Will apple ever have larger market share than microsoft?

[yettimillan]

Hi i know that the amount of people using Mac os X has increase a bit over the last few years.

My question is... will mac os ever surpass the Microsoft os in terms of users. Or even if mac can't do it alone, with the growth in linux, will mac, linux and various other os's surpass the Microsoft os?

Thanks

[ss957916]

No - because Apple aren't targeting a mass market.

[jessica.]

Nope, not until major organizations adopt different technology ... ie: move away from MS. And fact is, many servers are MS servers and they're very efficient.

[stridemat]

Nope as the majority of business users use windows and will stay with them for the foreseeable future.

The only way it would happens is if Microsoft go bankrupt and stop supporting all their software. (not going to happen ever)

[thejadedmonkey]

god I hope not, Apple is way too arrogant as is!

[gunraidan]

The reason why OS X lags so far from Microsoft is because the only legal and intuitive way to get OS X is to be a Mac which aren't only tied to one brand, but are more expensive than your average computer.

[ss957916]

The reason why OS X lags so far from Microsoft is because the only legal and intuitive way to get OS X is to be a Mac which aren't only tied to one brand, but are more expensive than your average computer.

Of course - good point.

Why don't Apple have a PC version of OS X?

Great way to get people to try (and love) the OS and then make the full move over to a Mac.

[ravenvii]

Of course - good point.

Why don't Apple have a PC version of OS X?

Great way to get people to try (and love) the OS and then make the full move over to a Mac.

Been discussed a million times. Not gonna happen, makes zero business sense for Apple.

[arkitect]

god I hope not, Apple is way too arrogant as is!
Agreed. Imagine Steve Jobs with 95% marketshare? :eek:


Why don't Apple have a PC version of OS X?

Great way to get people to try (and love) the OS and then make the full move over to a Mac.

How do you figure that out?

If it was possible to run (easily and legally) Mac OS on a generic PC, believe me I would not be buying Mac hardware. And I suspect I am not alone.

Apple would end up having to compete with Microsoft on software sales alone… goodbye Apple. Or at least, goodbye Mac.

[pdjudd]

Great way to get people to try (and love) the OS and then make the full move over to a Mac.

WHo in their right mind would get Mac hardware if they can get the software to work in cheaper hardware? Thats like suggesting that BMW should give its technology to Toyota and expect people to buy BMW's - that just won't happen. Were Apple to take that route, it would introduce people to the Mac software, but it would not do anything to the hardware side of things becasue they are never introduced to it. People would just go "Mac OS - nice, my next computer is going to be the same system - the hardware is way overpriced though - I can get it cheaper from Dell".

Microsoft already dominates the OS market to such a high degree that competing on that level is just impractical - which is why Apple sells hardware - so that they have a distinctive business model that they can comptete with. You drop the hardware business and Microsoft can promptly kill you off because you are more vulnerable to the whims of other companies that MS has better relationships with. It has nothing to do with the qulaity of the software - it has to do with the nature of the market. Microsoft got to where they duid bnecasue of a market fluke - notice that nobody can replicate MS's business model and that MS tends to do poorly in markets where they do not have established control in a related sector.

[ChrisA]

Hi i know that the amount of people using Mac os X has increase a bit over the last few years.

My question is... will mac os ever surpass the Microsoft os in terms of users. Or even if mac can't do it alone, with the growth in linux, will mac, linux and various other os's surpass the Microsoft os?

Thanks

No. Apple always targets the upper end of the market and ignores the low end. Apple will adjust what it sells so that they always have the more expensive and more profitable products.

If anyone passes up Microsoft it will because people stop buying the current kind of computer, the big screen with keyboard in front of it. Microsoft does not dominate any market other than the one for conventional computers but that kind of computer may remain the main type for 25 or 30 more years. Microsoft's biggest fear is that "the next big advance" may leave them being irrelevant. They are right to think so.

[nick9191]

If Apple release OS X to run on PC's then most likely. Which I suspect will happen at some point.

