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		<title>Is The Evidence For An Apple Margin Collapse Now Incontrovertible?</title>
		<description>Discuss Is The Evidence For An Apple Margin Collapse Now Incontrovertible?</description>
		<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514</link>
		<lastBuildDate>Tue, 21 May 2013 18:34:31 +0000</lastBuildDate>
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			<title>Really? says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9673</link>
			<description><![CDATA["Therein lies your problem. I don't measure my research results 3 months at a time..." So when is this going to happen and we will the it collapse on them? I can say the world will end, and I'll be right. Makes no difference if that is tomorrow or in 5 billion years. At least we know when that happens, GOOG, AAPL, MSFT, etc... won't have any sales and you'll be "right".]]></description>
			<dc:creator>Really?</dc:creator>
			<pubDate>Thu, 14 Jul 2011 16:40:02 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9673</guid>
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			<title>The General says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9669</link>
			<description><![CDATA["Why is there such a need to defend Apple and overlook the obvious. Is marketing and brand loyalty truly that overwhelming?" What a silly argument. It was obvious to everyone to probably include you Apple was hopelessly finished in 1997. Steve should have just given up then, I guess,... why overlook the obvious. Apple has changed the game and we are only in the second inning.]]></description>
			<dc:creator>The General</dc:creator>
			<pubDate>Wed, 13 Jul 2011 23:05:59 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9669</guid>
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			<title>The General says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9668</link>
			<description><![CDATA[RIMM? Shit, I saw that coming once the first iPhone bounced on the scene. It was the iPhone that killed RIMM.]]></description>
			<dc:creator>The General</dc:creator>
			<pubDate>Wed, 13 Jul 2011 22:52:40 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9668</guid>
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			<title>The General says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9667</link>
			<description><![CDATA[Then explain the steady growth of the Mac since Steve Jobs returned to Apple. Both IDC and Gartner show Apple reaching an all time high of 10.7% of the PC market in the US. After a decade the Mac is selling like hotcakes with fat margins - Apple sells 90% of all computers over $1,000 - where the margins are. HP has to sell 5 computers to match a single Mac. The iPhone will shake out along these lines. Price pressure will push Android phones down to razor thin margins, while Apple retains the premium market with the bulk of the profits. The twist will be the 100 billion in cash that Apple will have to leverage by the end of 2011. Clearly Apple is already engaged in economic warfare buying up components and moving in to great partnerships away from Samsung. Samsung will lose Apple's business and access to future Apple chips, as Apple owns the IP for the A5. Apple's manufacturing costs will go lower than competitors can manage, hey they are already buying up raw materials that Samsung needs to manufacture. Clearly Apple is looking to knock the table legs out from under the competition. Bye-bye margin compression... Lower cost, direct sales online and via retail stores will make them had to beat. R&D? How do you know what Apple is doing in R&D? If you're basing that on how much they spend, they've always spent far less with high yields. Spending does not equal results, just ask Microsoft. Marketing? Apple gets an incredible amount of free press and free advertising. They also just past their 1 billionth retail store visitor - no not online... you can't watch a TV ad or TV show on any given day without seeing several dozen iPhone or iPad references. Apple has changed the market. The PC vs. Mac war is not playing out again, this is something entirely different... 50% of handset profits with only 1% market-share, you be your red flag.]]></description>
			<dc:creator>The General</dc:creator>
			<pubDate>Wed, 13 Jul 2011 22:50:52 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9667</guid>
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			<title>Zero Govt says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9666</link>
