Nothing to fear as Apple’s business unavoidably becomes more complex

“Apple has long prided itself on simplicity, but its business has become more complex,” Dan Gallagher reports for The Wall Street Journal. “That’s unavoidable, and not something investors should fear.”

“Fear has shrouded Apple anyway. Its stock has underperformed the Nasdaq by about 4 percentage points so far this year. But the gloom may be overdone. And Apple’s Worldwide Developers Conference next week could help brighten investors’ mood,” Gallagher reports. “The company, for example, released early some details about planned changes to its App Store that should boost its appeal to developers.”

“The stock’s current slump reflects a worry about Apple’s huge dependence on iPhone hardware, and a belief that innovation in that area is waning. But that’s premature. There are still many ways to significantly improve the smartphone’s performance and durability. For example, semiconductor analyst Ed Snyder of Charter Equity projects the next iPhone will be able to work on three different carrier bands simultaneously,” Gallagher reports. “Future iPhone models could also include OLED displays and all-glass frames, according to recent reports. That means there may be advances in store that go beyond incremental upgrades to the phone, potentially reviving growth.”

Read more in the full article here.

MacDailyNews Take: In the beginning, there was one iPod which came in one non-color (white) and a choice of 5 or 10 GB storage. Look at iPod today: apple.com/ipod/. Complexity is unavoidable, but we trust that if anybody can keep it under control, it’s Apple.

1 Comment

  1. Apparently, this author believes that Apple cannot be successful with the “old” model of selling a multitude of softwares, music, films, laptops, desktops, tablets, and phones. Yeah, doing all this is this is way too simple. There’s no glamour or profit in such an uncomplicated business model. Apple’s not thinking big enough. Hell, even Tim Cook could do it.

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