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by klelatti 1593 days ago
Open question. How easy would it be for Apple to build a Peloton competitor from scratch? Are there any real barriers to entry?
3 comments

From the pure technology point of view not too hard, but there are business and logistics challenges. Apple is highly optimised to hold minimum stock near the customer and use a lot of just-in-time delivery, but this depends on a high product value relative to weight and volume of the parcel. Treadmills and exercise bikes are only really cost effective to ship by ocean.

It's also doubtful that the addressable market of an expensive treadmill or exercise product is large enough to be worth going after for Apple (even in the bumper year 2021 Peloton turnover was $4bil, not a viable business unit for Apple).

They would probably make something like FitnessKit similar to HomeKit, so that your iPhone can adjust settings on your fitness device. Fitness device makers can then make apps to give you exercise programs and track your progress. It might already exist. I don't know.
A bike that you can attach your iPad to seems like one way too. They probably don’t want to make iBikeOS for a new class of iDevices!

Seems to me that management bandwidth is probably the main issue given Apple’s structure.

The barriers are the investment in diverse, engaging instructors and developing a well integrated product.

Neither are insurmountable for Apple, but then really given the amount of cash that Apple has - very few businesses are out of reach for them.