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Apple Should Get Out of Hardware?

Posted by ryuzaki0 on from the because-there's-no-market-there-of-course dept.

SQLGuru writes to mention an analyst recommendation being reported on ZDNet. Despite a BusinessWeek article about Apple's record breaking hardware sales, the folks at Gartner think Apple should get out of the hardware business. Calling for the company to license its hardware to Dell, the analyst company says that gains in Apple's hardware sales are simply not sustainable. From the article: "Apple's margins for its Mac business, currently around 40 percent, are only sustainable because component makers such as Intel choose to prop up the business, Gartner claimed. Given that HP has forced Intel to offer it comparable pricing to Dell, Intel is unlikely to continue to subsidise Apple, the analyst argues. 'As a result of permanently changed market conditions, Intel has been forced to restructure and, in our opinion, cannot go on supporting Apple (or any other customer) indefinitely.'"

8 of 730 comments (clear)

  1. Clue by Gary+W.+Longsine · · Score: 5, Funny

    Garner should get out of the clue business. The industry trade press props them up and everybody knows they haven't made a decent clue for years.

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    If you mod me down, I shall become more powerful than you could possibly imagine.
    1. Re:Clue by Anonymous Coward · · Score: 3, Funny

      Ooooh, that's not true. This article gave me a raging clue.

    2. Re:Clue by __aaclcg7560 · · Score: 3, Funny

      There's bound to be turd around here somewhere. :P

  2. Hey ZDNet... by mr100percent · · Score: 5, Funny

    1997 called, they want their Apple doomsaying back!

  3. the 1990s called... by eshefer · · Score: 4, Funny

    ...they want thier stupid apple-should-get-out-of-harware story back.

  4. Sure by finkployd · · Score: 5, Funny

    And why not, have you seen the earning reports? Apple is on the ropes. Record losses, losing market share, constant layoffs, etc. They clearly cannot support their current business model, hell at this rate they will be bankrupt in a year or two.

    I would go even further, obviously they are losing money hand over fist on hardware, but I don't think that OSX thing is doing them any good either. And lets face it, the iPod does not have wireless and is pretty lame. Chuck it all and go with the business that has a REAL future. I of course speak of iTunes music store. Look at Napster, they are racking the money faster than they can handle with just an online music store. That is the wave of the future my friends. I only hope Apple has the good sense to listen to reason on this one, and not delude themselves that they are a successful company. The numbers clearly show otherwise.

    Finkployd

  5. Yeah Yeah Yeah... heard it before by GateGuy · · Score: 5, Funny

    Apple... going out of business since 1976.

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    Maryland State Motto: If you can dream it, we can tax it.
  6. Re:HaHaHa choke choke by finkployd · · Score: 4, Funny

    Is it just me or has Gartner become a shill for certain companies that would like to see Apple and Linux fail?

    Become? The US middle east intelligence folks have a better track record than Gartner for crying out loud.

    Finkployd