Account
D. Shareholders
E. None of the above
F. B, C, and D
E. Everything but A

This is actually an honest question and not in jest.

I am thinking F.

I hope that B. gets the Lions share though, the payoff will come when more Apples are sold.

For charity, donate some computers to the education system. As self serving as that may seem, schools can always benefit from a few extra eMacs thrown in with every order.

[freiheit]

I don't have an MBA so could someone tell me where all that profit goes?

A. Charity
B. Research and Development
C. Steve Job's Money Market Account
D. Shareholders
E. None of the above
F. B, C, and D
E. Everything but A

This is actually an honest question and not in jest.

Well, every major corporation gives to charity -- mostly to keep the tax hounds at bay and give consumers an impression that they're "really decent people".

R&D is clearly an area where Apple excels. A company without a good R&D budget would not have developed the iPod mini in 2004, the iPod Shuffle in 2005, nor Panther in 2003 and Tiger in 2005.

As the CEO, Jobs most assuredly has a healthy stock portfolio including Apple stock, of course, and despite his "$1 annual salary" or whatever is taking home quite a tidy sum (CEOs live off their bonuses more than their salaries, even though both are typically way too much for what little actual work they do).

And yes, shareholders always want their money. That's why they're in business -- not to "make the world a better place" or to "help people to help themselves" but to make money. See reference to bonuses above.

There are other places Apple's profit goes -- acquisitions (buying apps like iTunes and Logic for instance), salaries and skyrocketing costs of doing business in their home state of California (taxes, insurance, electricity, etc. etc.). It's not cheap to do business in CA. That's one reason a lot of companies have moved out of the state (two of my former employers for example).

[dongmin]

What would be interesting would be for someone to take the time, care and effort to go back through the archives and tabulate stock market analysts expectations for Apple's quarterly results alongside their supposedly informed commentary versus the actual results.
Apple's beaten analysts' forecasts for seven straight quarters:
http://www.macsimumnews.com/index.php/archive/analysts_ipod_sales_slowing_while_mac_sales_surge/ (pararaph four)

You can pretty much guarantee Apple will do 5-10% better than forecasts...

And for all you hardware geeks complaining about Apple becoming an iPod company: iPod sales made up 31%, with 'other music' sales accounting for 6.8%. And this is despite the fact that laptops have pretty much reached a dead end (until the Intel transition) and Power Mac sales have stunk for a while. Once Apple finally gets the Pentium Ms into Macs, look out for some serious Mac growth.

[scu]

These are incredible numbers. What makes them so remarkable is that I belive much of increased sales are due to the Halo effect. Most Apple fans already have workable systems, but would love to upgrade. For two years we have waited for the 3 GHZ G5 Tower and the ever phantom G5 Powerbook. Some have given in and bought what was available, but most are still waiting. When those two products finally come out, we will see some real sales growth with strong profit margins.

I would buy as much Apple stock as one can afford. This stock will double if not triple in three years.

[woodman]

I don't have an MBA so could someone tell me where all that profit goes?

A. Charity
B. Research and Development
C. Steve Job's Money Market Account
D. Shareholders
E. None of the above
F. B, C, and D
E. Everything but A

This is actually an honest question and not in jest.

The bank. Apple has a lot of cash.

[dejo]

D. Shareholders

Only way this is possible is via dividends. AAPL doesn't do dividends. (So far).

[deanbo]

I wonder how long it will take for people to speculate on Apple's demise.

[deanbo]

Yah!

Accumulated 2000 shares over the years with an average cost of $17 pre-split, wife thougt I was nuts until last year. Go Steve!!!

Wise man. Those shares should be worth about $130,000 plus by my calculations. I would hold on too, as I think things are only going to get better for Apple.

[gwangung]

The bank. Apple has a lot of cash.

And that's a hedge to ride out downturns, and to form a reserve to acquire companies that might catch their eye.

[woodman]

Yeah, it was after the call.
I never knew there were so many Apple "experts".
Since the iPod sales explosion it seems everyone wants to say they know what Apple is up to. But they usually just make themselves look bad. Even Businessweek is running a story now saying the end is near for Apple.