And I advise everyone to watch this series of videos http://www.youtube.com/watch?v=_lrjsG_esX0 (don't forget parts 2, 3 and 4) before anyone claims that it's bad business sense, people wont buy Mac hardware, viruses will come to the Mac etc.

[mynewromantica]

Of course - good point.

Why don't Apple have a PC version of OS X?

Great way to get people to try (and love) the OS and then make the full move over to a Mac.


THis defeats part of the purpose of having a Mac. Part of the reason OS X is so reliable and stable is because it is only used on very specific hardware. If it were open to all sort of hardware it would open up a pandora's box of problems with compatibility and stability that Apple has spent years avoiding and they have done it very successfully. If Apple were to open up their OS like that it would be a disaster.

[nick9191]

THis defeats part of the purpose of having a Mac. Part of the reason OS X is so reliable and stable is because it is only used on very specific hardware. If it were open to all sort of hardware it would open up a pandora's box of problems with compatibility and stability that Apple has spent years avoiding and they have done it very successfully. If Apple were to open up their OS like that it would be a disaster.

Again you're projecting problems with Windows onto OS X. Many operating systems: BSD, Solaris, 100's of Linux distributions all run on x86 hardware, reliably and stable.

Windows has problems for many reasons. Flaws within the design of Windows that cannot be changed without breaking compatibility, legacy code dragged throughout modern versions of Windows to ensure backwards compatibility. If you start projecting Windows specific problems onto other operating systems then it shows how badly the Windows mentality has affected people, and just proves my point that we badly need competition within the OS retail space. When I say "Windows mentality", I basically mean that people think because Windows suffers from a problem or performs a task in a certain way, then other operating systems will as well.

Not only that, but Apple has many issues with compatibility and stability in regards to drivers as it is. Graphics drivers from both ATI and Nvidia suck ass compared to their Windows counterparts. If you release OS X then you pick up a larger user base and companies will flock to your platform to develop their software and write drivers for their hardware. So if you release OS X the variety and quality of drivers available will dramatically improve. It's OS X that is having a real problem with drivers right now, not Windows.

To summarise the above in a statement: OS X can handle it.

[Winni]

Hi i know that the amount of people using Mac os X has increase a bit over the last few years.

My question is... will mac os ever surpass the Microsoft os in terms of users. Or even if mac can't do it alone, with the growth in linux, will mac, linux and various other os's surpass the Microsoft os?

No. Microsoft provides a versatile platform on which almost all industries have standardized, and what's even more important, there's a huge third party ecosystem around the Microsoft platform. Microsoft owns the corporate desktop and the lion share of the corporate server room.

Apple only targets the home users and doesn't even have products for the corporate market. Apple does not have a corporate-ready office platform, they don't have any backoffice software at all and their choice of server hardware is a joke when you compare it to what Dell and HP and IBM offer.

Linux is a server and maybe also a gadget/appliance platform, but it totally fails on the desktop. Heck, even in the server room, it is mostly limited to being the L in the LAMP stack.

There are many good reasons why Apple is betting its survival as a corporation on consumer gadgets...

[Lord Blackadder]

I hope not, and doubt it. I want Apple to grow more, but never to oust MS as the big faceless overdog of the computer world.

[nick9191]

WHo in their right mind would get Mac hardware if they can get the software to work in cheaper hardware? Thats like suggesting that BMW should give its technology to Toyota and expect people to buy BMW's - that just won't happen. Were Apple to take that route, it would introduce people to the Mac software, but it would not do anything to the hardware side of things becasue they are never introduced to it. People would just go "Mac OS - nice, my next computer is going to be the same system - the hardware is way overpriced though - I can get it cheaper from Dell".

The car analogy doesn't really work since Apple switched to Intel. The hardware is the same. If you say that Apple can't sell a Mac because PC's are running OS X as well, then you need to explain why many OEM's can compete successfully over one OS (Windows). If people only bought cheap hardware then premium lines would not exist. Dell XPS, Alienware , Falcon Northwest, Voodoo, are all premium brands of hardware and all sell well, whilst charging the same markup as Apple and running the same OS as a $399 PC.

