THE APPLE INVESTOR: Enterprise iPad Users Chucking Their Laptops

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Business Insider

AAPL Up On Earnings Anticipation
Markets are slowly coming back after an early sell off as Industrial Production numbers miss estimates and the PPI falls. Shares of AAPL are up strong on positive comments and estimate increases (see below). Catalysts for the stock include tomorrow’s education event in NYC; holiday quarter results on Tuesday, January 24 at 5:00pm ET; iPhone upgrade cycles and adoption; update to the iPad; continued market share growth of the Mac business line; further penetration in China and emerging markets; the evolution and potential re-conception of Apple TV; and platforms such as Siri, mobile advertising (iAd), books and publishing, gaming, mapping and social (Ping). Shares of Apple trade at 9.5x Enterprise Value / Trailing Twelve Months Free Cash Flow (including long-term marketable securities).More Information On Tomorrow’s Education Event (The Wall Street Journal)
A bit short on the specifics, but Apple has apparently been working with textbook publisher McGraw-Hill on a project that has been underway since last June. Demonstrating that the text book industry is ripe for a shake-up, the report also calls out Cengage Learning. But here’s why Apple will have a hard time revolutionizing the industry. The event is being held at the Guggenheim Museum in New York City tomorrow and is scheduled to begin at 10:00am Eastern.

iPad Unit Estimates For The Holiday Quarter Range From 11.7 To 19.5 Million (Fortune)
Estimates of iPads sold last quarter among the 42 analysts polled range from a low of 11.73 million to a high of 19.47 million. The average estimate from the pros is 13.5 million iPads, the average from the indies is 14.8 million and the consensus among all 42 analysts is just under 14 million. That represents a 90% increase over the same quarter last year and would bring the total number of iPads sold since 2010 to nearly 52.5 million.

Apple Will Ship Nearly 50 Million iPads This Year, And That Could Be Conservative (All Things Digital)
Apple will ship 48 million iPads in calendar 2012, projects Sterne Agee analyst Shaw Wu. He says the big-sounding estimate may yet turn out to be conservative, largely because he expects the iPad 3 update to be huge. And consumers don’t want tablets, they want iPads.

Gene Munster Once Again Increases His iPhone Estimates (Business Insider)
Apple analyst Gene Munster of Piper Jaffray is raising his estimate for iPhone for the second time in two weeks. He thinks Apple sells 30.6 million iPhones for the holiday quarter, which is up by 600,000 from his previous estimate. This is after raising his iPhone estimates for the holiday quarter by 4 million last week. Munster also lowered his Mac estimates for the quarter by 300,000 units based on weak NPD data.

Android Share Of New Smartphone Purchases Has Collapsed (Business Insider)
The iPhone 4S has demolished the gap between Android and the iPhone in the U.S. amongst new smartphone buyers, according to Nielsen. You might think the collapse is overstated because consumers were holding off on iPhone purchases until the new iPhone came out. iPhone’s share of purchases would be low in October since the new iPhone was only available in the second half of the month. But, Nielsen said 56% of new smartphones purchased in August ran Android. Clearly, the iPhone 4S, which is available on 3 major U.S. carriers has made a big dent in Android’s runaway success.

HP Admits That If You Include The iPad, Apple Will Pass Them In PC Sales (iMore)
Forthcoming Hewlett-Packard CEO Meg Whitman admitted that if you count tablets, Apple may very well bust past them in PC sales this holiday. Analyst estimates suggest Apple could break 20 million combined iPad and Mac unit sales over the holidays. That would put Apple over the 14.7 million HP churned out last quarter, and well ahead of other manufacturers like Acer, Dell and Lenovo. If you don’t count the iPad, and only Mac sales, Apple falls well behind the whole lot with just over 5 million Mac units. That said, the Mac business is growing while everyone else is tanking.

More Than One In 10 Enterprise iPad Users Say It Has Replaced Their Laptop (IDG Connect)
In a new survey by IDG Connect exploring the role of the iPad in the enterprise, 12% of workers indicated that the iPad has “completely replaced” their traditional laptop. Another 54% said the iPad has “partly” replaced their laptop, and instead complements it on the go.  “For most, the iPad isn’t a substitute for an existing tool or device,” IDG said. “Instead, it’s a supplement, albeit one with functionality that overlaps with other devices.”

Apple Surges Over 50% To Become The 8th Most Valued Brand In The World (Bloomberg)
Apple was ranked the 8th most valuable brand of the world in 2011 according to Interbrand’s Best Global Brands 2011 report, with an estimated total value of $33.49 billion, making it bigger than Disney, Mercedes-Benz and Budweiser. Apple increased its brand value by 58% year-over-year, helping it surge 9 places from the number 17 spot in 2010. This was by far the largest growth in brand value by any company in the top 100.

Apple Moving Forward with New Retail Stores in France and Switzerland (MacRumors)
Apple is preparing to build a new store in Aix-en-Provence, France. Reports indicate that the new store could open by late 2012 or early 2013. Meanwhile, Apple is also planning for its first retail store in Basel, Switzerland. The company recently revised its plans for the store to meet the requirements of planning officials, and with the current tenant having vacated the location late last year. This will be the company’s fourth in Switzerland.

Apple Co-Founder Says Android Is Better (The Daily Beast)
Apple co-founder Steve Wozniak still loves his iPhone, but says in some ways, Android has leapt ahead. He believes voice commands work better on Android. Android’s built-in navigation system, where the phone acts like a GPS system, is another huge advantage. There’s a theory that Android could do to iOS what Microsoft Windows did to the Macintosh in the 1990s. And Woz “can see the similarity.” Worse yet, he says this time Apple is up against a stronger competitor.

Interactive TV Advertising Is Not Huge Now, But Will 2012 Be The Year It Takes Off (paidContent)
Looking at investment in digital video advertising (only part of digital ads), only 8% of advertisers invested in connected TV video ads in 2011. That’s modest and smaller than other mediums like mobile, where 42% and 41% of advertisers said they would spend on iPhone and iPad platforms, respectively, and 31% for Android devices. And that 8% was flat year-over-year, meaning interest has stalled. This year will be telling, however, with Google TV and Apple TV getting ready to duke it out over TV.

Food For Thought: How Do You Feel About 13 Year Olds Assembling Your iDevices? (Business Insider)
Based on last week’s PRI’s This American Life special on Apple’s manufacturing, Henry Blodget at Business Insider poses an interesting question. iPhones and iPads cost what they do because they are built using labour practices that would be illegal in this country. Because people in this country consider those practices grossly unfair. That’s not a value judgment. It’s a fact. So, next time you pick up your iPhone or iPad, ask yourself how you feel about that.