Word: pcs
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...PCS AND CELL PHONES...
...only when you pry their one-button mice from their cold, dead fingers. But Apple's annual revenues have dropped from $8 billion to less than $6 billion, and the company continues to lose market share to the Microsoft-Intel-dominated world. A little more than 4% of new PCs sold in the U.S. are Macs. (Don't ask about worldwide sales, where Apple has actually slipped to less than 3% of the market, from 5.2% five years ago.) With Microsoft's antitrust troubles tabled for now and a new operating system, Windows XP, that's stabler and simpler...
...ideas from his gut rather than, say, focus groups. Some analysts argue that Apple should abandon innovation in favor of building a cheaper box; a $500 iMac would fit the bill. Others say the company should have pursued the post-PC dream and started turning out Internet appliances, tablet PCs or personal digital assistants, as competitors have done. Instead, Jobs' gut tells him that the PC isn't dead at all. It tells him, in fact, that what people really want is a better PC. That what they really want...
...Every time we've brought innovation into the marketplace, our customers have responded--strongly," Jobs says, claiming that it might not be so hard as it sounds. "We only have to attract 5 out of the other 95 people who use PCs to switch, and Apple doubles its market share." That, of course, would buy the company that much more breathing room...
...Dell strategy is to leverage its manufacturing and marketing talent to enable it to deliver the kind of out-of-the-box, high-volume operation that made it dominant in PCs. Its partnerships with database king Oracle and Linux maven Red Hat (Linux is an increasingly popular--and open--alternative to Windows for Intel-based servers) give customers access to powerful options. And in November Dell announced a co-branding arrangement with data-storage king EMC. Although Dell operates mostly at the low end of the market, the idea is to climb steadily toward faster and more expensive machines...