“I don’t publish rumors but I do sometimes comment on them or the concepts that they represent. The $500 Mac rumor has really fired up the Mac community because it could possibly double the iMac market share and push the share price way up. This demands comment,” Kevin Ledgister writes for OSViews.com.
“One of the biggest objections to PC iPod users switching is price. The iMac was introduced as the perfect partner to the iPod and no doubt, Apple intended it as the crossover product for iPod users who have PC’s. However, purchasing an iMac and all the software to make the switch is equivalent to purchasing two PC’s in many buyers’ minds. While many Mac users are sophisticated enough to realize the hardware and software differences that add up in the value equation, it is rare that a purchasing decision will account for all of those factors. It is doubtful that many PC buyers would even understand what these factors mean,” Ledgister writes. “Another consideration is the psychology of most PC buyers. They like safety in numbers and ubiquity even if it means a terrible product. Many people would switch if switching was popular or perceived as a growing movement. Even fewer people consider the Mac because they are not visible in the stores where they shop. The iPod and PC is visible, but the Mac is not. A $500 Mac could be sold along iPods in stores that would not carry any other Mac product.”
“I don’t know if Apple will release the rumored product or not but here is my vote that they do so, and soon. If they do so at Macworld in January, 2005 will most certainly be be the year of the Mac,” Legister conlcudes.
There are many other interesting points in Legister’s full article here.