Yeah, I like this part of the Businessweek article:

"Still, the consensus among analysts is that iPod sales compared to the previous quarter will be flat, at roughly 5 million units. From a device that has boosted Apple's revenues 148% since 2001, signs of a plateau are clear. "

I wonder what they say about Apple on their "Tech and You" Podcast :D

http://www.businessweek.com/technology/content/jul2005/tc20050713_9022_tc024.htm?campaign_id=topStories_ssi_5

[GregA]

R&D is clearly an area where Apple excels. A company without a good R&D budget would not have developed the iPod mini in 2004, the iPod Shuffle in 2005, nor Panther in 2003 and Tiger in 2005.I thought that R&D spending was part of their costs?

I mean, if $1million of earnings went into R&D, then the profit would actually be $1 million less. Or am i missing something?

Oh - one other thing - Apple now has $7billion in the bank, a few years ago it was $4billion. So one place the money goes is "into the bank, savings for the future!".

[woodman]

Yeah, I like this part of the Businessweek article:

"Still, the consensus among analysts is that iPod sales compared to the previous quarter will be flat, at roughly 5 million units. From a device that has boosted Apple's revenues 148% since 2001, signs of a plateau are clear. "

I wonder what they say about Apple on their "Tech and You" Podcast :D

http://www.businessweek.com/technology/content/jul2005/tc20050713_9022_tc024.htm?campaign_id=topStories_ssi_5

One more quote from that article:

"Goldman Sachs, for one, thinks Tiger sales could have boosted revenue by as much as $50 million. "

[Flying Llama]

I don't have an MBA so could someone tell me where all that profit goes?

A. Charity
B. Research and Development
C. Steve Job's Money Market Account
D. Shareholders
E. None of the above
F. B, C, and D
E. Everything but A

This is actually an honest question and not in jest.

I don't see the point of either Es...

llama :confused:

[Chaszmyr]

I don't have an MBA so could someone tell me where all that profit goes?

A. Charity
B. Research and Development
C. Steve Job's Money Market Account
D. Shareholders
E. None of the above
F. B, C, and D
E. Everything but A

This is actually an honest question and not in jest.

It goes a lot of places. Some of it goes into the bank, some of it goes to Apple employees, etc... Then a lot of it goes back into the company, more money to spend on developing awesome new products.

[tristan]

Wow, $7B in cash. Hey, Apple, if you want, I'll take that to Vegas and double it in a weekend. I've had some bad luck lately, but I think it's turning around. I can feel it. Better yet, let's go right now and just call in sick tomorrow and friday. Don't worry, we'll Tivo Galactica. What do you say, Steve?

[dylomel]

gosh....time to have a piece of Apple share............... :p

[chatin]

I've stopped recommending any and all MS products. Period, end of story.

The activator problems, security holes, etc are no longer something I want to spend any time with.

Of course, I am an "opinion leader" and that means hundreds of people are swayed by my reality distortion feild! :rolleyes:

[oingoboingo]

I've stopped recommending any and all MS products. Period, end of story.

The activator problems, security holes, etc are no longer something I want to spend any time with.

Of course, I am an "opinion leader" and that means hundreds of people are swayed by my reality distortion feild! :rolleyes:

What do you recommend as an office productivity suite for Mac users then? I find Pages/Keynote to be too limited and NeoOffice/J too slow and 'alien' feeling. I haven't tried Nisus Writer or Mariner Calc though.

[rogo]

"A. Charity
B. Research and Development
C. Steve Job's Money Market Account
D. Shareholders
E. None of the above
F. B, C, and D
E. Everything but A"

Profit goes to none of these at Apple.

R&D is a cost. It's accounted for as an expense and does not fall down to the profit line. Except as referenced below.

Steve Jobs is not an embezzler.

Apple pays no dividend.

Charity is a cost, albeit an infinitesimal one for Apple. It's deductible for IRS purposes, but it's not an accounting deduction.

Apple takes its profits and puts the money into the bank, as do most corporations that don't pay dividends. The other thing the money does is allow for increased investment spending -- which is deducted over years via depreciation typically -- which might mean building new plants, offices, etc. In addition, some R&D can be capitalized so having lots of cash allows for larger scale increases in R&D than is normally possible without borrowing.

