Linked by Aaron Vegh on Wed 5th May 2004 19:37 UTC
Is there no larger contingent of armchair corporate CEOs than Apple fanatics? Let's examine the so-called wealth of opinion out there and see how it measures up.
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people often go by the seat of their pants. they think that apple should (or should not) produce a low-end box without any hard numbers. people who don't trust apple tend to think apple is wrong (again) in not producing a low-end box, and people who trust apple take apple's very decisiion not to make a low-end box as proof that it would never work.
but what if ....
what if apple did some really good market surveys and discovered that the size of the mac market is just stable at 3m units a year?
the logical move then would be to shift those 3m units up market a little bit and make more money on each one. charge those committed few (it _is_ a business after all) just as much as they can bear.
those other folks aren't going to "switch" anyway, so lowering prices would just lower the bottom line.
(but that's just a what-if. i tend to think that the market is somewhat elastic, and that it would be possible to sell more low-end G4s without canibalizing high-end G5s)