“Today, the iPod; tomorrow, the iPhone. Investors Thursday cheered Apple’s record second-quarter results, which showed major sales growth for its iPod digital music device and Mac computers. But Apple’s best days are ahead, tech analysts say,” Jefferson Graham reports for USA Today.
Graham reports, “‘The iPhone has the potential to be even bigger than the iPod,’ says Gene Munster, an analyst with Piper Jaffray. ‘The cellphone market is gigantic.'”
“Charles Wolf, president of investment consultant Wolf Insights, says Apple will likely follow its iPod pricing strategy — starting with a high retail price, and lowering it as costs decrease. ‘Once the price comes down, Apple could get to a 5% market share of phones, good for 75 to 100 million units a year,’ Wolf says,” Graham reports.
Graham reports, “Mac sales have doubled from five years ago, when the iPod was introduced. Wolf believes the iPhone will have a similar ‘halo effect.'”
“‘Now you have another device besides the iPod that will get people interested in Macs,’ says Shaw Wu, an analyst at American Technology Research. ‘The iPhone is basically a portable Mac.’ Munster thinks the success of the iPhone could help Apple eventually more than triple its computer shipments, to 5 million a quarter,” Graham reports.
“But Munster says that at his most optimistic, he can’t imagine Apple’s computer market share rising to above 15% in the USA. ‘Apple doesn’t play in the business and government markets, where the really huge sales are,’ he says,” Graham reports.
Full article, with chart of U.S. PC shipment Q1 estimates, here.
MacDailyNews Take: We can imagine Apple’s computer market share rising to above 15% in the USA.