The most surprising result in Apple Inc’s financial-third-quarter earnings statements was strong revenue from its oldest business line. That is, its Mac computers. The iPhone and the iPad computers are to be partly credited for the surprising results from Apple which blew away Wall Street’s forecasts for the June quarter. According to reports, the duo moved nearly 3.3 million units in its first quarter on the market. More surprising was that Mac sales were even bigger, standing out at 3.47 million. This being the most number of Macs that Apple has ever sold in one quarter ever and that this was the first quarter that Mac was available.
Tim Cook from Apple Inc. has a different theory altogether. In his words, Apple thinks about things the other way round. He noted that while iPod created a halo effect that spurred sales for Mac all those years ago, the iPad and the iPhone can as well do the same thing. Tim further noted that while the Mac has been a heavy weight in the market for 17 quarters straight, there is a high possibility of more room to grow. Eventually, Apple’s vision is that the iPad will start eating into Mac sales.
Analysts believed that the iPad would eat into sales of some Mac computer products such as the lower-priced laptops. Instead, total unit for the Mac went 33% from the same quarter last year. A higher sales growth was that of portable Macs which surged 41% as compared to units sold a year earlier.
The iPad went on sale early April. The device allows its users to surf the net, watch videos, read books and access their e-mail accounts. The surprise was with the price tag that of $500 on the cheapest iPad. This is half of the company’s lowest priced laptop computers. There was widespread worry that this would have eaten into the laptop sales, which is still a significant asset to the company.
Apple has not yet said anything in regards to updates for the Mac. In the company’s conference call on Tuesday, the Chief Operating Officer, Tim Cook said that the company is not afraid of the cannibalization issue. He further added that the company’s iPod digital music player has been a boost to the traffic in Apples retail stores in earlier periods and is believed to have helped Mac sales.
Word from Officials
“However, to us, the Mac share is still very low. And so on that, there is an enormous opportunity for the Mac to grow. And so the more customers we introduce Apple through the iPads, iPhones and the iPods, you would think that there is some synergy with the Mac there.” Tim Cook continued.
During the call, Peter Oppenheimer, Apple’s Chief Financial Officer said the company’s retail stores have helped to boost sales for the Mac. Nearly half of the Mac sales made in the stores are to customers who have never owned a Mac before, he said.