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Switchback666

macrumors 68000
Nov 16, 2012
1,600
67
SXM
Funny, people used to "brag" about Apple stock prices but now with Google whe have comments like "so?" "It doesnt mattter" or "stock prices mean nothing"

While i agree thats not really important for the cosumer, its funny ;)
 

lordofthereef

macrumors G5
Nov 29, 2011
13,161
3,720
Boston, MA
Funny, people used to "brag" about Apple stock prices but now with Google whe have comments like "so?" "It doesnt mattter" or "stock prices mean nothing"

While i agree thats not really important for the cosumer, its funny ;)

Not to mention high stock prices for Apple means they are successful. Low stock prices for Apple means stockholders are idiots. Well, ok then! :rolleyes:
 

Random 995K

macrumors 6502
Nov 3, 2012
295
0
Being someone that knows practically nothing about the stock market. Is Apple and Google comparable?

I understand Android is in competition with iOS but isn't Apple a hardware company and Google an search engine/ad company?

Or are we just comparing them because of iPhones and Android phones?

Apple is most of the time twice the size of google and even at these inflated goog prices and aapl deflated stock price, aapl is still 100 billion bigger. Apple made nearly triple the revenue that google did in 2012 and four times the profits. So they are not really comparable except they both make OS' (and google only a bit of hardware). People think that if a company has a higher stock price it is bigger but in fact its all about market capitalisation when determining the size of the company. And btw apple is a hardware/software AND services company. Thats what makes their ecosystem so inescapable. What other company does all 3?
 

tjl3

macrumors 6502a
Mar 8, 2012
595
4
Funny, people used to "brag" about Apple stock prices but now with Google whe have comments like "so?" "It doesnt mattter" or "stock prices mean nothing"

While i agree thats not really important for the cosumer, its funny ;)

You've got to realize the context. AAPL grew at a ridiculous pace over the course of 1 yr and nearly doubled at their peak. Let's not forget that they were/are still the most profitable company in the world. Both news worthy. And while GOOG skyrocketed over the past two months, they've always showed steady annual growth. And even tho GOOG is so high, AAPL's market cap is still much higher.

I'm just saying stock price is only part of the story.
 

Assault

macrumors 6502a
Mar 19, 2013
513
0
in the taint
Apple is most of the time twice the size of google and even at these inflated goog prices and aapl deflated stock price, aapl is still 100 billion bigger. Apple made nearly triple the revenue that google did in 2012 and four times the profits. So they are not really comparable except they both make OS' (and google only a bit of hardware). People think that if a company has a higher stock price it is bigger but in fact its all about market capitalisation when determining the size of the company. And btw apple is a hardware/software AND services company. Thats what makes their ecosystem so inescapable. What other company does all 3?

Amazon, Samsung, Google.. Just to name 3.
 

Random 995K

macrumors 6502
Nov 3, 2012
295
0
Amazon, Samsung, Google.. Just to name 3.

I mean in a substantial amount obviously. And what software does Amazon make? They use a variation of Android with a few changes for most of their produts. Samsung as well? What OS do they make? Google barely does anything on the hardware side as well.
 

Liquorpuki

macrumors 68020
Jun 18, 2009
2,286
8
City of Angels
I mean in a substantial amount obviously. And what software does Amazon make? They use a variation of Android with a few changes for most of their produts. Samsung as well? What OS do they make? Google barely does anything on the hardware side as well.

If you look at Apple's revenue breakdown, their software and services revenue are negligble. They're basically a hardware company. Software and services are just complements they use to get you to buy their hardware. You can tell what business a company is really in by ignoring all the products they sell at a loss, below market value, or give away for free.

Apple sells all their software below market value and gives away iCloud for free but always maintains high margins on their devices - they're hardware.

Google gives away their software and services for free and sells the Nexus at a loss, but tries to monetize everything through advertising. They're an advertising company.

Amazon's tablets have a pitiful profit margin, act as gateways to their website and Kindle store, and the company feels threatened when Apple screws with eBook pricing - they're retail.

