Bloomberg: "Does the Apple iPad Make Strategic Sense?"

It's hard to bet against Apple. The two things I admire most about the company are its ability to think holistically about business models (iPod + iTues, iPhone + the App store, iPad + iBookstore) and its willingness to keep innovating. Imagine how different it would have been if Apple stopped at the first generation iPod, or just rode the iPod for as long as it could. Its willingness to step out and enter into new categories is an important lesson for all companies.

via bloomberg.com

Apple is certainly one of the five most innovative companies today. They make consumer friendly products that do new as well as old tasks (email etc) for consumers. They have been seemingly able to raise the bar continually.

If one is not risking failure, one is not making the movements that lead to innovation. For the most part, it looks like Apple got past most of the challenges they came across in the development of the iPad.

Posted via web from admore's posterous

Apple Grows iTunes Store Revenue

via online.wsj.com

Apple has done a really effective job creating a digital distribution model. Quarterly sales in the iTunes store have increased from $300 million five years ago, to over $900 today million.

Posted via web from admore's posterous

Apple iTunes Account Update

 

A while back iTunes required that my account be updated. Up until that time I was using an AIM (AOL Instant Messenger) login ID. Apple required that this account be converted to an Apple account. Went through all this and everything worked fine until the iTunes update back in September (2009). At the same time I was unable to login with my new Apple ID and my music was essentially deauthorized. After a few days the problem that prevented me from logging in was fixed and I was subsequently able to login with my Apple ID.

Here is the problem, much of my music is no longer accessible as it was purchased with the AIM account ID. Almost every time I try to play a track purchased with the AIM ID, a pop up box appears. There is at least one track associated with the AIM ID that currently plays.

Searching for the fix to this situation is frustrating and time consuming. This is a big problem.

 

Rant <end>

Apple iPod - Touch

What will be the big news from Apple on Wednesday September 9, 2009?

Below are some of the features that I believe may be in the new iPod Touch.

• Camera
• GPS
• Internet data plan capable
• Choose the service provider of your choice. AT&T will not have an exclusive deal with Apple for this product.

Apple iTunes Drops AOL Screen Names?

 

Logged into iTunes this evening to sync the iPod and this dialog box appeared. Have never seen anything like this before.

Did Apple just drop AOL screen names?

THE AT&T IPHONE SUBSIDY

An article in the Wall Street Journal, AT&T Gets Another iPhone Boost, includes some interesting information about AT&T and the Apple iPhone.

In the most recent quarter AT&T activated 2.4 million iPhone units. Assuming that each of these units is a sale and part of the total subsidy number leads to the following.

AT&T estimated that subsidy payments to Apple for the iPhone were $720 million in the quarter. Some basic math, $720 divided by 2.4 million, reveals that each handset is subsidized approximately $300.

 

How would you analyze this data?

Have you seen similar of different numbers?

Uncompetitive Offering from Amazon MP3

How can free be uncompetitive? See below.
Earlier today I came across a message saying that Amazon MP3 was giving away some free music. Went to the website and indeed there appeared to be 2 "free" songs available. When it came down to it, you were forced to select a payment method. There did not appear to be any way around this step. Pay for "free" music, sorry no deal.
This was a hassle compared to iTunes from Apple. So instead of gaining a customer they got negative feedback. Hopefully they get lots of feedback so they can "fix" the problems. As long as these problems remain, Amazon MP3 will be an also ran in the digital music business.