Apple's Mac Shipments Grew in Q2 2022 Amid Continued Worldwide PC Shipment Decline

[SlaveToSwift]

Because, they would make even MORE money. Have a chat with the folks in charge of selling Macs at Apple. Ask them, “Would you rather sell 5 million in a quarter, (average price $1400, say) and make a big pile of money OR, sell 10 million in a quarter and make an even BIGGER pile of money?” As they are likely competent business folks, they will, down to the last person, say they’d rather sell 10 million a quarter.

There is not likely ANYONE in the business of making and selling computers that would not want to sell more than they’re selling today.

The problem is the only way to greatly expand Apples market share requires making cheaper, lower quality laptops and PCs, and accept far lower margins. Historically Windows PC makers only earn 2%-4% net margins, its literally a business Apple doesn't want and probably can't do well in since they couldn't earn back the cost of their custom design and higher quality.

Remember when Carly Fiorina decided to acquire Compaq to merge with HP's PC business? The children of HPs founders went ballistic claiming it would destroy a huge amount of shareholder value in a commodity business. The kids lost the fight and Carly was able to do her merger, but they were right. HP's sales volume exploded but it trapped itself into a terrible low profit business with zero competitive advantage and ultimately helped cost Carly her job. She should have been looking for a buyer for HP PC unit instead of buying Compaq.

Apple is successful because it knows what it is, who its customers are and what value it offers them. If you want to buy a portable computer for under $900 Apple has a whole line of very well made tablets for you. Over time because of how efficient Apple Silicon is I don't doubt they may creep lower in entry pricing, but Apple is never going to give up premium build quality and components and offering a premium experience to mostly professional customers because those customers are willing to pay for them at Apple's preferred level of margins.

 

[sideshowuniqueuser]

The most striking thing about these charts to me are:
1. Very strong linear growth of PC market share until shortly after Steve Jobs died. After which it completely flattened off. Timmy fans should have a good hard think about that.
2. Hint of a revival of growth since M1.

My conclusions:
1. Price to value ratio limitations became problematic under Cook's "profits before product" mantra.
2. The butterfly generation gave Apple a huge kick up the backside due to corporate and creative customers abandoning Apple, thus causing them to finally engineer much more worthy machines with the M1.

I'll be curious to see where this chart heads. The price (especially for higher spec RAM/SSD options) is still a big fat drain on the price-performance ratio, even if the hardware performance has been addressed, and thus could still put a cap on market share growth. Also, the software performance remains systemically problematic.

 

[Unregistered 4U]

The problem is the only way to greatly expand Apples market share requires making cheaper, lower quality laptops and PCs, and accept far lower margins. Historically Windows PC makers only earn 2%-4% net margins, its literally a business Apple doesn't want and probably can't do well in since they couldn't earn back the cost of their custom design and higher quality.

Not necessarily… if the sales for this year really are over 30 million again, then that may indicate a solid upward trend that could certainly lead to 40 million. Which, compared to 5 years ago, would be a 100% increase.