Thurrott: Mac ‘doesn’t offer much value over Wintel-based systems’

“Why has the iPod been so successful? Partly it’s because Apple has been able to parlay its device into a must-have fashion accessory. Unlike its Macintosh computers, which are excellent but expensive, the iPod is an affordable luxury, one that young professionals and even students–or at least their parents–can afford. As Steve Jobs said during a recent special event marking the release of new iPod models, ‘iPod has become a cultural phenomenon.’ And he’s right: Sometimes products transcend their market categories and reach into the public consciousness at a much deeper than would normally be considered possible,” Paul Thurrott writes for WinInfo.

“Clearly, the iPod is such a product. This situation makes it difficult for competitors like Dell, Rio, or even Creative, which arguably created this market, to make inroads with other products. Consumers aren’t asking for portable audio players under the Christmas tree this holiday season, they’re asking for iPods. And a Dell DJ or Creative Zen Whatever isn’t going to cut it. Any parent or other gift-giver who believes otherwise simply doesn’t get understand the emotional connection Apple has been able to create between the tiny white devices and their owners,” Thurrott writes.

“One area where the success of the iPod has not translated into other successes is Apple’s long languishing Macintosh computer line. Though Apple had hoped that a swell of iPod customers would result in higher sales of the pricey but elegant Mac, that has not been the case. According to Gartner, Mac worldwide market share fell to 1.8 percent in the most recent quarter, down from 2.1 percent in the same quarter a year ago (annual market share figures for Apple placed Mac market share at 1.7 percent for calendar year 2003). In the US, Apple’s Mac market share dropped from 3.6 percent to 3.2 percent in the same time period,” Thurrott writes.

“Why has the Mac failed where the iPod succeeded? Curiously, it seems that the pundits–and I’ll count myself among this group–were wrong about one crucial aspect of Apple’s strategy with the iPod. We’ve been saying that Apple has been making the same mistakes with the iPod that it did with the Mac by keeping the system proprietary and not working with others. But it’s now clear that the market for the Mac and that for the iPod cannot be so simply compared. Today, the Mac is an excellent computer, but it doesn’t offer much value over Wintel-based systems, and is correspondingly too expensive, both in out of pocket costs and in the cost of migrating to a new computer platform. Computers like the Mac typically cost $1000 to $3000, which is beyond the reach of many consumers, and not a purchase that can be made lightly by anyone but the truly affluent,” Thurrott writes.

Full article here.

MacDailyNews Take: A $999 iBook or $799 eMac or $1299 iMac G5 is “too expensive” and only for “the truly affluent?” Paul’s nuts. Crazy, we say. Off his rocker. And it’s too early to say that iPod hasn’t translated into Mac sales. Only 6 million iPods are out there (2 million in the last quarter alone) and people take 3 or so years to upgrade their PCs. Patience. Paul’s worst nightmare is about to begin.

Value? What’s the value of a rock-solid operating system that doesn’t fall to its knees after 20 minutes on the Internet and become littered with viruses, worms, adware, spyware, malware, etc.? What’s the value of a computer that just works correctly and does what you want it to do? Windows iPod owners will see the value of the Mac – just give them a chance.

77 Comments

  1. somebody emailed me the Bagle worm this weekend. I laughed at it. That’s enuf value add for me.

    (so now thurrrot is saying that owning the whole widget is a good thing?)

  2. Experts don’t make grammatical errors in their columns, they actually take the time to proofread.

    Wise men speak because they have something to say; Fools because they have to say something.
    –Plato

  3. The village idiot speaks again! I think that Thurrott has gotten lost. Could someone please escort him back to his janitorial duties at Microsoft. The toilets are getting dirty again because they are full of…

  4. Apple’s computer sales are not down. It’s share of the market is dropping.

    The total computer market he is talking about includes cash registers as well as servers.

    The iPod has a CPU, a hard drive, an OS, a display an input interface and input and output ports. If a cash register is a computer, so is an iPod.

