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I'm astonished to hear Apple is abandoning no longer developing monitors and routers. The only way to understand their behavior is from the accounting and finan
by laughfactory 10y ago
I'm astonished to hear Apple is abandoning no longer developing monitors and routers. The only way to understand their behavior is from the accounting and finance side. Someone in accounting/finance must've pointed out that they don't make a lot of money making and selling routers and monitors and such. So it seems like an easy win to drop those lines of the business.
BUT, I suspect this will prove very short-sighted in the long run, and possibly endanger the company as a whole. The one thing Apple is (it seems) overlooking is the ecosystem effect. While some may not buy Apple monitors or routers, many do. Sure they last a long time and you don't need to constantly buy another one, and there may be viable substitutes, but if you're one of those people who considers themselves Apple-only (I have a non-techy friend like this) then eliminating Apple products just reduces their attachment to all things Apple. Pretty soon they start realizing that, hey, this non-Apple router works just fine! Hey, this non-Apple monitor works just fine, too! And the importance of the brand is reduced. Then they inevitably start thinking about how maybe a non-Apple laptop might be just as good (too) and cost a boatload less. Or maybe the new Pixel phone is as good as their aging iPhone. After all, they've heard good things about the camera.
So, yes, in strict accounting terms it may make sense to eliminate product lines with thin margins and low volume, but on the whole it props up the whole brand. Personally, I like knowing that I could go buy an Apple monitor. I know they're exceptional quality, and beautiful to boot. I may not have the cash to do it now, or even soon, but it's something to look forward to. Same with their excellent routers. But now? I guess I'll have to keep an eye on what Microsoft is up to.
It's ironic to me that Apple has lost sight of what supports and nurtures their brand, while it seems Microsoft has discovered Apple's secret sauce. Microsoft is creating beautiful expensive products which are almost certainly thin margins and low volume, but is doing so because of the cachet that comes from doing so. From the perception that the Microsoft brand is associated with beautiful, high quality, electronics. This rubs off on everything else they do. And man, do those new Surface Studios look nice.
I've been gradually moving the whole family to Mac-land, but now I may have to rethink. It seems Apple has lost touch and is now run by accountants and analysts--not designers and engineers.