Apple pointed to the sales of the iPhone as the primary factor in its $13.4 billion Q2 report this week. The device, which Apple sold more than 8.7 million units of, is becoming the equivalent of the inkjet cartridge at HP. High volume, high profit, and a very different product than the company has been known for. You might argue that the iPhone has little to do with the mission of the Mac. But you won’t be throwing away an iPhone every month, like those HP ink cartridges. Using an iPhone in conjunction with a Mac makes the mobile device act like an extension of the computer.
What works in Apple’s favor it that the iPhone has plenty of competition, but no direct knock-offs. It’s the Apple product most likely to introduce the company’s computer solutions to a first-time customer. The second most likely product? The Mac itself. Apple said about 300,000 Macs sold at the Apple retail stores during Q2 went to customers who had never owned a Mac before.
Apple cites a “stronger product mix” including more iPhone sales while explaining how it beat analyst estimates by more than 2 percent for margins. Then there’s the $47 billion in cash the company reported for the period ending March 31: A lot of clams to toss at whatever research and development opportunities emerge.
Apple pointed at its “first mover” opportunity with the iPad as one place where it intends to exploit its advantages with fresh investment. Apple expects to release iPad units in 9 overseas countries by the end of May and ship the 3G versions by the first week of May.
One analyst said the iPad has a chance to become “the Mac of the masses.” In the 1980s Apple called the Mac “the computer for the rest of us.” Many analyst questions during the Q2 conference Q&A covered the iPad. As of this week, one tracking site estimates more than 1 million iPads in use: An introductory rate that outstrips the adoption of the iPhone in its first quarter of sales. Perhaps what the iPhone has done for Apple is a sign of what the iPad might add in several years.
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