Not only that but Apple's OS X user base does not match Apple's hardware sales. Apple's hardware sales do outweigh OS X users, showing that people are buying Mac's to run Windows, Linux etc. Granted the difference is not much simply because Apple (thankfully) do not offer Macs with Windows installed, and many users do not know how or do not want to buy and install Windows themselves. But if Apple did offer Macs with Windows alongside Macs with OS X, I can guarantee you that Apple's hardware sales would far outweigh OS X users.

There are many advantages of buying a Mac even if you do not intend to use OS X. Excellent build quality, excellent customer support, excellent design. Certainly some Mac users would go out and buy a PC with OS X instead of buying a Mac, but this loss would easily be offset by software sales. Not only that but in many countries outside of the US, the Mac is a relatively alien platform. By licensing out OS X you would increase awareness of OS X 10x fold around the world, and I'm willing to bet that because of this, Apple's hardware sales would increase, not decrease if OS X was set free.

If you say that Apple can't sell a Mac because PC's are running OS X as well, then you have a poor opinion of Apple hardware (which fair enough, some people do).

[yettimillan]

The reason I say this is because i have had a few compatibility issues.

Firstly i re formatted my usb data traveller and it now only shows up on mac. Also when i saved my pages document as a .doc it re formatted it so some of the things didn't come up.
I do have bootcamp so i could use ms word but i think pages is far better with designing so i want to use it still.

What i really want is for colleges and schools to have a mix of macs and windows so we can choose which os to use.

[LethalWolfe]

By licensing out OS X you would increase awareness of OS X 10x fold around the world, and I'm willing to bet that because of this, Apple's hardware sales would increase, not decrease if OS X was set free.
Already tried that and it nearly killed Apple in the 90's. Apple is a *hardware* company that makes some topnotch first party software. Software is basically a loss leader for Apple.


If you say that Apple can't sell a Mac because PC's are running OS X as well, then you have a poor opinion of Apple hardware (which fair enough, some people do).
I guess Apple has a low opinion of their own hardware then...


Lethal

[chstr]

lets hope not eh?

[dmmcintyre3]

THis defeats part of the purpose of having a Mac. Part of the reason OS X is so reliable and stable is because it is only used on very specific hardware. If it were open to all sort of hardware it would open up a pandora's box of problems with compatibility and stability that Apple has spent years avoiding and they have done it very successfully. If Apple were to open up their OS like that it would be a disaster.

Accually Mac OS X is very stable once booted using hacked kexts (My video driver is a modified gma x3100 kext running the 4500 and my wifi is the same way).

[Consultant]

When computer prices come down to the level of iPod, iPhones, people will pay a little bit more for a better product.

[nick9191]

Already tried that and it nearly killed Apple in the 90's. Apple is a *hardware* company that makes some topnotch first party software. Software is basically a loss leader for Apple.

The clones did no such thing. Apple was already crashing, the clones were a last minute attempt to rescue Apple. The clones also equated to a very low percentage of computers sold running the Mac OS. In 1995, the clone makers combined, sold 200,000 units vs. Apple's 4.5 million (source (ogether, they shipped about 200,000 units last year, a smidgen compared with Apple's 4.5 million.))

Apple failed because their management system was a joke, they could not fulfil orders, and they lost their technological advantage to Windows by being so protective of their software (note: the last point is repeating itself again today).

[xIGmanIx]

no, never will. Both OS's are already entrenched in their respective niche's

[hss1]

Dont think Apple will ever have such a large market share, but with on 10% it turns over $34 Billion a year as of 2009 with Nearly $6 billion profit.

Apples profit margin is up to 30% per machine the highest out of any computer company!!!! and rumoured 60% on the Iphone

Microsoft makes $50 per $1000 machine and apple makes $300 on a $1000 unit which is nearly 6 times what Microsoft makes!!!!! Why would Apple ever licence mac OSX to other Manufacturers and get Microsoft's returns

Microsoft's turnover with 80% market share is $60 Billion with about $10 billion profit

So Apple is actually doing very well!!!! i do think apple will overtake Microsoft in the next 5 years to become worth more than it.

