Quote:
I've got no doubt that Apple's vision of the world has an iPhone in every pocket, an iPad in every hand, and a Mac on every desk,...


I actually don't think that's true. That isn't necessarily the best road to profit.

Android has about 75% of the smartphone market, but Apple makes the majority of the money (57%) in smartphones. Only one other Android maker, Samsung, is making a profit in smartphones. Every other smartphone maker actually LOSES money on smartphones.

In order to have an iPhone in every pocket, it becomes necessary to cut prices to the point where suddenly there's mass availability. (This includes plan prices; right now, most of the true cost of cell phones, especially in the US, is concealed. We pay little for the phone but obscenely high prices for the service. When I tell my friends in the UK how much money I pay for cell service, they choke.)

Apple's job is not to put an iPhone in every pocket; it's to make money. Selling twice as many phones doesn't do that, if the cost is to cut profits to a quarter of what they are now.

I see Apple as the computer equivalent of BMW. They will never sell as many cars as General Motors, and they don't want to. They offer a premium product that they market to a profitable demographic.
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