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Technology Stocks : Apple Inc. -- Ignore unavailable to you. Want to Upgrade?


To: Cogito who wrote (85554)9/28/2009 8:32:36 PM
From: slacker711  Read Replies (1) | Respond to of 213182
 
I don't mean to speak for Roy, but I will point out that for Apple, computers and portable music players are NOT low margin, low profit categories.

I should always remember that my sarcasm has about a 20% hit rate on the net <g>.

Yes, I absolutely agree with your comment. The computer and MP3 categories are both low margin, but Apple has managed to maintain very good margins in both categories. Thus, I dont think the fact that netbooks are a low margin category has much relevance to the debate....the premium Apple commands can transform any category as long as they get the user experience right.

I'm quite certain that if they could find a way to deliver a quality user experience in a four or five hundred dollar netbook

The user experience has to the fit the category. The first generation of netbooks had awful battery life but that has mostly been fixed. The reviews and anecdotal evidence I have heard has been very positive about most netbooks.

I would assume that Apple can do even better and would charge even more for the privilege.

Slacker