Samsung maintains a decent profit margin on their hardware, and even though they're working on Tizen, it's open-source. They're hardware.

Microsoft historically has had OEM's put out cheap hardware but maintains a high profit margin on software. They're software
 

LIVEFRMNYC

macrumors G3
Oct 27, 2009
8,780
10,844
Apple is down this week because the #1 hedge fund manager on Wall Street dumped all his Apple stock, as did his company I believe. That's 42000 shares sold and in the wind. Gonna make more stock holders nervous. The sell off of Apple stock will probably reach $250 before stabilizing.

He must have gotten a tip about the 5S.
 

TheHateMachine

macrumors 6502a
Sep 18, 2012
846
1,354
You've got to realize the context. AAPL grew at a ridiculous pace over the course of 1 yr and nearly doubled at their peak. Let's not forget that they were/are still the most profitable company in the world.

Nope, Gazprom has been the most profitable company in the world for a few and recently got bumped... now Exxon Mobile is the most profitable company.

Now if you want to say most profitable technology company... well you can.
 

tjl3

macrumors 6502a
Mar 8, 2012
595
4
Nope, Gazprom has been the most profitable company in the world for a few and recently got bumped... now Exxon Mobile is the most profitable company.

Now if you want to say most profitable technology company... well you can.

Sorry, mispoke. But last August, Apple became the most valuable company. Was just pointing out that was why its stock is newsworthy versus Google's recent success.

Moreover, Apple was actually only the world's most profitable company in the last quarter of 2012.
 
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Random 995K

macrumors 6502
Nov 3, 2012
295
0
If you look at Apple's revenue breakdown, their software and services revenue are negligble. They're basically a hardware company. Software and services are just complements they use to get you to buy their hardware. You can tell what business a company is really in by ignoring all the products they sell at a loss, below market value, or give away for free.

Apple sells all their software below market value and gives away iCloud for free but always maintains high margins on their devices - they're hardware.

Google gives away their software and services for free and sells the Nexus at a loss, but tries to monetize everything through advertising. They're an advertising company.

Amazon's tablets have a pitiful profit margin, act as gateways to their website and Kindle store, and the company feels threatened when Apple screws with eBook pricing - they're retail.

Samsung maintains a decent profit margin on their hardware, and even though they're working on Tizen, it's open-source. They're hardware.

Microsoft historically has had OEM's put out cheap hardware but maintains a high profit margin on software. They're software

That's a horrible way to class a company. Without iOS the iPhone wouldn't be what it is. Android is fragmented, slow, buggy and plagued with various problems especially the older versions of it. The same thing goes with macs os. You obviously don't know that apple has even said itself it is a hardware and software company. Imagine if the iPhone ran on android, would they be selling anywhere near the units. No. Customer satisfaction is extremely high and it's not just because their devices look amazing. Apple is a hardware and software company and now recently gone more into services as well. iTunes doesn't make that much of apples profits but it has made apple become an icon and make the iPod so popular. You are breaking down each category (software, services and hardware) instead of seeing how one complements the other and how the lack of one in apples case will drastically change everything. Apple is an ecosystem unlike any other company as they combine all these things. Obviously services won't make much money directly but indirectly as seen with the iPod and itunes, it has a massive effect. Apples "it just works" slogan isn't because if its hardware or software or services specifically it is about how the interaction of the two brings about a seamless experience.
 

Liquorpuki

macrumors 68020
Jun 18, 2009
2,286
8
City of Angels
That's a horrible way to class a company. Without iOS the iPhone wouldn't be what it is. Android is fragmented, slow, buggy and plagued with various problems especially the older versions of it. The same thing goes with macs os. You obviously don't know that apple has even said itself it is a hardware and software company. Imagine if the iPhone ran on android, would they be selling anywhere near the units. No. Customer satisfaction is extremely high and it's not just because their devices look amazing. Apple is a hardware and software company and now recently gone more into services as well. iTunes doesn't make that much of apples profits but it has made apple become an icon and make the iPod so popular. You are breaking down each category (software, services and hardware) instead of seeing how one complements the other and how the lack of one in apples case will drastically change everything. Apple is an ecosystem unlike any other company as they combine all these things. Obviously services won't make much money directly but indirectly as seen with the iPod and itunes, it has a massive effect. Apples "it just works" slogan isn't because if its hardware or software or services specifically it is about how the interaction of the two brings about a seamless experience.

