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(BGR)   Apple to become most profitable company ever   (bgr.com) divider line 31
    More: Interesting, bulk box, ipad app, BGR, publicly traded company, Apple TV  
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1604 clicks; posted to Business » on 18 Jun 2012 at 10:44 AM (2 years ago)   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



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2012-06-18 10:55:12 AM  
Honestly, I don't think this is a stretch. It looks like Tim Cook is going to forgo a little bit of the elegance/control freakery that SJ was famous for in order to grow the business. They even lowered prices a little bit in their recent product updates.

The Apple hardware side is extremely solid if you haven't noticed. They have their case materials exactly right: metals that are light, strong, and don't scratch, flake apart or discolor; the trackpads are top of the line; the backlit keyboards don't wreck themselves after a few years; they have their own battery chemistry, etc. They know how to make those things themselves and with a little care, they could essentially never go obsolete at all -- what's going to go out of favor? And now they have their Retina stuff apparently scaled upwards, so they can do smaller versions of their products in a way that makes sense to them.

The truth is that if (and that's the important word) they wanted to, they could get to 30% or more market share for their computers in a very short timeframe, just by promoting the OS (make a tryout CD for everyone's PC) and creating some low-end versions of the laptops that people would enjoy, but want to upgrade from eventually. I don't know why they would want 30% market share for their computers; they don't seem to now.
 
2012-06-18 10:55:57 AM  
When you have an endless supply of people willing to pay $2500 for a $1200 piece of hardware, you end up with great profit margins.
 
2012-06-18 11:07:06 AM  
Remember the 1980's Apple Superbowl commercial about the underdog fighting the Man? Apple is now the Man, man. What goes around comes around.
 
2012-06-18 11:22:02 AM  
That's good news for a a naïve and slow-witted native of Alabama.
 
2012-06-18 11:27:02 AM  
When you can convince a lot of people that an average Chinese made laptptop or tablet is worth more than its Korean / Japanese / Taiwanese counterpart, then yeah, there's profit in that.
 
2012-06-18 11:43:10 AM  
No outrage over eeeeevil corporate profiteering?
 
2012-06-18 11:46:48 AM  

Nightjars: When you have an endless supply of people willing to pay $2500 for a $1200 piece of hardware, you end up with great profit margins.


Or, you know, a hundred more for an iMac with iLife over a Dell XPS One 27 that comes loaded with a free AOL trial.

Yeah, that's a tough one.
 
2012-06-18 11:50:30 AM  

BlameBush: No outrage over eeeeevil corporate profiteering?


Almost every thread discussing the Facebook IPO includes someone comparing Facebook and Apple as two examples of "bubble companies", explaining why Apple (like Facebook) is overpriced and will collapse in the near future.

Those folks have general Apple outrage, rather than corporate profiteering outrage.
 
2012-06-18 12:21:58 PM  
Apple is powered by fanboid rage. It's no wonder they do so well.
 
2012-06-18 12:55:06 PM  

AcneVulgaris: Apple is powered by fanboid rage. It's no wonder they do so well.


Because making products that all the other tech companies are falling over themselves to imitate has nothing to do with their success. Nothing at all.
 
2012-06-18 12:58:38 PM  
Posting this from my MacBook Pro, so I am getting a real kick, etc.
 
2012-06-18 12:59:42 PM  

AcneVulgaris: Apple is powered by fanboid rage. It's no wonder they do so well.


www.photobasement.com
 
2012-06-18 01:11:18 PM  

Terrified Asexual Forcemeat: [snipped for space]


I disagree with the notion that promoting the OS more heavily could help. OS X is something people either seem to love or to hate, there isn't much in between. I don't think OS X sells very many people on Apple products. And iOS is just a mobile OS, it's not really that fundamentally different from any other major mobile OS.

Aside from that, Apple's biggest strength was their ability to convince people who needed a $600 laptop to buy a technically equivalent product at $1000 because it looked nice and to convince people who needed a $300 netbook to buy a $600 tablet. There are only so many people willing to pay a premium for a product because it looks and feels solid. It's like when a company like Benz tries to make a downscale product to break into a lower class market segment like small hatches. It turns to crap because nobody buying things on a strict value basis is going to pay a premium for a budget class item just because it feels nice.

They know their market and they have a lock on it, I think they'll just stick with that for the most part.
 
2012-06-18 02:49:41 PM  

Mantour: AcneVulgaris: Apple is powered by fanboid rage. It's no wonder they do so well.

[www.photobasement.com image 500x761]


..and the lights just got a little brighter in Cupertino.
 
