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Apple Marketshare and 'Sales Guys'

As part of the Macintosh's 20th anniversary, Newsweek's Steven Levy recaps the Mac's origins and discusses with Jobs about the Mac's (lack of) marketshare. Jobs is openly critical of the management of Apple during his absence:

Jobs has a theory about that, too. Once a company devises a great product, he says, it has a monopoly in that realm, and concentrates less on innovation than protecting its turf. "The Mac-user interface was a 10-year monopoly," says Jobs. "Who ended up running the company? Sales guys. At the critical juncture in the late '80s, when they should have gone for market share, they went for profits. They made obscene profits for several years. And their products became mediocre. And then their monopoly ended with Windows 95. They behaved like a monopoly, and it came back to bite them, which always happens."



Jobs goes on to parallel this to Microsoft's current position and that a "Sales Guy" (Steve Ballmer) is leading Microsoft.

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105 months ago
interesting
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105 months ago
"They behaved like a monopoly, and it came back to bite them, which always happens."


That's a very wise observation on Jobs' part. I would hope they don't repeat the same mistakes again, should they ever have some sort of monopoly again. I think their work with the iPod has been great, and they don't stop innovating it due to it's success.
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105 months ago
So Jobbs is predicting Microsoft becoming complacent...:D
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105 months ago
maybe jobs' viewpoint is also shown through the new hp ipod
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105 months ago

Originally posted by fred815
maybe jobs' viewpoint is also shown through the new hp ipod


Exactly. Apple's move to allow HP (and maybe others) to licence the iPod and install iTunes and the default media player on their PC's can only help Apple keep the marketshare on MP3 players / downloadable music.
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105 months ago
If I catch onto what he is saying. Apple wont stop making new things. Just because they have a good market share with the iPod, doesn't mean they will be focusing all on just digital music. Lets take into account the rumors that have been posted: iBox, which probably wont come soon, but will. The projector, no name yet but hopefully compatable with any laptop with video output or regular computer. We have great computers and OS, iPod, which might become color and able to view the photos that you imported from your camera for storage, this is one feature that should come.

Apple still has space to move, and they are getting people to switch platforms. Maybe not as fast to show a spike, but a gradual slop is happening. I say this because after I got my iBook 2 years ago. About half my friends around me got one after seeing how easy it is and how happy I am with it. Personal Note: I'm and IT major at my school, which gives people confidence to switch, because I have.
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105 months ago
Jobs will never stop innovating and hopefully will never leave his company again, either fired or retired.
I am just happy to be a mac user right now..

I don't think the innovation will ever stop, look at the mini ipod, ti-books relativley new, g5's.....
it must be on going, but the product must remain as quality...

I am still not sure about the HP deal thingy...
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105 months ago
Very perceptive statements IMHO. Good for a CEO to be able to stand back and see a big picture like that.

As for Microsoft being complacent, they have been complacent for some time. The last time the technical side had any primacy was in the IE4 days, but that was only a brief resurgence. Other than that, it's been all sales and marketing since Win95... the products are essentially unchanged.
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105 months ago

Originally posted by johnnyjibbs
So Jobbs is predicting Microsoft becoming complacent...:D


Not sure if this was a sarcastic response or not (my sarcasem meter is in the shop...), but Microsoft has been complacent for years. When's the last time there were any REAL breakthroughs in Office or Windows? Even though there have been improvements, XP and 2000 are still the same clunky Mac-knock-off they were in Windows 95.

Anyway...
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105 months ago
Apple has lost market share EVERY YEAR since Jobs' return. Where does he get off preaching the gospel of lower margins and increased market share?

1.88 percent. Just remember that number. It's damn near insignificant.
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