Dude you're just repeating cliches without understanding the business side of how these companies operate.

So what if Apple says they're a hardware and software company. Software contributes to less than 3 percent of their bottom line. Meanwhile iPhone sales alone account for over 50%. It's like Microsoft saying they're a hardware company even though they obviously care more about Windows 8 penetration than they do about Surfaces flying off the shelves. Why would you believe them

Go look up the business strategy "commoditize your complements". For Apple anything that isn't hardware is a complement. Those words explain everything Apple has done with software for the past X years, which is basically try to devalue it so they can sell more hardware. Everything from your $1 standard pricepoint on iOS to their neglect of expensive Pro suites like Logic is explained by that strategy. No matter what Tim Cook says, they don't care about software.
 

cnev3

macrumors 6502
Sep 13, 2012
462
56
Dude you're just repeating cliches without understanding the business side of how these companies operate.

So what if Apple says they're a hardware and software company. Software contributes to less than 3 percent of their bottom line. Meanwhile iPhone sales alone account for over 50%. It's like Microsoft saying they're a hardware company even though they obviously care more about Windows 8 penetration than they do about Surfaces flying off the shelves. Why would you believe them

Go look up the business strategy "commoditize your complements". For Apple anything that isn't hardware is a complement. Those words explain everything Apple has done with software for the past X years, which is basically try to devalue it so they can sell more hardware. Everything from your $1 standard pricepoint on iOS to their neglect of expensive Pro suites like Logic is explained by that strategy. No matter what Tim Cook says, they don't care about software.

How exactly did you quantify what percentage of their bottom line is from software, considering the fact that all of their products come with the software?

Your post made almost no sense at all dude.

People like iPhones because of iOS. People like iMac's and Macbooks because of OSX. To say Apple doesn't care about software is one of the most ridiculous things i've seen posted here.
 

Liquorpuki

macrumors 68020
Jun 18, 2009
2,286
8
City of Angels
How exactly did you quantify what percentage of their bottom line is from software, considering the fact that all of their products come with the software?

appleq112bottomchart.jpg


Your post made almost no sense at all dude.

If it makes no sense you don't understand product complements. Go Google "commoditize your complements" and see what comes up

People like iPhones because of iOS. People like iMac's and Macbooks because of OSX. To say Apple doesn't care about software is one of the most ridiculous things i've seen posted here.

If they cared about software they wouldn't be trying to reduce the profit margins of software in their ecosystems to almost nothing. If they cared, their software revenue would be more than just 3% "other" in that piegraph because they'd be trying to preserve the pricepoint of software to maximize its value
 

Random 995K

macrumors 6502
Nov 3, 2012
295
0
How exactly did you quantify what percentage of their bottom line is from software, considering the fact that all of their products come with the software?

Your post made almost no sense at all dude.

People like iPhones because of iOS. People like iMac's and Macbooks because of OSX. To say Apple doesn't care about software is one of the most ridiculous things i've seen posted here.

THANK YOU! lol this guy doesn't understand what I was saying at all! "People like iPhones because of iOS." +1
 

Random 995K

macrumors 6502
Nov 3, 2012
295
0
Image



If it makes no sense you don't understand product complements. Go Google "commoditize your complements" and see what comes up