About market share look what happened to GM!!! Apple is a niche like Gucci, BMW, Audi etc and wants to retain its brand image as a Quality premium Bran

[Le Big Mac]

The only way it would happens is if Microsoft go bankrupt and stop supporting all their software. (not going to happen ever)

And some other company would have bought up the code/rights/windows team anyway.

But the broader point is that MS won't go bankrupt until some time after windows/Ms is no longer broadly used.

[thegoldenmackid]

If Apple release OS X to run on PC's then most likely. Which I suspect will happen at some point.

Why, they have a hardware monopoly.

[gnasher729]

Hi i know that the amount of people using Mac os X has increase a bit over the last few years.

My question is... will mac os ever surpass the Microsoft os in terms of users. Or even if mac can't do it alone, with the growth in linux, will mac, linux and various other os's surpass the Microsoft os?

Both companies operate mostly in different markets.

Apple is far ahead in desktop, laptop and even server sales. Microsoft doesn't sell anything in these markets.

Microsoft is far ahead in operating system, general productivity software, and email-related software.

Apple is far ahead in music player and phone hardware. Microsoft is far ahead in high-end game consoles, while Apple has sold a shedload of low-end portable gaming devices.

Apple has just recently overtaken Microsoft in the mobile devices software market. Ouch, that hurts.

So you could ask two questions: Will Apple overtake Microsoft in revenue or profit? Could be, give it a few years. Will Apple overtake Microsoft in the one market where Microsoft has its biggest strength? Not for a long time.

[xIGmanIx]

Dont think Apple will ever have such a large market share, but with on 10% it turns over $34 Billion a year as of 2009 with Nearly $6 billion profit.

Apples profit margin is up to 30% per machine the highest out of any computer company!!!! and rumoured 60% on the Iphone

Microsoft makes $50 per $1000 machine and apple makes $300 on a $1000 unit which is nearly 6 times what Microsoft makes!!!!! Why would Apple ever licence mac OSX to other Manufacturers and get Microsoft's returns

Microsoft's turnover with 80% market share is $60 Billion with about $10 billion profit

So Apple is actually doing very well!!!! i do think apple will overtake Microsoft in the next 5 years to become worth more than it.

About market share look what happened to GM!!! Apple is a niche like Gucci, BMW, Audi etc and wants to retain its brand image as a Quality premium Bran

microsoft doesn't make any computers

[nick9191]

Why, they have a hardware monopoly.
Look at the profits Microsoft drag in, then look at the profits Apple drag in, then tell me as an American corporation which you would prefer :)

[Scooterman1]

If Apple's technology is so great, then why can't they develop enough drivers to run on a PC (generic)?
If their Hardware is so great along with their OS, then why are they so afraid to release a PC version? If the hardware was so much better by itself, people that wanted to pay the extra money, still would? Wouldn't they?

If they did release the OS, then maybe they would have a chance of overtaking Microsoft's stronghold.

[clevin]

how does apple as a hardware/software packaging company physically be able to produce amount of computers demanded by the market each year?

Silly, apple will never surpass MS's open mode. In that regard, Linux has more potential than Macs.

[gunraidan]

Of course - good point.

Why don't Apple have a PC version of OS X?

Great way to get people to try (and love) the OS and then make the full move over to a Mac.

Because they make most of their money off of hardware sales.

WHo in their right mind would get Mac hardware if they can get the software to work in cheaper hardware? Thats like suggesting that BMW should give its technology to Toyota and expect people to buy BMW's - that just won't happen. Were Apple to take that route, it would introduce people to the Mac software, but it would not do anything to the hardware side of things becasue they are never introduced to it. People would just go "Mac OS - nice, my next computer is going to be the same system - the hardware is way overpriced though - I can get it cheaper from Dell".

