Dell's CEO dismisses iPod as a 'fad'

Discussion in 'Current Events' started by LaMerVipere, Jan 18, 2005.

  1. LaMerVipere macrumors 6502a

    LaMerVipere

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    #1
    Dell Chief Executive Kevin Rollins is dismissing the iPod as a "fad" and a "one-product wonder" and claiming the new Mac Mini won't dent the PC market.

    In an interview with Silicon.com at Dell's headquarters here last week, Rollins said that the number of headlines Apple grabs does not worry him and that the company isn't "in the same league" as Dell.

    "It's interesting the iPod has been out for three years and it's only this past year it's become a raging success," said Rollins, who is also Dell's president. "Well, those things that become fads rage, and then they drop off. When I was growing up there was a product made by Sony called the Sony Walkman--a rage, everyone had to have one. Well, you don't hear about the Walkman anymore. I believe that one-product wonders come and go. You have to have sustainable business models, sustainable strategy."

    But Rollins was careful to add that this wasn't meant as any kind of disparagement of Apple. "They've done a nice job," he said.

    "This (the Mac Mini) might be an interesting new product, but I'm not really believing this is going to turn the industry upside down."

    Apple announced its new $499 entry-level Mac Mini--which is aimed at tempting wavering PC users to the Apple camp--last week, while Silicon.com was visiting Dell's headquarters.

    But given Dell's historical commitment to aggressive pricing in the PC market and its dominant position in the United States, Rollins was, not surprisingly, unimpressed with the Mac Mini.

    "It might take some here and there, but Apple's market share in the global computer business has really shrunk pretty far," he said. "Where they've been making success recently is not in the computer business, but in the iPod music business. So this might be an interesting new product, but I'm not really believing this is going to turn the industry upside down."

    full story may be found here
     
  2. sjpetry macrumors 65816

    sjpetry

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    #2
    To bad they can't come out with any product wonders. :rolleyes: :p
     
  3. virividox macrumors 601

    virividox

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  4. Counterfit macrumors G3

    Counterfit

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    #4
    I read that yesterday. If the iPod's a fad, what does that make the Dell DJ? :rolleyes:
     
  5. sjpetry macrumors 65816

    sjpetry

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    #5
    The what? Sorry I only buy quality products. :p

    I used my friends Dell DJ and it felt cheap. :cool:
     
  6. BakedBeans macrumors 68040

    BakedBeans

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    #6
    if he really wasnt bothered then he wouldnt have commented,

    bill gates isnt throwing stupid remarks around... why? well i bet if you asked him then he would say "yeah, apples make great products - fantastic" but he might also say "yeah - grat products, sorry if i have to cut this interview short but i ned to check if we have 95 or 96%market share" he really never needs to worry

    but dell dont seem to think that-dispite the "fad" claims
     
  7. patrick0brien macrumors 68040

    patrick0brien

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    #7
    -If I were to ask Kevin a question, it would be "Define 'Raging Success'"?

    According to all of the maket research available, the iPod has been the market leader for all but the first month of its existence.

    I call this the result of the classic Michael Dell School of Spin. Tying anecdotal and relative terms to another to try to make a fact out of it.
     
  8. BornAgainMac macrumors 603

    BornAgainMac

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    #8
    It is a huge mistake to under estimate your competition.
     
  9. patrick0brien macrumors 68040

    patrick0brien

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    #9
    -Y'know what?

    A new thing occured to me: I the iPod is such a "fad" and a "one-product wonder" as he says he is (go with me a sec and for a moment, let's throw out all of the shouting at the rain Dell has done at Apple these last few years ), why is Keven even bothering to acknowledge it's 'insignificant', "fad" existence in the first place?

    Hmm, methinks someone is unnerved.
     
  10. sonyrules macrumors regular

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    #10
    Now where have i seen this before ... Let me think

    Kevin Rollins is up Micheal Dells a**

    Steve Balmer is up Bill Gates a**

    Must be a PC thing..... They must like being a**holes.. who knows
     
  11. Littleodie914 macrumors 68000

    Littleodie914

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    #11
    Bah... Dell's just jealous nobody likes that "DJ Thing" ;)
     
  12. Apple Hobo macrumors 6502a

    Apple Hobo

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    #12
    Filthy hypocrite. I wonder how many dPods Dull has sold. Probably not many. How about those cheesy color plates Dull used to offer on their notebooks? Must have been another Apple fad that they had to rip-off.

    I had to laugh when my sister told me about all the Dulls in her office dying prematurely (I think the office's Dull server died after just a few weeks of use. :p).
     

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  13. Mechcozmo macrumors 603

    Mechcozmo

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    #13
    Actually, I'd cut it closer to "After 3 weeks, it was a market leader and has been."

    Just wondering...
    Who's recently been ranked the WORST for customer service?
    Who's been ripping off Apple's designs for how long now?
    Who's counting down until the "Dell DJ Flash" is released. 256MB for $99 but it holds 10,000,000 at 1 bit/second, has no screen, and looks so much like the iPod Shuffle that if connected to iTunes, iTunes will actually mistake it for an iPod? ;)

    I think we know the answer.
     
