Strange that this clown still spouts..
This guy has been at it since the 80s, and always was a joke. His drugs must be good and health-saving..Anyhow CAPS
It's the loyalists who keep promoting this device as if it is going to be anything other than another phone in a crowded market. And it's exactly the crowded-market aspect of this that analysts seem to be ignoring. DIFFEREENT BUSINESS MODEL- FREEDOM FROM 3 YR CONTRACTS, DEVICE THAT WORKS WITHOUT LIMITS (CONSTRAINED WIRELESS SHARES ETC.)
Apple Inc.'s past successes have been in markets that were emerging or moribund. Its biggest hit has been the iPod. But let's examine what happened here. UGH, APPLE WON BEFORE MS WITH APPLE II, DEFINITION WINNING SUBJECT TO DEBATE (HAPPY USERS VERSUS PISSED OFF SLAVES TO CRASHES)
First the MP3 player business was segmented and unfocused with numerous players making a lot of cheap junk and not doing much to market any of it.
LIKE MS- JUNK. APPLE- INSPIRING WHAT A GOOD PRODUCT, SYSTEM, MARKETING, CAN DELIVER TO CUSTOMERS. RELIABILTY, INDUSTRIAL DESIGN, ERGONOMICS, PRODUCTION ENGINEERING.
Apple does what? Advertise. Gosh, what a concept. MAYBE 10% OR LESS OF MS. CLEVER AS WELL RATHER THAN LAME. START IT UP TO CLOSE=MS.
Then there was the online music distribution business, again unfocused and out-of-control with little marketing and a lot of incompatible technologies. So Apple comes in with a reasonable solution, links it to the heavily promoted iPod and bingo. A winner. IT HAS BEEN ANALYSED EXTENSIVELY BY THE GREAT AND OTHERS (INCLUDING OTHERS LIKE HARVARD BUSINESS SCHOOL)- LAWYERS ARE CRAP AT INNOVATION OR NEW BUSINESS MODELS, APPLE TAUGHT MUSIC COS HOW TO MAKE MONEY WITHOUT ILLEGAL ASPECTS OR BEING DUMB.
It advertises on TV, on billboards and on the Internet. Within no time the company takes over the business that would probably still be languishing without Apple.
Thus Apple does what it does best. It produces a jazzy product and promotes it like any good business should do. And in the process manages to get a high margin. IN THE US, CRAP PRODUCTS SUCEED DUE TO PROPOGANDA TRAINING SINCE 1911, REST OF WORLD NEEDS MORE. APPLE STUFF SUCCEEDS DESPITE BEING US, BECAUSE IT IS SO GOOD (LAST 6 YEARS, ALSO PRIOR).
This is nothing more than the fundamentals. DO NOT BELIEVE WRITER IS CREDIBLE IN THIS AREA, AS SO VAGUE- LIKE GWBUSH.
Now compare that effort and overlay the mobile handset business. This is not an emerging business. In fact it's gone so far that it's in the process of consolidation with probably two players dominating everything, Nokia Corp. and Motorola Inc. AND DILBERT CONFUSE-OPOLY. BOTTOM LINE, MY UK CELL SERVICE BEAT NORTH AMERICAN BY 300%= CHEAPER, BETTER, RELIBALE, CONTRACTS. ALL US CELL USERS ARE BEING PILLAGED BY PROVIDERS- A CRIME.
During this phase of a market margins are incredibly thin so that the small fry cannot compete without losing a lot of money. SEE GEOFFREY MOOE, CROSSING THE CHASM TEXT, BOWLING ALLEY STRATEGY.. VERY VERY MAIN STREAM YET THIS WRITER IS IGNORANT.
As for advertising and expensive marketing this is nothing like Apple has ever stepped into. It's a buzz saw waiting to chop up newbies. WRONG.
The problem here is that while Apple can play the fashion game as well as any company, there is no evidence that it can play it fast enough. These phones go in and out of style so fast that unless Apple has half a dozen variants in the pipeline, its phone, even if immediately successful, will be passé within 3 months. WRONG.
There is no likelihood that Apple can be successful in a business this competitive. Even in the business where it is a clear pioneer, the personal computer, it had to compete with Microsoft and can only sustain a 5% market share. LIKE THE BMW OR MERCEDES VERSUS THE.... US THING.
And its survival in the computer business relies on good margins. Those margins cannot exist in the mobile handset business for more than 15 minutes.
And note that the Microsoft Corp. versus Apple battles are laughable compared to the frenzied marketing mania in the handset business. Even Microsoft itself has troubles with its attempts to get into a small sub segment of the handset business with its operating system.
LOTUS FLIPPED TO INFERIOR MS; IBM FLIPPED TO INFERIOR MS; APPLE FLIPPED TO INFERIOR MS; MS FLIPPED TO INFERIOR SONY; ETC
What Apple risks here is its reputation as a hot company that can do no wrong. If it's smart it will call the iPhone a "reference design" and pass it to some suckers to build with someone else's marketing budget. Then it can wash its hands of any marketplace failures. THIS IS NOT FIRST GENERATION APPLE PHONE
It should do that immediately before it's too late. Samsung Electronics Ltd. might be a candidate. Otherwise I'd advise you to cover your eyes. You're not going to like what you'll see. DIFFERENT BUSINESS MODELS