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by mechanical_fish 6168 days ago
the high-end market disappears

Or the whole market for things called "computers" is growing, and the high-end market is just growing slower than the rest of it.

This doesn't mean that the high-end market is doomed. It might just be growing at a slower rate.

You may ask: Why doesn't Apple then try to get into a business that is growing faster? The answer is: Sales growth is not the metric. Any business can boost sales by lowering their profit margin. (Old-school dotcoms used to grow like wildfire by giving the product away below cost and hoping to make it up in volume.) What matters is profit growth.

1 comments

No, my answer would be: they did. iPhones and iPods are definitely markets that are growing faster. Apple did the smart thing and moved into other markets where its design expertise could make a big difference.