toggle

AAPL Stock: 132.54 ( + 1.15 )

Printed from http://www.macnn.com

Shuffle cuts to harm AAPL margins?

updated 09:05 pm EST, Tue February 7, 2006

Shuffle cuts to harm AAPL?

Industry watchers today speculated about the possibility of Apple's profit margins suffering, due to the company's decision to cut prices on its iPod shuffle digital music players. Apple has to date sold over 40 million iPods since the company introduced the small players in 2001, and sold more than 30 million units in 2005 alone. American Technology Research analyst Shaw Wu said he was not concerned about Apple's profit margins suffering, according to Reuters. "The price of components have come down more than 70 percent, especially flash memory for the Shuffle," Wu said. "And the price of the Shuffle hadn't changed, so they were making a ton of profit off the Shuffle. So they're passing some of those savings on."




by MacNN Staff

POST TOOLS:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

Follow us on Facebook

toggle

Most Popular

Advertisement

Recent Reviews

Notti smart lamp from Witti

Perhaps you've already seen our review of the Dotti LED display from Witti Design. Meet Notti, Dotti's "sibling". Notti is a softb ...

Seagate Personal Cloud (2-Bay)

When it comes to backing up files, many users are now looking to the myriad of cloud storage solutions available. There is no doubt th ...

Leitz Icon Label Printer

When you say the words "label printer" to people, they either just really don't care, or they get incredibly excited. This is one o ...

toggle

Most Commented