2012-06-18 03:38:49 PM  
Terrified Asexual Forcemeat: The truth is that if (and that's the important word) they wanted to, they could get to 30% or more market share for their computers in a very short timeframe, just by promoting the OS (make a tryout CD for everyone's PC) and creating some low-end versions of the laptops that people would enjoy.

Steve Jobs would never go for that ...

Don't forget that one of the first things he did when becoming CEO was to buy and kill Power Computing.

// The licensing terms for OSX restricts you from installing it on non apple branded hardware. Apple is, at its core, in the business of selling hardware.

// Outside of Apples world of carefully selected hardware components. OSX would be tarnished a bit. Making a stable OS is a lot easier if you only have to support a subset of all the potential hardware configurations that are out there. But open it up to the entire hardware world and I have a feeling you would start to see some issues pop up. And the first thing people would do is blame OSX and not the crappy hardware or drivers (just like they do with Linux today).
 
2012-06-18 03:43:01 PM  
Moopy Mac: Almost every thread discussing the Facebook IPO includes someone comparing Facebook and Apple as two examples of "bubble companies", explaining why Apple (like Facebook) is overpriced and will collapse in the near future.

I'm no fan of Apple and their business/tech practices. But comparing Apple to Facebook is like comparing Apples to Oranges.

// Apple produces actual physical products. Facebook produces, eyeballs. Facebook is a handful of bad upgrades/security breaches away from being tossed aside like MySpace to make room for the next social media site.
 
2012-06-18 03:57:32 PM  

lordargent: Steve Jobs would never go for that ...


I don't hear him objecting.

/Won't happen though.
//Apple's advantage is a controlled homogeneous environment. They will not give that up.
 
2012-06-18 04:10:04 PM  

lordargent: Moopy Mac: Almost every thread discussing the Facebook IPO includes someone comparing Facebook and Apple as two examples of "bubble companies", explaining why Apple (like Facebook) is overpriced and will collapse in the near future.

I'm no fan of Apple and their business/tech practices. But comparing Apple to Facebook is like comparing Apples to Oranges.

// Apple produces actual physical products. Facebook produces, eyeballs. Facebook is a handful of bad upgrades/security breaches away from being tossed aside like MySpace to make room for the next social media site.


That's my point, comparing the third most profitable company in the world (which may become the most profitable company in the world) with a company that has a very short track record of profitability (and potentially could be replaced by a competitor in short order) is ridiculous. When posters were discussing the Facebook IPO "failure" there were inevitably several people that would compare the two because...hipsters like iPads?

A couple of years ago, trolling Apple "fanboys" was fun to watch, but now the anti-Apple crowd is much more entertaining.

/Still nothing as entertaining as the RIM diehards
 
2012-06-18 04:11:58 PM  
And don't look now, but Facebook is up 16% over the last 5 days. Hopefully those going on and on about shorting FB closed their contracts about two weeks ago.
 
2012-06-18 04:31:55 PM  
Heh, writing this from my brand new iPad I picked up yesterday.

Getting a kick, etc
 
2012-06-18 05:28:12 PM  
It's almost like producing good products is a way to make money. Maybe someone should go back in time and tell Sculley and Amelio that valuable piece of information.
 
2012-06-18 06:23:50 PM  

BlameBush: No outrage over eeeeevil corporate profiteering?


They tweet their outrage on their Apple product made by slave labor in China while encouraging others to buy only fair trade coffee, boycott Arizona, support the OWS movement and organized labor all while listening to their latest I-tune downloads.
 
2012-06-18 06:25:09 PM  

Terrified Asexual Forcemeat: Honestly, I don't think this is a stretch. It looks like Tim Cook is going to forgo a little bit of the elegance/control freakery that SJ was famous for in order to grow the business. They even lowered prices a little bit in their recent product updates.


Hopefully they do, and continue to do so as they distance themselves in time, distance, and philosophy from their Idol in Chief.



The Apple hardware side is extremely solid if you haven't noticed. They have their case materials exactly right: metals that are light, strong, and don't scratch, flake apart or discolor; the trackpads are top of the line; the backlit keyboards don't wreck themselves after a few years; they have their own battery chemistry, etc. They know how to make those things themselves and with a little care, they could essentially never go obsolete at all -- what's going to go out of favor? And now they have their Retina stuff apparently scaled upwards, so they can do smaller versions of their products in a way that makes sense to them.


That doesn't excuse their general hostility towards maintenance. For their competitors, you don't need to be a registered and NDA-blessed person to buy parts through official channels. In addition, manuals and nearly all maintenance tools don't require an NDA either. From day one, you have a product that can be maintained far more easily than an Apple iProduct at day 1000.

The backlit keyboards? The high quality keyboard title has been with the Thinkpad series versus the PCjr-like Apple keyboard..
Retina? Already something that is well-known to the Thinkpad community in some form or another - AFFS(Flexview), or IPS - displays well before Apple had the idea.

