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Technology Stocks : Apple Inc.

AAPL 258.19

-0.7%

3:59 PM EST

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To: slacker711 who wrote (69593)	10/3/2007 4:59:03 PM
From: Doren	Read Replies (1) of 213182

There are two ways to make profits: Squeeze your customers vs. Innovate and create I don't think companies have to do either exclusively. Microsoft and Ebay IMHO are classic squeezers. Neither has innovated much. Sometimes they buy innovation. Usually they screw that up as Ebay has screwed up half.com by trying to squeeze. Apple and Amazon are, in general, innovators. Apple though has not been above squeezing. On the other hand they don't have any competition in the computers that don't squeeze. They do have innovative competition in the phone market. I think they are skating on a thin edge here. They realize they can squeeze a little bit. One way of squeezing is to develop a reputation for excellent quality then downgrade the quality and take home profits. Sony did that and, if my perception is correct, paid dearly. I can't imagine Apple taking it that far, but I do think Apple is not above doing it when it makes sense.

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