“Apple shares closed at $52.96, off $2.69, or 4.8 percent, on Nasdaq, their lowest since October 2005,” Duncan Martell reports for Reuters.
“The stock, which was among the biggest drags on the S&P 500 index and the Nasdaq market, has been beleaguered by concerns that updated versions of the iPod may be delayed to the fourth quarter, rather than the third quarter, and that sales of the iPod Nano, introduced last October, have been sluggish,” Martell reports.
Martell reports, “Talk of a rival music device and download service from Microsoft Corp. may also be contributing to the weakness. ‘We are continuing to hear that Microsoft may be much closer to launching its iPod killer, a wireless iPod. I think that could be behind the pressure we are seeing in Apple,’ said Jon Najarian, co-founder of information Web site insideoptions.com. Microsoft will start selling a wireless digital music and video player to compete with Apple’s iPod by Christmas, sources close to the matter recently told Reuters.”
“The new player, which Microsoft has been touting to record companies in the last few weeks, would let users download music and videos over the air, according to one source, a feature that would give it an edge over the iPod,” Martell reports.
“Few experts believe any rival product could dethrone the iPod, but a significant challenger could take a bite out of one of Apple’s chief sources of revenue. Apple has relied on new models and services to re-energize demand for the iPod and its companion iTunes music software and service,” Martell reports. “Its last new iPod device came out in October.”
Martell reports, “But Shannon Cross, an analyst at Cross Research said that, increasingly, investors are coming to view Apple’s share price as driven more by the Mac and with less emphasis on the market-leading iPod. ‘This has become more of a Mac story in the minds of investors,’ Cross said. ‘Can Apple get up to selling 1.5 million to 2 million Macs a quarter and we think that’s possible as we get into the back-to-school and Christmas quarters.'”
Full article here.
Yes, Microsoft is a huge threat. We all know how well they’ve done against iPod for the last half a decade or so. Hey, Microsoft was trying to increase Apple’s iPod’s and iTunes’ respective market shares, right?
Furthermore, it’s really too bad that Apple CEO Steve Jobs stopped all R&D and froze iPod designs in stone forever. It’s just terribly shortsighted for a man who’s supposed to have “vision.”
Anyway, to see the word “beleaguered” attached to anything related to Apple Computer is a weirdly comforting blast from the past, however misplaced.
buy
So Dull is at it’s lowest in a year, no two no… hmmm beleaguered Dull… down 4.44% today…
What goes down, must come up!,
to be sure, the Microsoft Xbox branded DMP is going to be – should it live up to the rumors – the biggest threat yet to Apple’s iPod dominance.
But that’s not saying much.
CREAF and other also-ran makers should be shaking in their boots. Apple on the other hand gets to let MSFT taste the pain of a WiFi DMP just like subscription music. Should it prove successful, no doubt Apple will follow up in haste.
Still, what MSFT does have going for it is the Xbox and it’s proximity to the home entertainment system. Apple needs that Mac Media mini to come out soon!
^ What he said.
Spinning wheel, got to go ’round . . .
Let’s get one thing straight, it’s not an iPod killer until it kills the iPod.
Until then the iPod will be known as the everything-else-killer.
I love painted ponies.
And Microsoft’s certainly the dark horse in this race.
Windows lovers should just shut their mouth and spend their valuble time scanning for virus and spyware.
macromancer…reaching for straws,dude. Your logic will obviously catch on and Apple stock with skyrocket tomorrow…..LOL.
Some people aren´t really idiots its just that everyone else is smarter then them…
What ever happened to the Apple Death Knell counter.
If this has become a Mac selling story as they say, then obviously there is a lot of concern that Macs aren´t selling as well as hoped.
Guess that wonderous imamac imapc ad campaign just ain´t doing it….
I told you folks quite some time ago that the US economy was going into a recession because of the increasingly high standard of living.
Wages have not quite come up yet, but they are increasing at the fastest pace in a long time.
So eventually things will level out and people will have more disposable income once again.
What the US government needs to do is raise the minimum wage to $10 a hour.
Skilled labor should be getting $15-$20 a hour.
Skilled trade labor should be getting $25-$35 a hour.
Highly skilled labor should be getting $35-$55 a hour.