Now if there was a way to block their monopoly on things like Retina (unless it could be offered to all takers), plenty would be happy.

MrEricSir: It's almost like producing good products is a way to make money. Maybe someone should go back in time and tell Sculley and Amelio that valuable piece of information.


Except that Sculley and Amelio got it right by not having the great white iHype Machine. Someone should have gone back and let Woz & the other NeXT guy run it, while offing Jobs before he attained idolhood.

GameSprocket: //Apple's advantage is a controlled homogeneous environment. They will not give that up.


Given enough time and distance from the Idol in Chief, they will.


/Elegance is making a business-focused laptop in black look & work well, not caring to match the idolatry of competitors.
 
2012-06-18 08:54:09 PM  
Is this where I get to mention that I was going to buy Apple at $9 a share when trading resumed after 9/11 - and my farking broker talked me out of it and kept me in her shiatty money-losing mutual fund. (I'm not kidding.)

/No longer uses "brokers" - I can read the Wall Street Journal and throw a dart as good as any of them.
 
2012-06-18 10:49:26 PM  

Cloudchaser Sakonige the Red Wolf: That's good news for a a naïve and slow-witted native of Alabama.


Are you kidding? It's pretty unlikely like real 'mercans* are going to use products that are favored by artsy graphic designers and elitist socialist intellectuals.

*As distinct from the many normal people who happen to live in Alabama.
 
2012-06-18 11:41:25 PM  

RickyWilliams'sBong: Nightjars: When you have an endless supply of people willing to pay $2500 for a $1200 piece of hardware, you end up with great profit margins.

Or, you know, a hundred more for an iMac with iLife over a Dell XPS One 27 that comes loaded with a free AOL trial.

Yeah, that's a tough one.


If we're going that route, my custom PC was about $1400 and blows away the $2500 Mac Pro.
 
2012-06-18 11:45:38 PM  

MrEricSir: It's almost like producing good products is a way to make money. Maybe someone should go back in time and tell Sculley and Amelio that valuable piece of information.


Everyone complains that new cars have become harder and harder to work on for replacing parts and maintenance. Everyone turns a blind eye when its a similar story when it comes to Apple products.
 
2012-06-19 12:11:54 AM  

buckets_of_fun: Everyone complains that new cars have become harder and harder to work on for replacing parts and maintenance. Everyone turns a blind eye when its a similar story when it comes to Apple products.


That's hardly a trend that's unique to Apple. But I will say this: at least Apple still screws their products together with proper metal screws. None of that plastic nub bullshiat to break when you re-assemble your iThing.
 
2012-06-19 12:20:41 AM  

MrEricSir: buckets_of_fun: Everyone complains that new cars have become harder and harder to work on for replacing parts and maintenance. Everyone turns a blind eye when its a similar story when it comes to Apple products.

That's hardly a trend that's unique to Apple. But I will say this: at least Apple still screws their products together with proper metal screws. None of that plastic nub bullshiat to break when you re-assemble your iThing.


I'll give you credit on part of that. I've just never met an Apple product that was easy to service. Every cellphone, laptop, and misc. electronic device I've had has had at least one brand be easily serviceable. I can easily swap the battery on my Galaxy S2. Tablets are designed to be throw away objects no matter what manufacturer you use.
 
2012-06-19 05:00:13 AM  

kg2095: Cloudchaser Sakonige the Red Wolf: That's good news for a a naïve and slow-witted native of Alabama.

Are you kidding? It's pretty unlikely like real 'mercans* are going to use products that are favored by artsy graphic designers and elitist socialist intellectuals.

*As distinct from the many normal people who happen to live in Alabama.


You missed that reference :-)
 
2012-06-19 06:34:02 PM  

buckets_of_fun: I'll give you credit on part of that. I've just never met an Apple product that was easy to service. Every cellphone, laptop, and misc. electronic device I've had has had at least one brand be easily serviceable. I can easily swap the battery on my Galaxy S2. Tablets are designed to be throw away objects no matter what manufacturer you use.


That is deliberate on Apple's part. Never mind that getting parts is nigh-impossible through official channels since it breaks their product model.

It's one reason I've opted for brands like IBM/Lenovo just for the fact that I can maintain the thing well past its warranty expiration date. Full documentation is available(no NDA needed), and parts are plentiful.

MrEricSir: That's hardly a trend that's unique to Apple. But I will say this: at least Apple still screws their products together with proper metal screws. None of that plastic nub bullshiat to break when you re-assemble your iThing.


Then you must have forgotten about the iPad and MBPR where the only thing that fastens some parts is glue
 
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