03/01/2006, 1:45pm, EST
Wednesday, March 1st
ML: Tuesday event was disappointing
"The iPod Hi-Fi and leather cases are just the latest examples of Apple's strategy to harvest a greater percentage of the accessories market derived from the growing iPod installed base," said Farmer in a note his clients obtained by MacNN. "We see the strategy working in the short term but creating ecosystem risk in the long run."
Echoing similar concerns by other analysts, the firm said that Apple's "increasingly aggressive moves" into the iPod accessory market and its move to collect an "iPod tax" with its "Made for iPod" logo and licensing program may be detrimental in the long term. "Apple risks alienating its ecosystem and creating a margin umbrella that is ripe for disruption from other platforms over time."
Farmer also said that sales of the high-end iPod accessories, which are priced at premium over competing products, would be an important test for Apple's brand. The firm noted that the Bose SoundDock digital music system provides a similar set of features for $300--$50 less than Apple's iPod Hi-Fi. Without comparing quality, Farmer note that "for an extra $50 the iPod Hi-Fi product offers battery power capability for music on the go and audio inputs which allow for streaming music if used with the optional Airport Express."
In addition, the analyst warned that the new Intel-based Mac mini was only an incremental step in the ongoing Intel transition and continued to be cautious as he noted the lack of important native Intel applications.
"The new Mac mini is an incremental step in the ongoing Intel transition. Though the long run prospects for Apple share gains on the Intel platform are likely to be promising, we continue to be concerned about brand risk from potential glitches in the Intel transition as well as delayed availability of native software from Adobe and Microsoft." Other analysts have also cautioned that lack of native professional applications may slow the transition and impact sales in the near-term.
While the firm's earnings scenario analysis showed a "modestly positive skew" in its risk versus reward analysis, Farmer said that the upside was not significant enough to change its rating on Apple stock. Merrill maintained its "neutral" rating on the stock.
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It's not like Apple is going to say "we have some mediocre products to announce" - it's the job of their marketing department to hype their products regardless of how boring people think they are.
WAAAHHHHH.. no new iPod/cell phone/toaster/bread slicer? WAAAHHHH I'm disappointed!!!
The real important apps are the consumer apps and games which everyone including the pros use.
But just like the virus/malware scare tactics we've seen during the past month, we're gonna be hearing about these 'important apps' that aren't native.
Although Apple revies many of the products, Apple only perfects their own. What does this mean? A premium sound system with the best sound in the industry for this type of product. Why do you think the shuffle has better sound than any other flash system? Sound Engineering. Their products continue to have superior sound and it continues to get better.
And to the post...did something go wrong. It has happened a few times before so it might not be out of the realm of possibility. Good observation nickbirch!
Further, the integrated graphics outperform what was in the box prior to yesterday. Sure, they could have put more in, but what they put should satisfy the majority of users.
I do hope a $499 model comes back on the price list at the next speed bump, but that will have to wait until components get cheaper.
All in all, Apple delivered a neat package, and an important one. Their entire desktop low end is Intel based, and I suspect we will see Intel iBooks at the next Intel price drop. This is a very rapid transition, and it makes it important for software vendors across the board to get Universal apps shipping.
Scott
With the "hi-fi Apple wants to make a little more money from some of the technologies they created. The hi-fi speaker compliments iTunes+AirTunes nicely. And it completes the equation; Mac+iTunes+AirTunes+AirPortExpress+iPod Hi-Fi = Excellent music listening experience.
The nice thing about these products is that they don't need each other to work... they can work on their own and with other technologies. They can stand and function as individual products or mix'n'matched with other products.
The mac mini upgrade was expected, but not the inclusion of the Dual Core. Very nice indeed. A lot of power in a small form factor. So for $799, you're pretty much getting an iMac without the the peripherals and display.