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To: GS_Wall Street who wrote (6576)12/2/1997 1:40:00 AM
From: J R KARY  Read Replies (1) | Respond to of 213173
 
Hi Greg.: maybe AAPL software is discounted to sell hardware ?

AAPL's 1997 hardware rebates and its refusal to predict profitability could signal a effort to recover market share .

As both a Hardware and OS Software company AAPL has leverage to forsake margins on one element to entice a combined profitable purchase .

AAPL encourages QuickTime developer kit sales , training etc.:

quicktime.apple.com

Netscape grew its market by giving its browser away to seed a sale for its profitable network software and AAPL has also has hardware profit opportunities .

You present a valid question and I wish I had a more verifiable answer .

Jim K.



To: GS_Wall Street who wrote (6576)12/3/1997 7:50:00 PM
From: Marc Newman  Read Replies (1) | Respond to of 213173
 
Greg, in response to #6576, Apple doesn't make any real money on QuickTime. Last time I read a discussion about it (earlier in the year) the quandary was this: They'd like to charge but then MSFT would keep giving away their stuff for free. Therefore Apple has to keep devoting resources to QT to stay ahead and keep market share, despite no money in it except presumably from additional hardware sales to content creators.

They'd like to figure out how to make money at it. Perhaps they are selling some code to MSFT as part of the hush hush MSFT deal.

Marc