Microsoft already dominates the OS market to such a high degree that competing on that level is just impractical - which is why Apple sells hardware - so that they have a distinctive business model that they can comptete with. You drop the hardware business and Microsoft can promptly kill you off because you are more vulnerable to the whims of other companies that MS has better relationships with. It has nothing to do with the qulaity of the software - it has to do with the nature of the market. Microsoft got to where they duid bnecasue of a market fluke - notice that nobody can replicate MS's business model and that MS tends to do poorly in markets where they do not have established control in a related sector.

Microsoft is so dominant due to the fact that there has never been a serious competitor for them. OS X is only available for Macs. Linux doesn't have a huge company behind it and is only marketed by nerds.

Microsoft's biggest fear is that "the next big advance" may leave them being irrelevant. They are right to think so.

The next big advance are portable media devices (iPod's, iPhones, Blackberry's, etc.)

THis defeats part of the purpose of having a Mac. Part of the reason OS X is so reliable and stable is because it is only used on very specific hardware. If it were open to all sort of hardware it would open up a pandora's box of problems with compatibility and stability that Apple has spent years avoiding and they have done it very successfully. If Apple were to open up their OS like that it would be a disaster.

That's a bunch of horse manure. Hackintosh's with similar specs run perfectly fine.

[TheBritishBloke]

Apple probably have a larger market share than Microsoft..... In HardWare.

[nullx86]

tl;dr

only way that Apple would have a larger share then Microsoft is if Apple released OS X for PC's and made the appropiate drivers, or If Microsoft keeps putting out more Operating systems like Vista/ Windows 7. If Apple were to drop all their products prices (computers, not accesories) by about $300, they would have a pretty good growth

[OllyW]

They have got a bit of work to do first....

195414

;)

[DoFoT9]

its funny that you bring this up OP. even steve jobs himself has said that apple does not target the mass market. he also said that apple would be nothing without microsoft (which is true). they have a great relationship.

[lsvtecjohn3]

microsoft doesn't make any computers


You're right MS doesn't make any computers but every PC that's sold MS does make money off that, because they license out the windows.

As some other have said Apple is a hardware company, they make their money on selling there computers, not software. In the last eight years Apple market share has went from around 2% to almost 10% now. IMO if the economy turns around in the next five years OS X will be at 20%.

[thegoldenmackid]

You're right MS doesn't make any computers but every PC that's sold MS does make money off that, because they license out the windows.

As some other have said Apple is a hardware company, they make their money on selling there computers, not software. In the last eight years Apple market share has went from around 2% to almost 10% now. IMO if the economy turns around in the next five years OS X will be at 20%.

Microsoft doesn't make money on every, but most of them they do. I don't see Apple's marketshare jumping that much that quick.

Look at the profits Microsoft drag in, then look at the profits Apple drag in, then tell me as an American corporation which you would prefer :)
If I recall, Microsoft is not having great times with their current revenue streams. Microsoft is much larger corporation and makes a lot of money, Apple is smaller and does fine for themselves.

[Pika]

Apple is talking about its products. Microsoft is talking about its sales strategy. Apple talks about how its products work with its competitors' products. Microsoft talks about how they are going to beat a specific competitor by advertising products they don't manufacture or sell (computers).

Microsoft is talking like the underdog. With that sort of mentality, it won't be long before that becomes their public corporate image, and then a self-fulfilling prophecy.

[OllyW]

In the last eight years Apple market share has went from around 2% to almost 10% now. IMO if the economy turns around in the next five years OS X will be at 20%.

You are only talking about US market share. Their worldwide market share is still less than 3.5%.

[crusadernm]

Apple will never beat Microsoft in OS marketshare. Fact.

[elppa]

I can see Apple having a bigger market cap than Microsoft and being a bigger company in the next few years. They already have a better cash position and zero debt.

Increasingly people are using mobile devices for their computing needs. Apple is quite well positioned in this area going forwards, whereas Microsoft still needs to work out how each of thier various parts of the puzzle should come together (Win Mobile, Zune, the Danger team etc.). When this is worked out, I wouldn't rule them out, although the clock is ticking. By then RIM and Apple could have it all pretty much sewn up.

