Fortune Magazine: "Macintosh business is the hottest line of all"

« Previous article.
Next article. »


By: switchtoamac at: 12:44 PM on August 24, 2007 | Comments (1)
In a August 22, 2007 article titled "Apple's surprise weapon: Computers", Brent Schlender, Fortune's editor-at-large details how the Mac is Apple's hottest product line.  Schlender refers to data from IDC and NPD in his article.  I'd like to highlight the following:

"While Apple has been firing on all cylinders, and the iPhone is selling hundreds of thousands of units a month, its Macintosh business is the hottest line of all. It roared back in the quarter that ended in June to reclaim its status as the company's largest revenue source and, at long last, break that 5 percent share barrier, according to IDC."

"Indeed, Apple's U.S. Mac sales have grown at triple the rate of the rest of the PC industry since last fall, propelling it into third place in the U.S., behind Dell and Hewlett-Packard."

"The bulk of Macs are purchased by consumers and students who make their own buying decisions rather than take what an employer issues. Apple has a 15 percent market share of PCs sold at retail and online, according to NPD. Having its own flashy stores helps, of course, as does its clever advertising."

"Finally, Apple's software could turn the Mac into a phenomenon again, perhaps even in corporations. Apple is arguably the best software company on the planet, regularly releasing basic operating system software and application programs that reveal the greater potential of computers as devices for communication, creativity and entertainment. Most of Apple's software gets an overhaul every few years and is constantly freshened with free, easy, online upgrades that improve performance."

"So what's the lesson? Apple is growing faster than its competitors because it improves its hardware and software more often than anyone else. It is broadening what we think of as a consumer-oriented PC and thus helping its market grow. That's a good long-term investment story. And, oh, by the way, Apple also makes some pretty slick music players and cell phones."

You can read the full article at CNN Money.

Switch To A Mac Commentary
We'd like to point out that the article provides a bit of misleading data for 2006 Mac sales.  The article states Apple sold 3.1 million Macs in 2006 but according to Apple's fiscal 2006 reports, it sold 5.3 million Macs, up from the 4.534 million Macs sold during fiscal year 2005.  Apple is currently in their 2007 fiscal fourth quarter which is due to conclude at the end of September.

In our view, Mac growth can be attributed to an increase in switchers or what Apple calls "New to Mac".  Mac acceptance is occurring across the spectrum.  Growth can be seen in consumer, education, and even business markets.

Related Articles

1 Reader Comments

Excellent growth in the Mac market. Expected to sell 2 million this quarter.

Speak your mind - Leave a Comment