CNBC’s Goldman on Apple iPhone analysts: Everybody really knows the game is over and who won

Apple Online Store RBC’s wireless analyst this morning Mike Abramsky and team “met with top execs at Apple and came away smitten,” Jim Goldman reports for CNBC. “And for good reason: it seems Wall Street is coming around to the fundamentals that many of us have been preaching.”

Following the meeting, Abramsky wrote in a note to clients, “‘The discussions reaffirmed our Outperform thesis:‬ iPhone Channel Leverage Remains High. Despite intensifying competition (Android, RIM, etc.) Apple continues to enjoy strong global carrier interest in iPhone…’ He adds that iPhone’s secret weapons include: ‘Vertical integration (hardware/software) and iTunes ecosystem remain a significant competitive advantage over contenders, with evolving innovations pending, applications leadership and content ecosystem,'” Goldman reports.

As for Android, ‘”‘Multiple configurations’ is viewed as a disadvantage to application developers, vs. Apple’s single-platform model,’ he writes. Apple’s App Store continues to be the key differentiator with 90,000 titles versus the Android’s 12,000… [plus] Apple has something none of the other smart phone makers do, namely everything else: Macs, iPods, an OS for computers and phones, a robust retailing strategy, iTunes, the App Store, the intangible of market mojo, and the executive talent to pull it off,” Goldman reports.

Goldman reports, “On the operating system side, Abramsky says, ‘Windows 7? Bring It.’ The upgrade cycle is another opportunity to get consumers and enterprise customers in a shopping mode again, and if they’re gonna crack open the checkbook, why not spend the cash on a Mac?”

Much more in the full article, in which Goldman explains that “watching Apple [iPhone] at this stage is like watching ‘Sunday Night Football.’ It’s a total blow-out late in the fourth quarter and yet the commentators try to come up with scoring possibilities and formulas to make the game a little more interesting, to hold the viewer, even though everybody really knows the game is over and who won,” here.

MacDailyNews Note: In a nutshell: Bloodbath.

32 Comments

  1. I love my iPhone but I think we all can agree Apple should not have 100% of the market. 70%? Sure. So there will be a collection of others. That is fine as long as they know their place.

  2. Everyone competeing with Apple thinks that they got Apple’s Number the fact is they have no clue and are shooting were Apple was.
    Google, Microsoft, Dell, RIM …

  3. the football game analogy is a good one. but it’s not the fourth quarter yet. it’s the 3rd quarter and Apple is three touchdowns ahead. the BB/Pre/Android fans are still clinging to hope. (WinMo and Symbian fans are “waiting for next year”)

  4. Don’t get me wrong, I love my iPhone, but this game is FAR from over. This would be the equivalent of someone in 1980 saying “The Personal Computer game is over. Apple will own the market.” The Personal computer industry was barely in it’s infancy in 1980. A lot has happened since.

    The game isn’t over. We’re still in the first quarter and Apple scored first and looks to be doing good on defense. But talk to me in 12 years and we’ll see how the game played out.

  5. @iSteve,

    I agree. I’m a capitalist at heart, but a conscientious one who likes the fact that Apple does their best work with the competition on their heels a little- as in a mile back a little in a marathon…

  6. I still think people can’t overestimate the value of iTunes. I mean, here’s this incredible, free software that helps manage all of your music (and videos and podcasts and audiobooks, etc.) PLUS is a simple, intuitive gateway to vast amounts of content for one’s iPhone/touch. I mean, 90,000 apps is a great number, but what counts for me is the 2,400 items in my library I can seamlessly port to my phone or use on my computer. And millions worldwide use iTunes. Android, Palm, RIM, no one can touch that ubiquity combined with ease of use right now.

  7. John E:

    I don’t think Pre fans have any hope at this point. Judging by the sales numbers, Pre failed to gain traction it had hoped to gain. I won’t argue of the merits of the Web OS (I never touched a Pre, so it would be unfair to pass judgement), but reality shows that Palm + Sprint alliance has no market muscle to excite people. Even BB will be struggling to penetrate touch-screen market any further. Their follow-up device is already being pushed aside for Motorola’s, and Verizon is clearly declaring who they thing the betting horse will be for this holiday season.

    Realistically, the only really serious competitor with merit is Android. Funny how this was practically obvious even a year ago, when Android was first released, and it continued to be obvious through the releases of Storm, Pre and WinMo 6.5.

    It looks like it will be just like with the iPod — Apple will dominate, and Android (the OS) will be the No. 2 (like Sandisk to iPod). The bottom 5% will be fought for by Symbian, Web OS and WinMob 6.5 and subsequently 7.

  8. RBC’s wireless analyst this morning Mike Abramsky and team “met with top execs at Apple and came away smitten,”

    Does that sentence make any sense? I think I know what he meant, sheesh, that’s convoluted grammar!

  9. I like to add that the benefit of Snow Leopard is mainly running the next generation of applications that are not even available today. So if you think Windows 7 is catching up. Wait until Open CL and Grand Central Dispatch savvy applications hit the selves. All this in true well founded 64 bit greatness in systems that can have 16 to 32 Gigs of RAM!!!

    I alos like to say that Snow Leopard brings a great opportunity for smaller Mac developers that can implement all these new API with out the drawback of having to deal with legacy code and cross platform parity. I think the Mac platform is just getting started and wait until QuickTime is completely ported to 64 bit, the video industry will relish this development.

  10. @Dallasm,

    While I see your point I can’t help but wonder if the game isn’t constantly changing, courtesy of Apple and others who dare to truly innovate. I would suggest that there exists the real possibility that the smartphone as we know it will not only evolve but perhaps give way to an unknown and as yet to be conceived type of implementation.

    These are exciting times to be a technology nerd (as well as frustrating- the shear speed that things are changing at makes for keeping up with what is current sometimes impossible!) because of all the revolution that is taking place in the digital world. One very plain example- Bluray. It won’t matter in 5 years if something is on Bluray or not b/c it will be replaced by digital content delivery over IP or some other means (fiber optic anyone?)

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