[Swift]

I've spent a fair amount of time in the last few months figuring out how to put an iPod in my car. I ended up buying a CD Player/Receiver with an Aux input, and a charger. I'm still not happy with it completely, but it gives good audio. While looking around for the best gear for me, I've become aware of what's going on out there. You can see, if you look, that putting an iPod in the car is a growing phenomenon. This week's announcement by Harman Kardon that they'll going to sell an interface that allows for external control, charging, and a screen that displays the current track, is further proof. Six months ago I went into a car audio store and asked if they had a receiver that would play nice with the iPod, and they looked at me as though I was nuts. Now, there's a big banner hanging from every "Al's and Ed's Autosound" that announces a specialized service to set it up in your car.

[jinzo012]

Who in the hell voted this negative?!

[Prom1]

Magnificent!

Simply Perfection!

This is what I always hoped for and expected from Apple. Lets all hope 3 major things. That this trend continues till at least year end, then shifts next summer to the desktop lineup - sales going full steam. That Apple starts offering dividends to shareholders. And lastly, lets hope that WallStreet will finally adopt the beauty of Apple and do what their dentists always told them. An Apple a Day.... ;)

[Eric5h5]

Who in the hell voted this negative?!

Windows fanboys, obviously. (Yes, that's technically an oxymoron, but some people are paid to be....)

--Eric

[MikeAtari]

Apple shares up $.76 in after hours trading. I hope this is the beginning of another run up as I still own 250 shares.

"after hours trading" <-- Isn't this another wall street scam.

[FadeToBlack]

Way to go, Apple!!! :)

[scu]

Well the stock has really taken off this morning. Up 8%. It is about time.

[AP_piano295]

So much for the somewhat expected fall off :D
I expected ipod sales to start falling as it seems like everyone already has one but I guess everyone wants two

[powerbook911]

I almost bought some extra shares last night... :(

[Lynxpro]

I think that was a smart response. As a VP of Sales and Marketing, might I suggest to Apple that they continue to advertise the iPods but put Macs in the ads as well? In the background but show them none the less.



I agree. At the end of the iPod+iTunes commercial, when the iconic Apple logo is shown, the camera should pan out and show the viewer that the whole commercial was running on an iBook.

If anyone at Apple is reading this and uses this suggestion, please send me an iBook. A copy of Final Draft would also be nice too... :)

[Lynxpro]

salaries and skyrocketing costs of doing business in their home state of California (taxes, insurance, electricity, etc. etc.). It's not cheap to do business in CA. That's one reason a lot of companies have moved out of the state (two of my former employers for example).


Apple, generally thought to be a liberal company (Al Gore on the board, not that he's a true liberal), gave some political donations to one of Governor Arnold's reform propositions.

[Lynxpro]

Only way this is possible is via dividends. AAPL doesn't do dividends. (So far).



Apple shouldn't do dividends until they have 30% of the American PC market. Until then, they should use the cash on R&D, marketing, and acquisitions.

Like, for example, in the next few months, buying Creative out of bankruptcy. Creative has some great IP. Not to mention a stake in THX which could be milked with the pro-apps. And EMU.

Or, send some cash to whomever is truly calling the finances of Michael Jackson and grab hold of his 50% holding in ATV Publishing, giving Apple 50% of the Beatles publishing rights and leverage against Apple Records into settling once-and-for-all and giving the iTunes Music Store exclusive rights to the online digital sales of Beatles music.

Or buy now-privately-held Roxio and incorporate Toast into iLife. Milk EasyMedia Creator on the PC side and funnel the profits into iLife development.

Buy DeliciousMonster, and incorporate it into iLife.

Or...the old rumor. TiVo.


All of those scenarios are better than issuing dividends because all of those suggestions would strengthen Apple and generate more sales.

[wdlove]

This is awesome news. Congratulations to Apple and Steve Jobs. Now to look to the future. Hopefully Apple has plans to build on its current success.

[dontmatter]

good, solid results. Anybody know quarter on quarter results?

