$40 billion at end of 2009 shows acceleration over 2008. In 2008 Apple added $9.7B in cash while in 2009 it added $11.
Here is a table of the iPhone business so far (click on the table for larger view):
1. ASP has been increasing.
When asked about the company’s recent acquisitions of Quattro and Lala after the recent earnings report, Apple’s chief financial officer Peter Openheimer answered, “In terms of Quattro and Lala we acquired Quattro because we wanted to offer a seamless way for developers to make more money on their apps, especially free apps.
Nokia regained top spot in operating profit. I’ll leave net profit assumptions aside this time, but Apple is sure to have beat by having far lower R&D as percent of sales.
I think it’s a logical evolution of mobile computing. A hop along the trajectory. When the iPhone first rolled out as an embodiment of the new touch-based UI–a disruptive technology, I said it was far too good as a phone.
Anonymous posting from inside MSFT:
“E&D is going through the biggest re-org the division has ever had.
Sony Ericsson shipped 14.6 million phones at an average selling price of EUR120 in the fourth quarter, down from 24.
Noted this in a business week article – not surprising:
Even if it’s consummated, an Apple-Bing deal may prove short-lived.
Profit Capture of Incumbents. See the graph under the link provided (source: Morgan Stanley). In 5 years, Incumbent operating profits from the mobile phone industry went from 100% share to 39% share.
On account of Apple having cash of nearly $35 billion(*) while Google has about $22b, Google still retains a lead in terms of Enterprise Value ($165b vs.
Rob Glaser left Real Networks which prompted me to do some thinking. Let’s take a stroll down memory lane of Glaser quotes:
In 2003: “It’s absolutely clear now why five years from now, Apple will have 3 (percent) to 5 percent of the player market.
Nokia’s Android implementation could create a rich and market-leading total offering benefiting additionally from the Google ecosystem.
France Telecom CEO Didier Lombard in Les Echos (loose translation):
“Remember that at Christmas, 77% of telephones with a fixed-rate tariff that Orange sold were iPhones! It’s amazing.
I tend to agree that Android will have less success than the superficial analysis and industry hype suggests.
One observer has posted that WMM (Microsoft’s answer to iTunes App Store) has 520 apps in it now.
On the RIM concall Balsillie reiterated that 100 percent of the handhelds sold one day will be smartphones.
Domo Arigato.
My bet is we’ll see the same thing in Korea. In both Japan and Korea the incumbents mounted huge smear campaigns against the iPhone and mustered all possible means at their disposal (including major newspapers, TV and government agencies) to hinder Apple’s entry.
Here’s a blog from RoughlyDrafted Magazine… which gave the title for this post, not me .
The phone was given to Google employees at an all-hands meeting on Friday, December 10th. The story broke when a number of Googlers tweeted about the phone.
So far it seems the Google phone announcement is mostly bloggers looking for page views… Om Malik has been around but come on… this is a bit of a story looking for a story.