It’s the world ready for Apple?

apple In 2000 Steve Jobs introduced a device to the market that was  able to play and hold all   your music. The reaction at first was negative many of Apple fan boys  were forecasting that this will be the next "Newton" (Failed attempt of Apple of conquer the PDA market)., but it’s a saying that goes " Give time to the time", This device well known for us today as the "IPod" which arguable is the most revolutionarily device of this century, as for today like one of my colleagues mentioned me: " IPod is Apple bread and butter".

IPod produce above 40% of Apple revenue, and the potential of  growing is unlimited it , but Apple hasn’t let the glory come to their head and has keep pushing for innovation, and like I mentioned in a another post, Steve’s guys work hard to get a good perception from the users, and the  whole society as market.  Last year we got in our hands the sweat , and slick device IPhone which merge a Smartphone and IPod in one. The reviews since day one has been outstanding, it seems like every person either has one or at least want one. 

The situation is very favorable right  now for Apple Inc, we remember as today how Apple was isolate it from the rest of the Tech market where everything was about PC. Today is not a secret the Apple is growing in exponential numbers.  Today Apple enjoy a "favorable" 8% of market share in the Operating System  world, which 8 years ago, was almost at 1%.

This amazing comeback of Apple has been produce by many factors, mainly of how they use ironically the PC platform as their gateway to the world. With ITunes which has perfectly blend the Pc world with the IPod.

We just have to look at this rough numbers published by Eweek Magazine:

  • ITunes since April 2003 when it open to the world  until July 12 of 2004 sold 100 million songs.
  • By July 18 2005 ITunes sold 500 million songs.
  • Amazingly by July 31, 2007 it spike to 3 billion songs.

Apple has become the no.2 musical retailer behind Wall-Mart (at the time I am writing this post it became #1) , but more important with a different business model which lower the operation cost, since most activities are done in a online level.

Having said that,  they are  some issues that Apple most overcome :conquer the corporate market. This is the  key for them to move from been a successful company, to be one  of the most important companies in the world. Unlike many people believe, the "big" money  for the Tech world is in the corporate level. Corporations in USA spent 4 to 1 ratio when we compare with regular users, Apple is aware of that,  and is already making the first baby step in  the right direction, announcing  that IPhone will sync with Microsoft Exchange which controls must of the mail servers in the corporate world (70%).

Now they are many suggestions that come to my mind that Apple should go for, in order to capture a piece of the corporate market:

  • They have to understand that they are hardware company more than a Software company. It’s even some experts that suggest that Apple should limit them self to make Macs and load Windows OS. (I will explain more about this in another post).
  • Lower prices in order to maximize revenues. (it’s so many people around the world that will love a Mac, but it is  so overprice).
  • Have more SKU models, as for now Apple just have 6 computer models.
  • Should be more open to the open source community, since Apple OSX is a product of the open source community.
  • Now that they are in their peak with those "MAC vs. PC", commercials, keep the same approach, but involve somehow advantages in a corporation environment.

Although I do not own the absolute true I just hope that Mr. Jobs will listen here and there, from us the  people that are asking for a affordable Mac for the day to day users.


2 thoughts on “It’s the world ready for Apple?

  1. Luis says:

    Great post! I agree with you in that Apple has some ways to go before it is accepted in the enterprise market. What Apple has to do is invest not only in innovating future products, but in marketing as well. They need to find a better way of informing corporations how much better a product they have to offer. I am the first one to admit I am very biased when it comes to Mac vs PC, but in all honesty Apple does make a better product. As for your suggestion that they a overpriced, I don’t think it’s a fair statement to make. If you compare a similar product (bus speeds, RAM speeds, processor specs, etc) on the PC side, they are actually more expensive than a Mac. You need to compare apples to apples, not apples (no pun intended) to oranges. People think Macs are overprices when you have companies like HP and Dell selling machines for less than $400. What they don’t realize is the machine they are purchasing at that price is made with the low end materials and specs. Apple gives you good quality with all their products.

  2. Miguel Andujar says:

    I have to agree when it comes to laptop, but when it comes to desktop for the money that you pay for an Apple desktop you could build a super PC, with much better hardware. You know better than me that Apple does not make profit out of their OS, their money is in hardware, so it will be pretty obvious that they have to compensate with their hardware price. I read an article that it cost Apple that same amount of money to build their OS that what it cost Microsoft, difference is, it reach a smaller group, which force them to over price their hardware. That’s why the Ihpone and IPod are so popular because they are “fair” prices, but without getting out of the subject, regardless of the hardware being over price they have to appeal to the “average Joe” that just want to browse on the internet and read their email.

    I will go even further, in the last quarter report even Microsoft show some worries that the PC market will shrink 1. Because the economy situation and 2. Because net books are appealing to the “average Joe”. Net books today go between 200 & 300 dollars and it’s enough for email word processing, etc, etc.

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