Also, how much of the quarter was before and how much after the intel announcment?

This sets apple up perfectly-did very well. Now they estimate stagnation for the next quarter, and get to impress by beating their expectations. Then, people buy for the x-mas season, thinking intel macs are far off, and it being x-mas. So, apple maintains face in the most important quarter of the year to get right. Just as the intel thing will catch up to them, and they have the very hard just after christmas quarter, they announce intel macs early, and we're golden.

[mcarnes]

Or, send some cash to whomever is truly calling the finances of Michael Jackson and grab hold of his 50% holding in ATV Publishing, giving Apple 50% of the Beatles publishing rights and leverage against Apple Records into settling once-and-for-all and giving the iTunes Music Store exclusive rights to the online digital sales of Beatles music.

That would be sweet.

[macidiot]

Apple, generally thought to be a liberal company (Al Gore on the board, not that he's a true liberal), gave some political donations to one of Governor Arnold's reform propositions.

most corporations give to both parties. All the other stuff about who is in whose pocket is just spin. For example, I went to a DNC party, and was somewhat surprised to see a large contigent from big oil. When I asked(the oil people), they simply said, we give pretty much the same to both parties. They kind of don't care who wins...

Besides, at anything other than the Presidential level, both parties are all over the map politically. There are plenty of conservative Democrats and progressive Republicans in congress and the senate. In fact, Gray Davis was a democrat and could hardly be called liberal. Arnold is republican, but could hardly be called a christian right conservative. Again, its a lot of spin.

[macidiot]

I've spent a fair amount of time in the last few months figuring out how to put an iPod in my car. I ended up buying a CD Player/Receiver with an Aux input, and a charger. I'm still not happy with it completely, but it gives good audio. While looking around for the best gear for me, I've become aware of what's going on out there. You can see, if you look, that putting an iPod in the car is a growing phenomenon. This week's announcement by Harman Kardon that they'll going to sell an interface that allows for external control, charging, and a screen that displays the current track, is further proof. Six months ago I went into a car audio store and asked if they had a receiver that would play nice with the iPod, and they looked at me as though I was nuts. Now, there's a big banner hanging from every "Al's and Ed's Autosound" that announces a specialized service to set it up in your car.


I've had an iPod in my car for some time now... in fact that's why I purchased one (in L.A. its kind of stupid to buy an iPod for walking on the street or for the subway commute since, well, people rarely do either here). There are several decent solutions out there. There's the icelink, which I have, the icruze from Monster, the H/K you mentioned, Alpine makes one, and I think Clarion is doing one. Not to mention all the factory kits from BMW, Mercedes, and other car manufacturers.

And I definitely think that a secret key to iPod dominance is the dock connector. Get that to be the standard interface in cars, stereos, etc. and its all over for the competition.

[Lynxpro]

Arnold is republican, but could hardly be called a christian right conservative. Again, its a lot of spin.



Being Republican does not mean being a *Christian* right or *Jewish* right conservative. Although the Christian Coalition would like the public to think so. Witness Arnold or John McCain. That's what really pissed me off about the Christian Coalition. They effectively blocked McCain from the nomination in 2000. McCain would've smoked Gore in that election, and Kerry too in 2004. The type of *smoking* that would be called a "landslide." But no, we got someone that probably should've been a VP nomination instead at best.

McCain's a fiscal conservative/social liberal, which is what most American voters would probably identify themselves as. And McCain wouldn't take any krap from China either...seeing that one of their officials just mouthed off that they'd fire their nukes at us if we interfered in their planned invasion of democratic Taiwan and we sank one of their ships. Me thinks McCain would threaten them with a total release of America's nuclear arsenal on China if even one of their missiles were fired at us, or one of our overseas bases.

Then again, me thinks its time a *rogue* element of the CIA provided some nukes to Taiwan to defend themselves with and allowed us to decouple from the whole situation. It would be tit-for-tat since China probably helped North Korea with its nuke program.

