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AAPL Off With Markets
Markets are falling over the bad June jobs number. Shares of AAPL are off as well. The company will report earnings for its third fiscal quarter on Tuesday, July 24 and just as a reminder, AAPL shareholders are earning a dividend as of July 1 (thank you for the heads-up, Ken). Investors remain focused on iPhone penetration globally and the anticipated launch of the next generation in the fall; iPad adoption and the launch of a smaller version; market share growth of the Mac business lines; the introduction of the anticipated Apple TV set and related products; and evolution of platforms such as Siri, iAd and iBooks. Shares of Apple trade at 9.7x Enterprise Value / Trailing Twelve Months Free Cash Flow (including long-term marketable securities).Apple Wiping Out All Of Windows Platform Advantage (Asymco)
Apple is finally on the verge of eliminating the platform advantage that Microsoft has enjoyed with Windows for years. According to Horace Dediu, the ratio of Windows PCs to Macs sold dropped to below 20 in 2011, its lowest level since before Windows 95 was launched. And when you factor in iPhones and iPads, the ratio of Windows units to Apple devices sold has dropped to less than two. “Seen this way, Post-PC devices wiped out of leverage faster than it was originally built,” Dediu writes. “They not only reversed the advantage but cancelled it altogether.” At this rate, Dediu predicts that sales of Windows units and Apple devices will be even within the next one to two years.
The iPad Mini Could Have A Larger Market Than Current Models (Apple Insider)
If Apple releases a smaller iPad model with a 7.85-inch display, the less-expensive device could eventually outsell the current 9.7-inch model, according to Brian White of Topeka Capital Markets. He doesn’t think a so-called “iPad mini” would cannibalise a significant number of sales of the existing iPad. At worst, he sees the smaller, cheaper iPad affecting 20% of sales of the current model, a cannibalization number he called “relatively minor.” Given the growth trends in developing countries like China, he sees an “iPad mini” priced between $250 and $300 having a big impact on the market in the coming years. It could even become a larger market than the current model. Watch Business Insider’s Jay Yarow talk about it on CNBC.
Tablets To Overtake Notebooks By 2016 (NPD via TechCrunch)
Tablets, and specifically the iPad from Apple, have been one of the big drivers for growth in mobile in the last couple of years, but figures from NPD indicate that their popularity is going to get even bigger: The market for tablets, its researchers predict, is set to boom from 121 million shipped tablets today to 416 million devices by 2017, when they will overtake notebooks to become the most popular mobile PC device, driven by a drop in costs and a rise in features. Overall mobile PC shipments will reach 809 million units by 2017, from 347 million today.
Would Apple iGlass Be Better Than Google’s Glasses? (Gizmodo)
Apple just got awarded a new patent that may become the wearable version of the iPad one day: eyeglasses that would display apps, video, images, and overlay information on the world around you in realtime. Basically be just as stupid as Google’s Project Glass, only prettier. Apple’s eyeglasses would (in theory) project all this information directly into the user’s eyes using LCD projectors. But unlike Google cofounder Sergey Brin’s pet project, Apple’s iGlass would not have the projector in front of your eyes. The projectors would be located on the side of the eyeglasses, looking into the glass, not the user’s eyes.
By Keeping The Nexus Away, Apple Is Just Creating More Demand (The Next Web)
This whole copyright case as nothing more than an expensive game of block-and-tackle, though. Apple gets to block the release of one of the best, if not the best, phone and OS combinations, and gets to release its next-gen version with a clear runway. It’s business, but it sucks for consumers. If the Nexus did catch on with some people, it would most definitely cause some disruption in Apple’s plans, which is what competition is all about. If Apple wants to be the best, it should just focus on making the best, and let the consumers decide.
Apple Continues To Dominate Mobile Browser Traffic (Net Applications via Apple Insider)
Apple has continued to take an increasingly larger share of mobile devices tracked by Net Applications, reaching more than 65% in the month of June. The 65.3% share of Apple’s iOS platform, which is found on the iPhone, iPad and iPod touch, was up from 62.7% in May. Apple’s share has steadily risen, growing from a 53% position in August of 2011. Apple’s next closest competitor in mobile browsing market is Google’s Android platform, which took 19.7% in the month of June. Android has also seen its share grow since last August, when it took 16% of mobile browser usage.
Apple Has One Store Per Over 200 Million People In China (iDownloadBlog)
In China, each of Apple’s retail stores serves on average 216 million customers. Apple currently operates just five stores in China, two in Beijing and three in Shanghai. Therein lies the catch to its expansion in the 1.33 billion people market, the company “has fallen well short of its own goals.” Apple needs way more stores in this huge country than it can possibly build, and it needs them yesterday. China is important not just because it has recently displaced the U.S. as the world’s leading smartphone market, but also because it now contributes to one-fifth of Apple’s total revenue.