In other news, a spokesman for Microsoft released this statement today about the company’s rumored iPod killer:
“We’re pleased to officially announce that Microsoft will be releasing a bonafide iPod “killer” vapor and everything is coming together with regard to the music labels’ involvement distortion. So very soon, especially in time for the holiday shopping season delays you’ll be witness to the beginning of the end of the dominance of Apple’s iPod wishful thinking. We’re pleased to announce that our year-long plan a few months has been a tremendous success sinking ship and we look forward to reclaiming the title of market leader copycat that we’ve enjoyed across many technology sectors origami. This new iPod killer will be unveiled next month buggy at a special event, and we look forward to the reaction of the mainstream technology press yawn at that time. So, thank you all for coming and we’ll see you again in November not a chance.”
“Talkin’ ’bout your troubles, it’s a cryin’ sin…”
Shut the F-CK UP, Microsoft!
“Talkin’ ’bout your troubles, it’s a cryin’ sin…”
Shut the F-CK UP, Microsoft!
From article:
“In Apple’s most recent quarter, the average selling price of a Mac was about $1,400, seven times that of the iPod’s average selling price of about $200, Cross said. Also, Macs carry far higher profit margins than do iPods.”
——–
Wonder what the average selling price of a PC is?
Whack a Mole – well at least we now know what spectrum of the job force you are in….
Anyway, to see the word “beleaguered” attached to anything related to Apple Computer is a weirdly comforting blast from the past, however misplaced.
It is more than fair to say BELEAGUERED when referring to AAPL in it’s current condition. It is down 40% from it’s high of $86 earlier this year. That’s almost HALF OF IT’S VALUE in six months. If that’s not “beleaguered” then I don’t know what is.
Apple NEEDS a new killer product. I’m sure something is coming. But hoping for a wave of switchers is not going to bring the stock price up. A new non-computer killer consumer product is what will excite the public and the market.
It will be a long 2007 if the holidays go by with no tricks up Apple’s sleeve and no media splash.
New Macs will not do the trick.
The imamac imapc ad’s don’t work over night. You have to give them time. People see them, then remember them when they go shoping for a new computer for their high school grad or new family computer. They also are still in a transition and just like most companies, it takes a few versions to work out kinks. Add the ending of the transition, to who knows what will be in lepord, and this will make for an interesting 2007. Maybe Apple see’s this. The iPod will be becomeing less and less of an impotance for their bottom line, and the Mac’s will be more and more important. I’d still buy, and if it goes down more, buy even more. Just my opinion, but what do I know, I’m only 20.
*****WE ALL KNOW WHAT IS GOING TO HAPPEN*****
1. M$ will launch a huge marketing assult on iPod/iTunes. Their HW/SW combo will sport abilities that iTunes (by then)”may” not have, such as the ability to support other devices other than Micro$oft’s, and a subscription service, thereby appearing more “open” and “innovative.”
2. Redmond’s advertising assult will result in the consolidation of the fragmented WMA market (both HW and servcices).
3. Consolidation will result in M$ claiming victory, as they will quickly vaM$ iult to the #2 position behind iTunes, but overall, their format will have gained little market share.
5. While all this M$ “goodness” is taking place, Apple will hold about 95% of its – by the fall – 60 million+ install base.
6. The remaining newbies to the MP3 space will be split in a 60/25/15 ratio. Apple will gain 60% of all newcomers with their new iPod/iTunes solution, while M$ will claim 25% of the laggards, and Sony, Creative, SanDisk and the rest can scrap out the remaining 15% share…
Lastly, to think Apple is not going to come to the table with their largest MARCOM campaign in their history is flat out ridiculous.
An all-new iPod lineup with all new iTunes will result in massive upgrading from Apple’s dominate iPod install base.
In the end, M$ will stand firmly in second place, but is unlikely to make a huge dent in iPod sales, which is to say URGE will make narry a dent in iTunes. M$ is also likey to lose millions on this venture, with no likelyhood of profitability in sight.
Hey Charko: Check this thread – http://macdailynews.com/index.php/weblog/comments/8495/ Read your comments and then read mine.
End of transmission.
The run that AAPL had over the last four years is OVER!
There is only one thing and one thing only that drives a stock to run up like we saw with AAPL. and that one thing is
G R O W T H
iPod was growing between 200-600 percent for a few quarters. Though I believe that iPod sales will remain strong. I do not believe that we will be seeing that type of growth anymore. It’s nearly impossible to maintain that kind of growth rate.
I also believe that the Mac is going to show some impressive growth rates. However, they will be nowhere near what the iPod had. And unfortunately, that is what is needed to see AAPL double and get to the $100 mark..
Over the long term, I believe AAPL will continue to go up, but it is going to be a slow ride.
^^^ Vinita Boy better have a good look at his comments on that thread as well.