    If they are going to count everything …..

  5. What’s of value???? Besides being able to make a living using my G4 laptop (I have a 2.5Ghz G5 on the way – woo hoo) – with software that let’s your imagination fly…no virus and ad ware problems. This guys should consider writing childrens fairy tales – Obviously the guy has no idea what productivity means.

  6. Don’t waste your time reading Thurrott’s garbage. Here’s a mnemonic to help you remember that: Thurrott = thorough rot!

    His stuff belongs on your reading list with John Dvorak, Rob Enderle, Jack Schofield, Laura DiDio and Lance Ulanoff. This reading list should only be consulted after you’ve read the entire contents of the Library of Congress.

    The only thing I give Bush credit for while reading “My Pet Goat” during 9/11 is that he wasn’t reading something by Thurrott!

  7. Market share, blah, blah, blah. What a next to meaningless statistic in this area. I would like to see a breakdown of where these machines are and what they are being used for.

  8. actually… it was written well.

    And one can spout patience patience… but in the reality of things, there is no Apple Computer Revival in the numbers yet. So until that happens…

  9. Thurrott didn’t slam the Mac platform this time (surprisingly), infact he wrote, “Today, the Mac is an excellent computer…”. He basically tryed to explain the shrinking market share as a result of consumer’s “preception” that Macs are high priced. The market’s perception determines a products success. Don’t shoot the messenger.

    I am an Apple shareholder and I have enjoyed my return on investment greatly, but as a shreholder I ask: why does advertise all iPod and no Mac or OS X? Really, what does Apple perceive its core business as now? I don’t want to see their share slide more. Apple needs to promote the value of the Mac platform now.

    It’s the Christmas buying season now folks, where’s the TV marketing blitz for the new iMac??? These are questions that we need to ask Apple.

  10. mmm… I’m always the optimist, but actual sales are down in europe, not up like in the U.S. (up but not up as much as pc sales)

    However, I was more disturbed by Steve Jobs lack of positive news about sales of the new iMac. Great reviews… but not once did he say ‘demand has been phenomenal’, etc. Just a ‘ we hope it will be a good christmas!’

    People I know all love the iPod… but not one has even considered a move because of it… maybe it works too well on pc’s ” width=”19″ height=”19″ alt=”wink” style=”border:0;” />

  11. % of marketeshare is the single most misleading stat I’ve seen in a long time. It’s the number of Macs sold that I’m looking at, and guess what, they sold a lot more Macs this quarter than last, and the same will be true for next quarter, and the one after that, and the one after that, and the one……<fading to silence>

  12. It seems like everytime this idiot writes something negative about Apple he is later proven wrong.
    So I’m happy when he writes that market share is down and consumers don’t see value. That means in truth we’ll see market share increase and consumers will understand the value of the Mac.

  13. You have got to be kidding me! Apple isn’t about market share it is about making a superior product. Which makes the whole value thing irrelevant because Windows is a problematic operating system. The boxes that contain the OS are a bit better, but they are still made like ’82 Camero. You can’t compare value between a Camero and a Porsche.

    I love reading Thurott’s articles because he makes himself look like an Azz. I really think that he writes for Martha Stewarts Living, he just does the technology thing on the side.

  14. Who in their right mind thinks the Mac has “failed” or that Apple has or will fail. How has this small minded expert defined failure?

    The Mac is no more failed than is Mercedes or walmart. As long as they continue to return value to the shareholders, and sell new Macx, then market share doesn’t matter. Displacing the wintel platform does not matter. Catering to people who buy a computer they probably can’t afford from walmart is no standard on which to judge Apple and the Macs utility and value.

    He may as well say that LCD TV’s and HDTV will fail because the price is only within reach of the “affluent”.

    Apple makes Mac to make profit to make more Macs. The success of the iPod allows makes it easier to deliver “insanely great products”.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.