The iPod ride will end soon, is Apple going to convert this into long term success?

[motulist]

The tremendous iPod ride will have to end sooner or later (but probably sooner given things like the recent reverse engineering of Fairplay again). Apple is obviously trying to convert non Mac iPod users into long term Apple clients by coming out with the inexpensive Mac Mini, switching over to Intel processors, building services that make them have to stay with the iPod as long as possible by keeping Fairplay music only playable on Apple hardware and by making them want to stay with the iPod by offering great services like the iTunes store for music and now exclusively offering video downloads. BUT... do you think it's going to be enough to get more then a few marketshare percentage points to the Macintosh? I've been debating with myself and I'm not sure that it is. The only way I could imagine the current trends continuing to any long term success is if Apple licenses the Mac OS to over pc makers. I'm not saying I want that to happen, but business-wise it seems like the only viable long term strategy. What do you think?

 

[TodVader]

To do that, they would have to make theirs systems MUCH cheaper.

 

[Lacero]

The iPod phenomena still has a good 5 years left in it. Long term success for Apple would be licensing Fairplay. If Apple would release OSX as a separate purchase for PC users, they could compete in the computer marketplace. They can still design and build their own hardware and most Apple fans will continue to buy Apple's hardware. They are still innovative enough with their hardware that they don't need to worry about competition from cheap PC knock-offs.

 

[rdowns]

To do that, they would have to make theirs systems MUCH cheaper.

Cheap is expensive. Go to Dell or HP and configure an equivalent computer to an iMac. Don't forget to add virus and spyware protection and iLife type software.

What about the mini? Sure, Dell has a $399 box (no monitor but has a KB and mouse) that comes with nothing of any value, at least to me.

Apple is not a company that competes on the low end. Why bother? There's no money in it.

 

[Deepdale]

... do you think it's going to be enough to get more then a few marketshare percentage points to the Macintosh?/QUOTE]

No ... Apple's share will likely increase modestly, but they will always remain a distant image in Microsoft's rear-view mirror.

 

[ITASOR]

Apple is not a company that competes on the low end. Why bother? There's no money in it.

Apple is like BMW, if you like fancy stuff and can afford it you buy one. If not, you live with crap.