			<description><![CDATA[Reggie When you say "competition is nothing like it is now" what you mean (really) is Apples iPhone blasted Nokia, Motorola and SONY out of the water with such ease, you've actually forgotten how tough the competition was (ie. Nokia was seen as unasailable). Apples iPod did the same with SONY's Walkman Apples iPod and iTines redefined the space. So while everyone is now copying religously Apples iPhone because it leads as Nokia did before, there is nobody that can blitz Apples iPhone... they're all, inc Googles Android, just copies. For this you have to return to the biz model of Microsoft (remeber them? No! Because Apple destroyed them too). Google has taken over the rains of being also-ran behind Apple, because MS is so far behind Apple nobody even considers them anymore. If anyone's going to surprise us in this sector it's not going to be Google copy-catting Apple, it'll be Apple themselves making another huge leap forward leaving everyone in the dust. Usurping dominant incumbents (Sony, Nokia, MS etc) is no mean feat but Apple has done it with almost contemptable ease. Now they have the lead don't be surprised they gallop ahead with the same breeding and grace Google is an also-ran. Fact. Google simply has not the nouse to beat Apple in their own space (planet Apple).]]></description>
			<dc:creator>Zero Govt</dc:creator>
			<pubDate>Wed, 13 Jul 2011 20:38:05 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9666</guid>
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			<title>ReggieMiddleton says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9664</link>
			<description><![CDATA[ Therein lies your problem. I don't measure my research or results 3 months at a time. I never said they wouldn't do well last quarter, but the trends are setting in. Why do you think they are getting so aggressive with patent cases versus R&D and marketing? As much as the "I luv Apple crowd" likes to disagree with my research and findings, I have yet to be proven wrong. I had similar pushback on RIMM as well, and 50% down in share price later...]]></description>
			<dc:creator>ReggieMiddleton</dc:creator>
			<pubDate>Wed, 13 Jul 2011 20:20:58 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9664</guid>
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			<title>The General says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9662</link>
			<description><![CDATA[Apple Q3 numbers are going to be really embarrassing for you. I think you're forgetting Apple's 60 billion in cash that drives down their coast and squeezes components costs up for their competitors. Sure Samsung makes their own parts but they have to pay out for distribution for their entire stock, unlike Apple. Samsung also doesn't get the kind of carrier cuts Apple gets for the iPhone.]]></description>
			<dc:creator>The General</dc:creator>
			<pubDate>Wed, 13 Jul 2011 20:05:15 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9662</guid>
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			<title>Really? says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9656</link>
			<description><![CDATA[Not at all. I just believe you are wrong in total. Marketshare does not always equal profit. I believe your focus is too narrow and you compare too few areas to see a more accurate future. Compare the focus, R&D expense, business model, and more. Some companies appear to have more control over their outcomes than others.]]></description>
			<dc:creator>Really?</dc:creator>
			<pubDate>Tue, 12 Jul 2011 19:04:00 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9656</guid>
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			<title>ReggieMiddleton says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9654</link>
			<description><![CDATA[Apple has the same patent litigation issues, being sued by Samsung and HTC. Samsung is Apple's largest vendor and largest competitor - simultaneoulsy, and due to the scale of operations, simply cannot be replaced very easily. Of course you see no problem with that. Apple had nowhere near the level of competition 12, 6, 3 years ago that it does now, so your statement doesn't seem to make sense. The iPhone and iPod were the hottest, fastest growing and/or dominant market share products in their category. 2011, now Android is all of the above - dominant market share, fastest growing and hottest. Do you see a difference between now and then? Why is there such a need to defend Apple and overlook the obvious. Is marketing and brand loyalty truly that overwhelming?]]></description>
			<dc:creator>ReggieMiddleton</dc:creator>
			<pubDate>Tue, 12 Jul 2011 12:16:51 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9654</guid>
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			<title>Really? says:</title>
			<link>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9653</link>
			<description><![CDATA[I'm sure that 12, 6, 3 years ago someone was also saying competition and margin compression will kill their lofty margin business. Somehow they continue to move the needle. Good luck with Google fending off patent litigation, with hardware providers paying MSFT for Android, etc. So much for "less than free"...]]></description>
			<dc:creator>Really?</dc:creator>
			<pubDate>Tue, 12 Jul 2011 12:09:35 +0000</pubDate>
			<guid>http://boombustblog.com/reggie-in-the-news/item/5514-5514#comment-9653</guid>
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