Apple struggles, its stock at 12 year low
CUPERTINO, Calif. (Reuter) - Apple Computer Inc. stock slid to a new 12-year low during the week, as
investors continued to fret over erosion of the struggling computer maker's market share and a key clone maker's
plans to start shipping PC-compatibles, analysts said.
The stock recovered 65 cents Thursday to end the week at $13.70 after closing the night before at the lowest level
since the mid 1980s. It was the second straight 12-year low for the shares, according to the analysts, one of whom
said the stock was weighed down by a flurry of continued bad news.
``The biggest (news) is Power Computing is going public and switching to Intel,'' said one of the analysts, citing
clone maker Power Computing's Securities and Exchange Commission filing stating it plans to enter the market for
personal computers compatible with Intel Corp. chips early next year.
The documents said Power Computing has sub-licensed the Macintosh operating system from International
Business Machines Corp. at more favorable terms than its deal with Apple, although it is still negotiating with Apple
to use the Macintosh operating system.
On Monday, Microsoft Corp. Chairman Bill Gates said Apple remains a significant force in the schools, although
Microsoft's Windows operating system is making inroads.
Operating system software runs computers and is the skeleton on which other programs hang.
Apple has fallen on hard times, with its share of the personal computing market falling as low as the 5 percent range.
Compaq Computer Corp. this week announced an alliance with four software companies, including Apple's own
Claris Corp., to sell its PCs to the school market. The announcement preceeded the height of the school buying
season during the summer months. |