In terms of Desktop market share, no, that market is gone. Apple will keep plugging away and as long as they keep the profitable stake they will be happy. I think they do need to put more time into Mac OS X though to ensure this is the case. I feel from 2001-2004 Apple were driving development far harder than 2004-present.

In terms of server, well Microsoft has some good products here, but it this area is more competitive than the Desktop. Apple, however, is not one of the players.

[pdjudd]

Market share? No. Jobs has already stated that Microsoft won that war years ago. Thats no longer their objective. They want to build quality hardware and software and makes lots of money doing so.

Apple isn’t going to get into the MS sized market share. Microsoft is too well entrenched and Apple’s business model counters what Microsoft’s business model is. Simply put, MS is willing to do what businesses demand where as Apple is content doing things their way.

[pdjudd]

Microsoft is so dominant due to the fact that there has never been a serious competitor for them. OS X is only available for Macs. Linux doesn't have a huge company behind it and is only marketed by nerds.

Your point? My post was addressing why Apple doesn’t sell their OS to other hardware vendors. The reason is because they are a hardware seller themselves. I was not addressing market share in any way shape or form. I was merely stating that given their business model - imitating Microsoft’s business model doesn’t make sense. You are bringing up a different issue. I was talking about business models, not market share.

Your post implies that Apple wants a dominant market position - Jobs has stated that MS won that war years ago and they are not interested in that.

[mrkramer]

Of course - good point.

Why don't Apple have a PC version of OS X?

Great way to get people to try (and love) the OS and then make the full move over to a Mac.

Probably the main reason is that the last time they tried that back in the 90's they almost went bankrupt.

[windywoo]

Probably the main reason is that the last time they tried that back in the 90's they almost went bankrupt.

But it wasn't because they licensed their OS. They were in bad financial shape before then. Currently they are in great financial shape and have more than just the Mac as a revenue stream. Since they have iPods and iPhones and possibly new iTablets they have greater flexibility.

I think they should have the balls to license OSX and let "the Mac experience" sell itself. If Apple's hardware truly is superior, and Macs really provide a "smooth integration of software and hardware" then people will still buy Mac because they are worth the extra, right? Or are they afraid to discover that people only buy Macs for OSX and are secretly dying for more powerful/cheaper hardware?

[nicmacc]

I think they should have the balls to license OSX and let "the Mac experience" sell itself. If Apple's hardware truly is superior, and Macs really provide a "smooth integration of software and hardware" then people will still buy Mac because they are worth the extra, right? Or are they afraid to discover that people only buy Macs for OSX and are secretly dying for more powerful/cheaper hardware?

Just poking a hole here...Apple currently advertise a smooth integration of software and hardware because they have full control over how both are used. Release OSX to the world and that argument would be void - the sheer number of possible PC configurations make that impossible. They cant integrate software and hardware if they have no control of what hardware is being used :)

OSX is a great selling point for its Macs. Release OSX to the PC market and yes, you'd make a decent amount of money selling the operating system, and the market share would rise. But the actual sales of its hardware would fall and Apple would lose money there.

If it were me, and i were running a company like Apple, i'd be much more interested in MAKING MONEY!!! than in looking more impressive on a pie chart :P

[pdjudd]

But it wasn't because they licensed their OS. They were in bad financial shape before then. Currently they are in great financial shape and have more than just the Mac as a revenue stream. Since they have iPods and iPhones and possibly new iTablets they have greater flexibility.

True, but their hardware business makes this business tactic very unwise - you don't enable any more competition than you have to by removing your advantages. OS X is Apple's advantage to sell hardware. They do this because otherwise they can't compete with other pure hardware vendors on their own.

