November 20, 2012

Apple's Profit Fetish Will Doom It

Matt Asay, The Register


AP Photo

The other shoe is about to drop in the mobile market. For years Apple has dominated mobile, both in terms of market share and in terms of profits. It was an enviable position, and a unique one, borne of Apple's commitment to out-innovating the industry, allowing it to consistently charge a premium for its products. But as the industry has matured, Apple has haemorrhaged market share to low-cost Android. In turn, it is now also losing its hold on industry profits. Given Apple's fetish for profits over market share, it is consigning itself to a repeat of its battle with Microsoft, wherein it ends up as a profitable, but niche, market player.

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TAGGED: Apple

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