Vista delay positive for AAPL
updated 10:55 am EST, Wed March 22, 2006
Vista delay, AAPL
Senior analyst Gene Munster of Piper Jaffray today published a research note regarding Microsoft's decision to delay its Windows Vista launch, outlining the expected impacts on involved parties. "Vista promises to incorporate a simplified, enriched consumer experience, which is the hallmark of the Mac operating systems. Therefore, we view delays in Vista as a fractional near-term positive for Apple," Munster said. The analyst believes Vista's delay will potentially result in a 5 percent negative impact on December 2006 revenue and earnings estimates for Microsoft. Munster notes, however, that the impact will likely be short lived. "Unlike other software companies' product launches, Microsoft products tend to have slow uptakes, with a steady ramp lasting up to two years. A two month slip in a product does not have a long-term impact on Microsoft's business model."
Fresh-Faced Recruit
Joined: Nov 2001
It may not hurt MS
long term, but it hurts Microsoft's PC-making partners. Some customers are going to delay purchases of Windows PCs if they do not come with Vista. Since this delay takes the decision to buy beyond the 2006 holiday season, it will be more impactful.
Apple is a hardware company, not an OS vendor. It competes with other hardware companies more directly; more so than with Microsoft.