Apples sales on pace for yearly decline for 1st time in six years.

[Unspeaked]

Some interesting comments. I guess this ties into that "Apple & The Recession" thread...


LINK

Mac Sales Decline During Operation Enduring Downturn

by John Paczkowski

Looks like the econalypse is finally catching up with Apple. Though the record revenue and profit the company posted for its fiscal first quarter, led many to conclude it was recession-proof, new metrics from Piper Jaffray suggest that Apple too is suffering from these economically challenging times. In a report to clients this week, Piper Jaffray’s Gene Munster said Mac sales are on a pace to decline on a year-over-year basis for the first time in six years.

Mac unit sales were down 6 percent compared with last January, according to Munster. Based on that, the analyst expects Apple will sell between 2 million and 2.2 million Macs during its second quarter, compared to 2.3 million Macs sold in Q2 of 2008. Also reportedly on the decline: iPod sales. Munster says January numbers for the iconic device were down 14 percent year-over-year.

It seems, then, that Apple CEO Steve Jobs may have to withold his oft-recycled “best quarter ever” pronouncement come March. That said, Munster expects Apple to meet consensus expectations for the quarter — so it’s not all bad news. “We believe this data will be perceived as a neutral or a slight positive given the uncertainty surrounding the Mar-08 quarter,” Munster wrote. “Given concerns regarding iPod weakness, we believe the segment’s in-line performance relative to Street expectations is a positive,”

Interesting data points for Apple watchers, although by no means definitive ones. Munster’s report is, after all, based on a single month of data and doesn’t account for wildcards like the announcement of revisions to the iMac and/or Mac Mini lines — both of which have been expected for some time.

 

[IJ Reilly]

Full original article:

http://apple20.blogs.fortune.cnn.com/2009/02/17/mac-sales-off-6-in-january-ipod-off-14/

A couple of points. First, wasn't the same thing said a few months ago, I believe it was about October sales? Second, who said that Apple was "recession-proof?" I'd like to meet that person, given that AAPL has dropped over 50% from its high a little more than a year ago. Obviously the markets don't think Apple is "recession-proof."

 

[SFStateStudent]

Isn't there a spray or some pixie dust that Apple uses in the event that the recession comes knocking on the door of their Cupertino Academy?

 

[zap2]

Apple could boost these number easy

New Mac Mini(the leaked one)
New iMac(the Dual and Quad ones)
Mac Pro
New ACD to go along with the 24'' model
New iPhone
A netbook



Apple sales would be through the roof again!

 

[notjustjay]

Isn't there a spray or some pixie dust that Apple uses in the event that the recession comes knocking on the door of their Cupertino Academy?

Yes. It's called updating your products.

Come on, Apple!

 

[dukebound85]

how was this not expected?

 

[mlts22]

I can see Apple having two options to bump up its stock price.

The first is a bit difficult: Announce a new product. Perhaps a new rev of Apple TV that handles everything from the store interface to playing stored movies, etc. Perhaps Apple cooperating with another wireless provider to have a dedicated network for Macs similar to how Kindles have Whispernet.

The second is make some products that have a high pent up demand, then when the economy picks up, either raise the price or discontinue them (like the G4 Cube). Two products would hit the mark with Mac users and have been discussed for ages. The "Mac Pro Mini" (mini tower case, decently expandable), and a beefy Mac Mini with enhanced video (512MB dedicated VRAM, good GPU) that can be used as a portable LAN party gaming machine.

A netbook wouldn't be something Apple could do well without a major manufacturing retooling. I'd say leave it to Acer and MSI who have had years of experience in the manufacturing process with making these machines at a highly cost efficient level.

 

[FF_productions]

Isn't there a spray or some pixie dust that Apple uses in the event that the recession comes knocking on the door of their Cupertino Academy?

Haha, it was bound to them sooner or later, and some fanboys will take it as "Apple's Going out of Business??!?!?!".