  14. asphalt-proof macrumors 6502a

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    #14
    H emakes interesting point: That its only the last year of its three year span, that its actually been a hit. This flies in the face of what a fad is. A fad is usually something very new that flashes and then is gone in a month or so (possibly a year but that is stretching it). The iPod just keeps getting stronger the longer its been in existence. That's the opposite of a fad... that's a legacy.

    Oh, and he is right about one thing: Apple is NOT in the same league as Dell. Dell is just a minor leaguer with one trick: Low prices on cheap crap. Apple is the big leagues with an arsenal of innovation and style. I agree with patricko'brian: I think he is a bit unnerved. Why? Because while it won't dent MS hold on the PC world, it could knock off a signficant percentage of Dell's business.
     
  15. jaromski macrumors regular

    jaromski

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    #15
    yeah i think the mac mini thing has to piss off dell. they know how the ipod sells (and how their fresh innovative dell dj design DOESN'T) and it has to give the board some pause...but in all honesty i don't think apple is going to kill dell with the mini design. (i would like to be proved wrong here) it could displace a percentage of sales for dell which could really hurt them. dell is a the defacto low-cost ****-box producing king and their revenue is more a function of sales volume than per unit profit. is that whole enconomies of scale thing. but if apple starts cutting into their volume then they should be very very worried...

    possible? yes. probable? not likely. the unfortunate fact is the first product usually wins out even in the face of latter combatants with superior products. (unless microsoft goes after your market. if that happens they let the small companies do the R&D for new products then come in after and mop up) there is just so much inertia in the windows machine that while mac could be a drop in replacement for some, there are still many apps that are windows only. it sucks. i would love if mac supplanted windows but it ain't gonna happen. and i know we have virtual pc, but it sucks...bad. it isn't a solution as much as a stop-gap measure.

    still it would be great if apple sticks it to dell and see how they counter. perhaps it is their time to step up and become, dare i say, innovative?

    jaromski
     
  16. codycartoon macrumors regular

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    #16
    Steve Jobs, Apple CEO dismisses "Dell" as crap.

    -cody
     
  17. obeygiant macrumors 68040

    obeygiant

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    #17
    he has misunderestimatied apple.
     
  18. obeygiant macrumors 68040

    obeygiant

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  19. dsharits macrumors 68000

    dsharits

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    #19
    Watch out. the railroad industry said the same thing about automobiles. Now, which one do more people use for transportation? Not that I expected anything more intelligent from Dell.

    Daniel
     
  20. roadapple macrumors regular

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    #20
    What is an ipod? That was a question a coworker asked me the other day and I had to stop and think about it. "its a portable hard drive that you can store music on and play it like a walkman, only it holds thousands of songs, in fact my whole cd collection" He was unmoved, and when i thought about it, it did not seem like such a big deal. But there is more to it then that.

    I think the ipod may be a fad, if you can say the walkman was a fad even though most people still use them or a diskman. What is not a fad is the idea of digital music (itunes) managed by the user. The ipod is a practical use of this idea. How many regular users would rip all of thier cd's or download files if all you could do was burn mix cd's or play them with your computer?

    The question is will we still be using ipods in 3-5 years as mega walkmans? If so, the ipod will have the same fate as the walkman, and I look forward to whatever replaces it. But the use of digital media, the underlying power of the ipod, is not a fad.
     
  21. Inspector Lee macrumors 6502a

    Inspector Lee

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    #21
    Shepherd to lost sheep? Shepherd to lost sheep?

    Not to mention the Dell Deejay Photo and the Dell MiniPeeCee. All that innovation boy (inserts brow-wiping "Whooo!"), them are great days they're livin'.

    As long as Dell has the ignorant masses snatching up its products, deeming everything Dell "cutting edge" and all that rubbish, as long as people continue to use or more accurately put up with Windows because everybody else does, they can freely take potshots at Apple.

    The unsavory tincture of disinformation and ignorance that exists about the Macintosh platform, coupled with Apple's to-date unwillingness to really push the OS and get after people, are the roadblocks.

    For instance, I had a co-worker ask me the other day if jpegs were recognized by Macs. :eek:
     
  22. Mechcozmo macrumors 603

    Mechcozmo

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    #22
    Oh, I forgot that Dell hadn't already released a Photo version of their DJ. Oops. Oh well.


    I've had people ask me that too. I told them that I can open them, edit them, email them, and not have my Mac crash on me once. They seem impressed, especially when my PowerBook instantly wakes from sleep. :D :cool:
     
  23. topicolo macrumors 68000

    topicolo

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    #23
    not that it's any kind of "disparagement" for Dell :)
     
  24. Xtremehkr macrumors 68000

    Xtremehkr

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    #24
    A fad you are trying and failing to compete with.


    The Dell DJ looks like the torso of the Robot from Lost in Space. Danger Will Robinson! Danger!
     
  25. joeswinehart macrumors member

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    #25
    ha!

    So will Mr. Rollins be sworn in for four more years at the helm of Dell?
    eek! I didn't vote for Kevin Rollins...either.
     

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