The big reason it was such a failure was because they were trying to compete evenly with a company that was well entrenched and still is. While Microsoft's success can be ruled as a historic marketing fluke (hardware/software systems tend to be sold integrated together - See the video game market), they are too well entrenched to succeed by copying them. The market traditionally does not support that business method without cannibalizing another (in this case Apple hardware) and cometeitng against a behemoth like Microsoft without a competitive advantage (MS has beaten superior companies and solutions before). MS is just too big to attack directly.

Apple may have a better OS/widget, but in the PC hardware market that doesn't matter to people. MS can afford the race to the bottom approach that the PC industry supports because their money comes from other markets. They are not invested in hardware like Apple is. Apple is smart enough to know that MS is not a weakling.

[gunraidan]

Your point?

My point is that Microsoft isn't some Godly invulnerable company. I agree what you listed are some strong reasons why they are so dominant, but the main reason they are is because there aren't any serious competitors.

Your post implies that Apple wants a dominant market position

No it doesn't. I never referred to OS X being the one that could challenge Microsoft.

[Melrose]

Nope, not until major organizations adopt different technology ... ie: move away from MS. And fact is, many servers are MS servers and they're very efficient.

MS has done well in the business market. Imagine if MS Servers were as unstable as Vista.

Apple won't come close to Microsoft for many a year yet to come. I'm glad actually, it means Apple will work harder to keep up.

[LethalWolfe]

But it wasn't because they licensed their OS. They were in bad financial shape before then. Currently they are in great financial shape and have more than just the Mac as a revenue stream. Since they have iPods and iPhones and possibly new iTablets they have greater flexibility.
The clones made a bad situation worse for Apple which is the reason they killed it off as quickly as they could.


I think they should have the balls to license OSX and let "the Mac experience" sell itself. If Apple's hardware truly is superior, and Macs really provide a "smooth integration of software and hardware" then people will still buy Mac because they are worth the extra, right? Or are they afraid to discover that people only buy Macs for OSX and are secretly dying for more powerful/cheaper hardware?
Or Apple just has higher standards for itself and the user experience it wants to create. Buy a Mac, buy an iPhone, buy :apple:TV, sign-up for MobileMe, etc... Apple isn't trying to sell products they are trying to sell a lifestyle. This seems to confuse people but Apple isn't interested in selling the cheapest products it can to the widest audience it can. Apple is a very healthy company w/a solid business model so why would they change to a business model that has been unsuccessful for them in the past and continues to be unsuccessful for most other computer makers not named Dell? IBM, the company that used to dominate the PC market got out of it completely because they couldn't compete w/the "race to the bottom". If Apple licensed OS X they'd have to raise their software prices (which are basically loss leaders) and their low cost, high quality first party Apps are a big feather in their cap.

Also, Apple knows that people, by and large, are cheap and lazy. Low-fi MP3s are more popular than SACDs or DVD-As. YouTube has all the buzz as broadcast/cable TV struggles to find itself in a changing market place. BitTorrent can be a crap shoot yet the rental store down the street is closing up shop. Speaking in generalities, quality is not at the top of the list for most people.


Lethal

[pdjudd]

My point is that Microsoft isn't some Godly invulnerable company. I agree what you listed are some strong reasons why they are so dominant, but the main reason they are is because there aren't any serious competitors.

Which is true. However I fail to see why you brought that up in the first place when I was addressing a different issue. Apple's decisions on how they sell their OS are not the same thing as addressing Microsoft's dominance - they are two separate issues. Yes, they lead to discussions of market share, but my replay was about business choices, not market share or dominance by Microsoft.

I don't question that Microsoft lacks serious competition given their dominance. I was addressing the question "why doesn't Apple sell their OS like Microsoft does" where your question was addressing a "why is Microsoft so successful and why can't Apple be that".

Market share arguments are different from simple business models. The question of market share dominance may involve business decisions, but they can also be because of other factors. Microsoft got lucky due to a market fluke ensureing that nobody can compete using the same business strategy. Apple knows that. Apple's business strategy though is not about market share and there's where my confusion lies. Who cares why Microsoft is dominant? Apple isn;t interested in a pure market race. Their strategy is elsewhere.