As for how this would effect Apple (and stay on-topic with the thread)? Hmmm...shift production to Singapore or India. Would wipe out all those iPod competitors though... :)

And a word to the wise...in the advent of a war with China, short Wal-Mart stock! You heard it here first! :)

[GregA]

good, solid results. Anybody know quarter on quarter results?

Also, how much of the quarter was before and how much after the intel announcment?The quarter on quarter results are there too. iPod was up 15-20% on last quarter, similar stats on the rest I THINK.

Apple said Mac sales weren't affected by the Intel announcement, but that was based on only 2-3 weeks of sales since WWDC. So 2-3 weeks is your answer there.

[macidiot]

Being Republican does not mean being a *Christian* right or *Jewish* right conservative.

without going completely off topic, I agree. That's what I meant, both parties love to put their spin on things and pidgeonhole everyone. I'm ostensibly a Republican but can't stand the so-called christian coalition. Conversely, here in L.A. someone hears your a Republican and everyone assumes your a creationist warmonger, quite possibly with bad dental care and a-little-too-friendly relationship with relatives.... ;)

[willhclark]

Apple stock up 6.26 % today. Cha-Ching! :)

[Mac'em X]

I don't know, and this is idle speculation, but maybe its because of 2 Japanese stereotypes... herd/group mentality and intense xenophobia? One, everyone else uses windows, so to be part of the group, one should use windows too. Something like that adage, "the nail sticking out gets hammered down."

Makosuke says "Japan is pretty Windows-centric and not many people use PCs anyway"... What are you guys talking about?

The Mac does at least as well in Japan as it does anywhere else; it's Apple's second largest market, after all, and the first place Apple went when expanding its stores overseas. Japan has long been a Mac stronghold.

Xenophobia??? In a land where almost EVERY computer uses one foreign-developed OS or another, where foreign companies dominate the non-OS software market, and where Dell, IBM, Apple, and other foreign hardware makers do great?

Not many people use PCs?? Japan is one of the world's top markets for personal computers of all kinds. It's awash in computers, at home and at offices, like any other wealthy, developed nation.

Hello?

[wdlove]

Being Republican does not mean being a *Christian* right or *Jewish* right conservative. Although the Christian Coalition would like the public to think so. Witness Arnold or John McCain. That's what really pissed me off about the Christian Coalition. They effectively blocked McCain from the nomination in 2000. McCain would've smoked Gore in that election, and Kerry too in 2004. The type of *smoking* that would be called a "landslide." But no, we got someone that probably should've been a VP nomination instead at best.

I totally agree about McCain, but this type pf posting could get this thread locked or sent to the wasteland. Apple is a business and so it gives to both sides for its own protection.

The 3rd Quarter profits are a result of sales world wide and to customers of all walks of life.

[Lynxpro]

without going completely off topic, I agree. That's what I meant, both parties love to put their spin on things and pidgeonhole everyone. I'm ostensibly a Republican but can't stand the so-called christian coalition. Conversely, here in L.A. someone hears your a Republican and everyone assumes your a creationist warmonger, quite possibly with bad dental care and a-little-too-friendly relationship with relatives.... ;)



Agreed. Since I *think different,* (thus staying ontopic) I really wish the moderates of both parties would create a unified centrist party that would actually get stuff done politically, and leave both of the extreme sides to sulk at home since they are both unelectable.

[Lynxpro]

Makosuke says "Japan is pretty Windows-centric and not many people use PCs anyway"... What are you guys talking about?


That quote pretty much applies to the majority of Asia too. The Asian markets are skewed towards the mobile phone industry for access to the net.

Like the fascination with Pokemon, I probably never will understand the draw of SMS. I like having the option to send text messages over my phone, but without a decent keyboard, I rarely use it. Tapping the same key three-or-four times to get the actual letter I want is cumbersome. A mini thumbpad keyboard with Bluetooth is what I'd want....and I hope will be marketed as an accessory to any so-called iPhone.

[AtHomeBoy_2000]

I am finally listening to it as we speak. Man, they sounded pissed at IMB for lack of processor production. They were so pissed that they basically blamed them for not being able to release an update to the iMac line until September. OUCH!

On a side note: Good to know that there will be new iMacs around the same time I will be in the market to buy one!