If they cared about software they wouldn't be trying to reduce the profit margins of software in their ecosystems to almost nothing. If they cared, their software revenue would be more than just 3% "other" in that piegraph because they'd be trying to preserve the pricepoint of software to maximize its value
Their software sells their hardware! Anyway it looks like even after a paragraph of explaining and after your ridiculous comment im not going to bother trying to convince you. All I will say is that Steve jobs said himself that they are a software, hardware and services company and the majority of people would disagree with you. I hope you can understand that the reason their hardware has so much of a profit margin on it is because of the user experience and the installed software+services! If apple was to sell iOS to someone it wpould probably cause hundreds of billions of dollars if not a trillion. Does Apple sell iOS by itself or to other maanufactures? NO. If they did then maybe they would charge billions of dollars to lend it to someone but they don't. The reason people buy Apple's hardware is because of its software and services, if they didn't care about software (which is an insane comment) then they wouldn't be making anywhere near the money they make
 

Kariya

macrumors 68000
Nov 3, 2010
1,820
10
"10M Samsung flagship phones in 28 days a 'record,' 5M iPhone 5 in 3 days 'disappointing'"

Samsung earned industry praise for estimating that it expected to ship 10 million units of its flagship Galaxy S4 to carriers in its first month on the market, six months after the same journalists voiced disappointment that Apple had sold "only" 5 million iPhone 5's in its first 3 days.

Crazy. THIS is why Apple stock is currently the way it is.
 

Liquorpuki

macrumors 68020
Jun 18, 2009
2,286
8
City of Angels
Their software sells their hardware! Anyway it looks like even after a paragraph of explaining and after your ridiculous comment im not going to bother trying to convince you. All I will say is that Steve jobs said himself that they are a software, hardware and services company and the majority of people would disagree with you. I hope you can understand that the reason their hardware has so much of a profit margin on it is because of the user experience and the installed software+services! If apple was to sell iOS to someone it wpould probably cause hundreds of billions of dollars if not a trillion. Does Apple sell iOS by itself or to other maanufactures? NO. If they did then maybe they would charge billions of dollars to lend it to someone but they don't. The reason people buy Apple's hardware is because of its software and services, if they didn't care about software (which is an insane comment) then they wouldn't be making anywhere near the money they make

My comment is ridiculous to you because you don't know what a product complement is. I asked you to look it up but you'd rather repeat walled garden cliches than understand how Apple monetizes.

Apple could very well sell iOS upgrades (like they used to do for the iPod touch) or charge way more than $20-30 for the next rev of OSX. They could price Logic at $600 instead of $200 or have created an app store ecosystem without race to the bottom pressure. But they don't because software is a complement to them. They don't care about software profit margins, they don't care about its value, in fact extinguishing the value of software and driving down its price is how they fuel hardware sales.

I'm not saying anything new here either. If you searched the web you wouldve found a bunch of links talking about this.
 

Random 995K

macrumors 6502
Nov 3, 2012
295
0
My comment is ridiculous to you because you don't know what a product complement is. I asked you to look it up but you'd rather repeat walled garden cliches than understand how Apple monetizes.

Apple could very well sell iOS upgrades (like they used to do for the iPod touch) or charge way more than $20-30 for the next rev of OSX. They could price Logic at $600 instead of $200 or have created an app store ecosystem without race to the bottom pressure. But they don't because software is a complement to them. They don't care about software profit margins, they don't care about its value, in fact extinguishing the value of software and driving down its price is how they fuel hardware sales.

I'm not saying anything new here either. If you searched the web you wouldve found a bunch of links talking about this.
Let me just leave you with this mate from Tim Cook's last quarterly conference:"Apple has many distinct and unique advantages as the only company in the industry with world-class skills in hardware, software, and services. " I think this proves how incorrect you are and how indirectly services and software combined are more important than hardware or just as important.
 

Liquorpuki

macrumors 68020
Jun 18, 2009
2,286
8
City of Angels
Let me just leave you with this mate from Tim Cook's last quarterly conference:"Apple has many distinct and unique advantages as the only company in the industry with world-class skills in hardware, software, and services. " I think this proves how incorrect you are and how indirectly services and software combined are more important than hardware or just as important.

PR is not proof

Also you're doing this:
http://en.wikipedia.org/wiki/Argument_from_authority
 
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