Apple stayed the course

The worst recession in decades has had a limited effect on the consumer electronics powerhouse that is the modern-day Apple. The company's second-quarter earnings results shattered Wall Street expectations, despite a relatively weak quarter for the Mac, the rise of low-cost Netbooks, and the strong performance of iPhone rivals such as Research in Motion's BlackBerry.
As the economic situation has worsened, some analysts and observers have opined that Apple needs to embrace low-cost Macs and additional wireless carriers to keep its economic engine running. Apple COO Tim Cook would disagree.Cook can't say outright that Apple doesn't care about Mac market share; one, because it isn't entirely true, and two, because his marketing team will yell at him. But to a certain extent, Apple is indifferent to Mac market share: the PC wars are over, and Microsoft won a long time ago, as Steve Jobs himself said back in 1996. Apple has long chosen to position the Mac as "the best personal computer," not the mass-market personal computer.
Still, Cook pointed out that a lot of the market share gains in the U.S. made at Apple's expense have come as the result of the popularity of cheap Netbooks, which he described as having "cramped keyboards, terrible software, and junky hardware." Left unsaid was the worst thing about Netbooks--their profit margins compared with full-size notebooks--and while Cook refused to rule out entirely the prospect of Apple releasing a Netbook, he made it sound like Apple has different ideas in mind.
So, perhaps that's one shift in Apple's thinking over the last six months: the need to release a cheaper iPhone. With the Palm Pre set to make its debut this summer at a yet-to-be-announced price, and BlackBerry sales continuing to improve, Apple will need something to keep the iPhone going heading into its third year. Cook has said before that iPhone sales have increased every time Apple has lowered the price.
This was a big quarter for Apple. The company appeared to skate through a holiday season that left rivals shaken on the strength of its iPod division and retail group, and it wasn't at all clear that strength could continue. But while both Macs and Apple Retail took hits during the last three months, Apple continues to put up some of the most impressive numbers in the tech industry amid one of the worst downturns in tech history.
I think the PC v's Everyone Else including Mac WAR is back on. Apple should consider market share. It was only when others I knew started to show me how good they were and after my wife suggested I consider them that I realised how good they were. Without market share I would have not bothered. Without my wife wanting me to get a really small notebook I would not have bothered. Now a Mac user I look at myself and see one of those off with the cloud people praising every step of Apple. Its kind of embarrassing and I cop a whole bunch from my friends who are still PC users.

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