Apple's Upcoming Product Transition

that's a pretty sweet spin on bad news

that's a pretty sweet spin on bad news

Or a pretty bad spin on sweet news, depending on how you look at it ;)

could that mean that people are waiting for a product transition, ipods and desktops are all overdue, and apple doesn't plan to do any on this quarter? I guess is the iPhone fault.

Apple's current quarter ends at the end of September 2007. Apple has been rumored to be releasing new iMacs and iPods in August. What's unclear is why Apple expects this product transition to decrease earnings rather than increase earnings.


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it decreases its earnings because discounts and product turnover decrease your earnings on the balance sheet.

It's quit simple.

Apple has always had a category for iLife revenue..
This money stream is going to dry up because iLife will be integrated into Leopard.The price point for Leopard will remain at $129 however iLife will no longer be considered as separate revenue thus causing revenues to be lower.

That along with potential component costs for new backlit LED iMacs will bring the total profits down.

The transition to new iMacs could easily be seen as a problem. If they introduce the new iMacs with a 6 week lead time, that would pretty much be 6 weeks of near zero sales. Its happened several times before.

I would guess they're referring to the Leopard transition, scheduled to happen in October, which may cause people to put off buying a computer this quarter. That is how a product transition decreases earnings in the short term, though it will likely increase earnings in the following quarter.

I theorize different.


Transition sounds different than new models or upgrades.

I have wondered for some time, and more so with the rumored iPhone nano, whether the iPod line will eventually be phased out in favor of an entire iPhone line.

It doesn't make sense in the short run, but neither did shipping an iMac with only USB ports and no floppy disk drive.

iPOD has always connoted a small digital "pod" for holding things, like a pea pod. iPhone takes the idea of a small pod that holds things and adds communication. To me it seems inevitable that Apple will add communication to small devices moving forward. I think in some ways you could look at the iPhone as the next generation over iPod G5.5. And maybe the next product will be the next generatioon over iPod nano G2.0

But an iPhone shuffle? hehe...... In another thread I made a joke about apple coming out with an iphone shuffle that holds a thousand random phone numbers...the joke didnt go over well there...here? anything?


An interesting way of looking at the market that I just thought of while writing this, is that we have had communication devices for aw hile now (cell phones) which in recent years have been trying to add content (Vcast and all that crap)..Apple on the other hand has made content devices to which they are adding communication functionality. i think apple has a good standing in that way of looking at it, because computers were content devices long before they became communication devices. And the reason they were so useful as communication devices was because of all the content already on computers that was ripe for sharing as the WWW came of age.

this is good..everything needs to be updated...imacs,macminis,macpro,nanos,ipod,shuffles etc

It's quit simple.

Apple has always had a category for iLife revenue..
This money stream is going to dry up because iLife will be integrated into Leopard.The price point for Leopard will remain at $129 however iLife will no longer be considered as separate revenue thus causing revenues to be lower.

That would be excellent news - though it could significantly sour relations with MS?

Another possibility - it's the iPod -> iPhone transition?