Entries in Mac (3)


Apple Sold 27 Million iPhones in 4th Quarter; Earnings Lower Than Expected

Feng Li/Getty Images(NEW YORK) -- Apple Inc. (NASDAQ: AAPL), the world's most valuable company, reported lower-than-expected fourth-quarter earnings Thursday because it's having trouble keeping up with demand for its market-leading products.

Inventory issues have reportedly affected iPhone 5 sales, struggling to keep up with orders.

The company sold 26.9 million iPhones in the last three months, up 58 percent in the same period a year ago. The company sold 14 million iPads, up 26 percent, and 4.9 million Macs, a one-percent unit increase. The company sold 5.3 million iPods, a 19-percent decline from a year ago.

"We're very proud to end a fantastic fiscal year with record September quarter results," Tim Cook, Apple's CEO, said in a statement. "We're entering this holiday season with the best iPhone, iPad, Mac and iPod products ever, and we remain very confident in our new product pipeline."

Apple's "pipeline" of manufacturing and distribution will be key in the next coming months during the holiday season, which is traditionally the best quarter for the tech company and many other retail companies.

Apple earned $35.97 billion in revenue, slightly higher than the $35.80 billion some analysts expected. Meanwhile, its earnings were $8.2 billion, lower than expected.

Shares of Apple closed down 1.14 percent to $609.80 a share at the end of regular trading.

Tavis McCourt, analyst with investment firm Raymond James, said he expected slower growth in the next few quarters than in previous years.

Raymond James expects Apple's stock to reach $730 in a year.

"Apple is doing very well. They are taking market share across all their product categories, but the economy is slowing as well," he said.

On Tuesday, Apple announced the new iPad Mini, which is slightly cheaper at $329 compared to the $399 iPad 2, a fourth-generation iPad and several new Mac computers, including a 13-inch Macbook Pro.

Overall, McCourt said he was "pleased" with Thursday's product announcement, though Apple's main revenue driver is the iPhone.

"The iPad, though successful, is still only in the early stages of its growth," he said.

On Tuesday, Apple said it sold its 100 millionth iPad two weeks ago.

Apple had 3.2 million iPads in its channel at the end of June and may have bled the previous iPad inventory ahead of the fourth-generation iPad launch, negatively impacting the number of products available to the public, McCourt notes.

In July, Apple reported lower-than-expected third-quarter revenue of $35 billion, while analysts had expected $37 billion. The company reported higher profit of $8.8 billion for the third quarter, up from $7.3 billion the previous year. The company had sold 17 million iPads in that quarter.

Copyright 2012 ABC News Radio


Orbitz Guiding Mac Users to More Costly Hotels?

Kevork Djansezian/Getty Images(NEW YORK) -- Mac users who use the travel website Orbitz are shown different and sometimes more expensive travel options than shoppers using Windows, according to The Wall Street Journal.  The paper says Orbitz found Mac users spend as much as 30 percent more a night for hotels.

Now, the online travel agency is trying to use visitor information and track their online activity to try and boost sales.  

"Mac users probably have a little more disposable income than most, so if they're buying a more expensive hotels certainly you want to show them those hotels up front," says travel expert Rick Seaney of Farecompare.

Seaney says using customer information is acceptable as long as websites are not offering the same item at different prices based on that information.

"Definitely they're looking at the machine you come from, what type of machine. Are you using Internet Explorer or Safari or Chrome?" Seaney says. "They're looking at all those things and basically trying to make the best suggestions to use as possible, to hopefully get you to book."

That said, Seaney says hotels that make the company the most money will be more likely to be displayed, so he suggests that users sort search results by prices or by the cheapest options first.

Using customer information to tailor specific results can be beneficial for the website and the user.

"The one thing that they absolutely cannot do -- and if they do do it and they get caught, everybody will be up in arms -- is offer you a different price related to what kind of computer you came from," he says.

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Copyright 2012 ABC News Radio


Tim Cook on Windows 8: Converging a ‘Toaster and a Refrigerator’

David Paul Morris/Bloomberg via Getty Images(NEW YORK) -- If you had any concerns that Apple CEO Tim Cook might not be able to provide Steve Jobs-like one-liners on earnings calls, think again. Following the announcement of its blowout earnings, Tim Cook took questions from analysts on everything from iPhone sales to Apple’s iPad and laptop offerings.

And it was on that last point that Cook had a lot to say. When asked if Apple was planning to merge its tablet and laptop products, much as Microsoft is proceeding with Windows 8, Cook responded with a quip: “You can converge a toaster and a refrigerator, but those aren’t going to be pleasing to the user.”

Cook elaborated that converging the iPad with a laptop would result in tradeoffs, ones Apple isn’t willing to make. “We are not going to that party, but others might from a defensive point of view.”

On top of that, Cook highlighted both Apple’s separate tablet and laptop offerings. “The tablet market is going to be huge....As the ecosystem gets better and better and we continue to double down on making great products, I think the limit here is nowhere in sight,” Cook said.

“I also believe there is a good market for the Macbook Air and we continue to innovate in that product. I think it appeals to someone who has different requirements. You wouldn’t want to put these things together.”

Copyright 2012 ABC News Radio

ABC News Radio