Likely leaving BusinessWeek’s Arik Hessledahl flummoxed, as is usually the case lately, The Associated Press is reporting that “The tough economy seems to be having little affect on iPod sales.”
“Kaufman Bros. analyst Shaw Wu said in a note to investors his checks show Apple’s popular music player has joined the iPhone in the sold-out category,” AP reports.
“He said wait times at online retailer Amazon.com for the $229 8 gigabyte and $299 16 gigabyte iPod touch models are three to five weeks,” AP reports. “Wu said certain retailers, including Best Buy, Target and Wal-Mart, are even seeing spot shortages of the iPod tano, which has $149 and $199 models, and iPod shuffle, which sell for $49 or $69.”
AP reports, “He expects Apple to sell 21 million iPods in the quarter, up 90 percent from the previous three months, but down about 5 percent from the year-ago period.”
MacDailyNews Take: Add in the iPhones that Apple will sell — which each contain an iPod, even if their product name doesn’t — and “iPod sales” will be up YOY. That might seem like a very basic concept. Nevertheless, it’s one that certain Ivy League-educated writers and many Wall Street “analysts” can’t seem to grasp – or, more likely, prefer to ignore, as it doesn’t suit their purposes at the time.
Full article here.
[Thanks to MacDailyNews Reader “JES42” for the heads up.]
MDN:
You can’t really phrase it that way, since it obviously sounds way too apologetic towards Apple.
However, they could say mention that the iPhone has somewhat cannibalised iPod’s market and if that is taken into account, Apple continues to grow its dominance in the market space.
Ipod tano?
Got to love the Holiday shopping season and the sounds of money at the register and the clack, clack, Clack of the credit card transaction printers…
I smell deflation and the long muddy road to economic recovery at the next off-ramp on the expressway to Economic depression and stagflation.
Apple should have sat around doing nothing for the last decade and then driven on over to DC for a $25 billion handout. They’d have $500 million more in the bank than they do now.
B. Hussein Obama: Let’s spread the wealth around (until there’s no wealth left to spread around).
I must join the chorus of voices here and admit, somewhat sheepishly, that I, TOO, know absolutely nothing about anything. Ignorance is bliss, and revealing it to one and all in a voice resplendent with hosannahs is ecstasy. Ah, come sweet oblivion.
Correction: it’s the Bush recession (Obama has yet to take office). And it has officially been going on for the past one year.
Just got my mom’s 16GB touch today. Merry Christmas, Mom!
Besides, the only wealth spreading will be done within the 5% of the American population,since the remaining 95% earn less than quarter of a million dollars per year. Most of them haven’t earned that much money since the new millennium began.
The Black Berry Storm also out sold… all the 30 devices on store for all the US were sold 1 weekend….
Also, it account for almost 30% increase in subscribers … from 9 subscriber now there are 3 new.
Predrag,
Those “top 5%” are the engine that runs this country. Try to hurt them, you’ll hurt the other 95% while the real producers go offshore until the “collectivist insanity” known as “Obamamania” passes within 48 months.
Great, thanks for ruining the surprise.
No, it’s not the top 5% that are the engine that run this country (some of them do the opposite, some not). Quit pretending that there are no other productive people besides those 5%. And quit pretending you have the slightest idea what “collectivist” or other words mean as well. You really haven’t the slightest notion of what runs the country, and you asinine homophobia further proves it.
The shortage explanation is simple: Apple sends in its team of drones worldwide to buy its own products to create the illusion of demand—much in the same way that Scientology sends it members into bookstores to buy up that douchebag L.Ron Hubbard’s books.
So. How about those iPods?
I keep trying to explain that a $600 phone is a much better sale than a $49 shuffle or a $149 nano… but then these analysts ignore the most obvious thing: billions of cash flowing into the bank as the company remains debt free. Even AAPLs PE, which is quite low for its growth rate, completely understates its earnings because of subscription accounting.
Okay, forget the accounting gimmickry and just look at cash flow. AAPL has the cash flow of a utility unheard of in a growth story
And if even iPod sales hold up this holiday… I guess someday they’ll just use the cash to take the company private. I’ve never seen value like this.
Put another way: the hypothesis that Apple will face declining business due to the macroeconomic environment, absolutely reflected in the stock price, has NO supporting evidence in the real world!!! It is one of those reasonable and obvious hypotheses that just happens not to be true.
@Ron Robertson
I get how that commenter’s name is tasteless, insulting, bigoted, and juvenile, but I fail to see how it can be described as “homophobic”.
@Spark
Read the guy’s name, not just his comment.
Although this is way off topic, I must chime in. The Rep. controlled Congress, and or White House has given the Auto industry what it has wanted. They took away or blocked environmental laws; gave them tax brakes; encourage executives to make huge salaries and leave with golden parachutes; reduce union labor; outsource to other countries; the list goes on. Now they want the bail out their friends while dumping the problems on the Dims and blaming them at the same time. I was once a proud Rep. but now I am ashamed at them.
About the 5%, it’s the middle class that spends the money that runs the economy. The poor don’t have it, and the rich horde it. The reason the Rep. won was by the 70’s demand side economics had made prices too high. Supply side solved this problem, but it has run it’s course. Yes products are cheaper, but no one is making enough money to buy them.
The best part about Rush’s term “Obama recession” (yes he created it) is that only the most foolish people would blame a President before he is in the White House. Most people will stop listening to him (and his copy cats) and start finding smarting people in the Rep. party follow.
@Krioni
I DID read his name and that is what I was commenting on. My original statement stands. Being crude and idiotic doesn’t make one homophobic.
smarter people, sorry
When Apple reports results for this quarter in January, it’s going to look very good next to tech players fumbling (some badly) because of the economic situation.
Accounting for its huge lump of cash “in the bank,” zero debt, and deferred profits from the iPhone “subscription” accounting, Apple stock will be an attractive investment in an otherwise down market.
@Spark
Sorry, it’s clearly homophobic.