Amazon order 5 million Amazon smartphones from Foxconn

[wizwor]

Let's start at the beginning. Fire does not compete with iPad. Bezos said so and I believe him. Amazon phone will not compete with iPhone. Amazon's ecosystem is and product line is competing with Apple's ecosystem and product line. With me so far?

Apple understands this. That is why Apple introduced the mini. The mini says, "Amazon doesn't sell anything we don't sell."

When someone wants to buy or rent media, they will be choosing between Amazon with it's tablets, phones, Prime, and Instant services and Apple's tablets, phones, and itunes.

Unless you are already invested in Apple, Amazon is significantly less expensive. If their products are good enough, a lot of people will choose cheaper. If you are an AAPL investor, you should be wondering if it will be more difficult to attract new customers for existing and future products. Already, I can buy my whole family Fires for the price of an iPad. What if this Amazon phone comes with a family friendly shared plan? Supported by offers? AAPL investors may wonder if Apple is going to have to reduce margins to maintain market share.

If Apple has to start competing on price, their model falls apart. The profits fund R&D, marketing, and dividends. If Apple doesn't roll out the next amazing thing, then they ae just expensive versions of what everyone else is selling. If they cut marketing, then no one will know how amazing their products are. If they cut dividends, their investors will flee.

So, when it was announced that the Amazon phone is a lot closer than the next amazing iThing, there was a great disturbance in the Force, as if millions of AAPL share holders suddenly cried out in terror and were suddenly silenced.

[david_e]

Why is it that every conversation around here devolves into something about Apple?

And it's never someone popping in to go off topic with some pro-Apple spew, it's always someone with something negative.

You people promote the name more than that mythical, mysterious 'PR Machine' that gets referred to when all logic fails. Why would they need one when even the naysayers can't stop talking about them.

[SeaKing]

Originally Posted by david_e

Why is it that every conversation around here devolves into something about Apple?

And it's never someone popping in to go off topic with some pro-Apple spew, it's always someone with something negative.

You people promote the name more than that mythical, mysterious 'PR Machine' that gets referred to when all logic fails. Why would they need one when even the naysayers can't stop talking about them.

It is not always about you buddy. Not at all. So get over it.

Everyone likes to measure progress and since Apple has been one of the high marks on the height rod it is used for comparison. If they had been at the bottom to begin with, no one would talk much about them.

[holymadness]

Originally Posted by SeaKing

It is not always about you buddy. Not at all. So get over it.

Everyone likes to measure progress and since Apple has been one of the high marks on the height rod it is used for comparison. If they had been at the bottom to begin with, no one would talk much about them.

When did he bring himself up, "buddy"? It's all about you people and your overwhelming obsession.

[xendula]

Originally Posted by holymadness

When did he bring himself up, "buddy"? It's all about you people and your overwhelming obsession.

"You people"?! Generalize much?!

[holymadness]

Shrug. I would name them but it's probably against the rules. It should be obvious to all who is being talked about.

[SeaKing]

Originally Posted by xendula

"You people"?! Generalize much?!

I have noticed that all the "you buddys" do.

It is knee jerk.

[Fbone]

Apple stock is still up 26% for the year and 161% for last five years. Apple investors have done quite well.

In comparison the S&P 500 is up 13% this year and down from five years ago about 2%.

And if you owned a bunch of Apple stock in 2002 ....

[wizwor]

Originally Posted by Fbone

Apple stock is still up 26% for the year and 161% for last five years. Apple investors have done quite well.

In comparison the S&P 500 is up 13% this year and down from five years ago about 2%.

And if you owned a bunch of Apple stock in 2002 ....

The people who bid AAPL up to $700 did not do well. Past performance, as they say, is not an indicator of future success. Apple has never had competitors. Microsoft invested in Apple.

The idea that a company -- a big, successful company with a good reputation and deep pockets -- will have product in every category that Apple has product and a closed ecosystem that discourages mixing and matching of products is new. For AAPL to continue to climb, people are going to have to choose Apple over Amazon -- iPad over Fire AND iPhone over aPhone, AND iTunes over Prime. That could happen, but it's not the sure thing it was when Amazon was selling books.

[Graham]

Originally Posted by wizwor

... but it's not the sure thing it was when Amazon was selling books.

Or indeed before Google got their act together over the Play store. I'm a big fan of Amazon, but I find myself turning to Google more and more now.

Music: better download quality, and 20,000 of your own tracks in the cloud for free. I've got getting on for 200 albums up there already now.

eBooks: available as epub.

Magazines... well, they've a way to go to match the price or UI of Zinio, but give them a few more months to shake it down...

Graham

[wizwor]

Originally Posted by Graham

Or indeed before Google got their act together over the Play store. I'm a big fan of Amazon, but I find myself turning to Google more and more now.

That's part of the commoditization of the Apple model. I'm not sure Google will be there in the end, but they certainly are a problem right now.

BTW, I finally put my hands on a Surface. It's pretty nice. I don't like the keyboard/cover, but they have a very usable chicklet keyboard. With MS, there is the whole Xbox issue. As set top boxes go, the Xbox is priced competitively with all but the least expensive. If you are already paying for live for gaming, there is some entertainment as well.

This is simply an exploding market with a lot of variety in features and price. It's not the kind of arena Apple has had success in.

[murraypaul]

Originally Posted by wizwor

Let's start at the beginning. Fire does not compete with iPad. Bezos said so and I believe him. Amazon phone will not compete with iPhone. Amazon's ecosystem is and product line is competing with Apple's ecosystem and product line. With me so far?

This is what I said, so why would I need to be with you?

So, when it was announced that the Amazon phone is a lot closer than the next amazing iThing, there was a great disturbance in the Force, as if millions of AAPL share holders suddenly cried out in terror and were suddenly silenced.

Ignoring all the theatrical rubbish, what about this doesn't apply to the Nexus 4, which already exists?

[wizwor]

You need to read the 'theatrical rubbish' more carefully.

[murraypaul]

Originally Posted by wizwor

You need to read the 'theatrical rubbish' more carefully.

No, I really do have better things to do with my life.
You now appear to be agreeing with me that the new Amazon phone would be a direct competitor to the Nexus 4 and similar, rather than the iPhone and SIII, so I'm not sure what there is left to say.

[wizwor]

It's a complex idea. Don't worry about it. AAPL is discounted right now.