“Apple released its quarterly earnings figures this week, and the news wasn’t good. Though profits were up 41 percent $410 million, year-over-year, for the quarter ending March 31, Apple’s revenues fell short of analyst expectations. More important, iPod and Mac sales growth has fallen dramatically. This quarter, iPod sales grew 61 percent, but that pales when compared to the 558 percent growth the company experienced last year. Too, iPod sales were lower than expected: Apple shipped 8.5 million iPods in the quarter, not the 9 million plus many expected. Mac sales were even less impressive: Year over year, Mac sales grew just 4 percent to 1.11 million units. That’s slower growth than the overall PC industry, and much lower than the 43 percent gain the company made in the same quarter a year ago. Have Apple’s products leveled out? It’s starting to look that way,” Paul Thurrot writes for WinInfo.
Full article here.
And now for some common sense: iPod sales aren’t going to increase 558% year-over-year forever. That was for the ramp up. Apple is past the ramp up stage now. It’s hard to imagine anything more obvious. Whoops, already here’s something that’s even more obvious: Apple is transitioning Macs from PowerPC to Intel. Apple’s first Intel-based portable, the MacBook Pro, was available for only 4 weeks of the 13-week quarter. Apple iBooks, Power Macs and other models aren’t even transitioned, yet, and still, Apple sold more Macs year-over-year. Paul Thurrott needs to stick to chronicling Microsoft’s never-ending and constantly-compounding failures – he’s pretty good at that – because he has absolutely no clue about Apple. Leveling out? Ridiculous. Even a moron in a hurry can see that Apple owns the digital music player and music download markets and is now primed to dramatically accelerate Mac unit sales from this current quarter forward.
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