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Friday, June 10, 2005

More Apple

There's been a lot of talk around the Apple/Intel switch over to Intel CPUs of Apple 'pulling an Osborne'. For all you neophytes that has nothing to do with Ozzy. It refers to when Adam Osborne, the legendary founder of a very successful early luggable computer, announced a new version of his computer way in advance of it's delivery and killed the sales of his current model. Not having tons of cash his company went under for lack of funds. Some seem to think Steve Jobs has done this.

I doubt it. First, Steve is a pretty smart guy. Second, he has loads of money and a decent cash flow from iPods and iTunes coming in and that will continue. It could instead present a real chance to actually up Apple sales. Apple computers are not cut-rate. There's lots of margin in each sale. Start cutting prices on the current models and people will perceive them as bargains. Now you have more Apple users and future customers for your upcoming Apple/Intel machines.

Smart guy.

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