Comments on: Strategic shortcomings of Pre in the post-iPhone era

By: Fallacy of volume and revenue: The iPhone difference « David's Blog

Fallacy of volume and revenue: The iPhone difference « David's Blog — Sun, 15 Jan 2012 19:06:04 +0000

[...] The most amazing trick Apple has performed over the last six years has been the unflinching fiscal discipline to introduce new products into new markets to establish new platforms while maintaining remarkably profitable margins. Apple hasn’t carved out 3/4 of the digital music market by inundating it with cheap devices. Neither has it elected to chase after market share by peddling $49 “iPhone nanos” at Radio Shack. As can be seen above, the iPhone is an extremely profitable product which fuels its own R&D that keeps it a generation ahead of its potential rivals. In iPhone charts, third parties see not just the number of units sold but more importantly, a competently managed, profitable, growing ecosystem with which they can reliably associate, whereas any discussion of Pre’s prospects must necessarily include Palm’s dismal financial outlook. [...]

By: Kontra

Kontra — Thu, 23 Apr 2009 03:30:21 +0000

Remember, there was a large contingent of people who preferred not to use, say, a ‘graphical’ computer with a mouse.

By: q

Thu, 23 Apr 2009 03:25:39 +0000

Believe it or not there is a large contingent of people who prefer not to have music and phone on the same platform. May not make sense but its true.

By: Mister Snitch

Mister Snitch — Sat, 07 Feb 2009 02:22:41 +0000

Some very insightful points here, thank you for this.

“some regard the Pre as an attempt by Palm to finally get acquired by a player with deeper pockets.”

I looked at Palm’s patents. They have a legitimate point. Therefore, Apple’s strategy could very well be to crush Palm in the marketplace (as seems likely), then buy them in a weakened state to acquire the additional patents they’ll need to put a real hurt on future competitors. Their recent savior and big investor, Elevation Partners, would (with no hope in the marketplace) almost certainly insist on such a deal.

By: josh

josh — Fri, 30 Jan 2009 21:16:57 +0000

Congrats for your excellent article!

Now, as a low level developer, I feel the smartphones are in need of low level programming. That’s right: low level but fast and high performance, smartphones are small computers. That’s what Apple did with iphone, gives you the power of the machine. That’s what Microsoft did with Windows.

If I can develop low stuff with the Pre and they create a good site for selling apps(with 70%benefit for author) I will be selling my voice and writing recognition programs for it. That’s accessing a lot of data directly(like ocarina, tens of thousands of operation in real time), impossible with java* or anything high level.

By: Stefn

Stefn — Fri, 30 Jan 2009 20:20:11 +0000

Sorry about the dup. I received a message on my first try indicating I had repeated my message. A self-fulfulling prophecy.

By: Steve

Steve — Fri, 30 Jan 2009 20:16:42 +0000

Two points related to the article and the comments above:

* Apple sells consumer. Those who plump for Blackberry as a contender are completely mistaking the marketplace that Apple intends to play in. Apple doesn’t care about workplace/enterprise.

* Apple sells solutions. Those who plump for the Pre have to answer the first two question consumers will ask: In one word, how do I get my music? Apple has leveraged the iPod/iTunes solution, building iTunes into a holistic content solution: first music, now apps, and on.

By: stefn

stefn — Fri, 30 Jan 2009 19:53:41 +0000

Two points related to the article and the comments above:

* Apple sells consumer. Those who plump for Blackberry as a contender are completely mistaking the marketplace that Apple intends to play in. Apple doesn’t care about workplace/enterprise.

By: Fallacy of volume and revenue: The iPhone difference « counternotions

Fallacy of volume and revenue: The iPhone difference « counternotions — Fri, 30 Jan 2009 07:17:11 +0000

[...] The most amazing trick Apple has performed over the last six years has been the unflinching fiscal discipline to introduce new products into new markets to establish new platforms while maintaing remarkably profitable margins. Apple hasn’t carved out 3/4 of the digital music market by inundating it with cheap devices. Neither has it elected to chase after market share by peddling $49 “iPhone nanos” at Radio Shack. As can be seen above, the iPhone is an extremely profitable product which fuels its own R&D that keeps it a generation ahead of its potential rivals. In iPhone charts, third parties see not just the number of units sold but more importantly, a competently managed, profitable, growing ecosystem with which they can reliably associate, whereas any discussion of Pre’s prospects must necessarily include Palm’s dismal financial outlook. [...]

By: mikecane

mikecane — Wed, 28 Jan 2009 00:21:39 +0000

Excellent article.

For those who think Palm isn’t serious and that Sprint isn’t going to be important too, I suggest:
http://prepoint.wordpress.com/2009/01/22/the-heart-and-tentacles-of-the-pre/