Apple's new stuff

[TigerVols]

Most of today's announcements are of the expected variety, but the details are intriguing. I, for one, look forward to using my phone as a credit card at most points-of-sale.

Not sure what to think of the watch, other than to say I won't be getting one since I've had my watch 25+ years and will go to my grave with it.

http://www.macrumors.com/

 

[Bob Cook]

Can you store the Apple watch up your ass?

 

[RecoveringJournalist]

Did they come out with a version of iCloud that can't be hacked?

 

[The Big Ragu]

They announced an Apple Watch -- in addition to the two new phones.

Looks like a niche product to me. But I thought that about the iPad and how many gazillion tablets later are we?

I always tend to underestimate Apple. So take this with that fact in mind. ... iPad sales have declined two quarters in a row. The new phone with the bigger screen has a landscape mode and a big enough screen that it may cannibalize what is left in new tablet sales. Which in the short-term will be good for profits, because they sell their phones at higher margins. But in the long-term, tablets have been accounting for a decent amount of revenue, and they need to replace that revenue, and also grow, if tablet sales continue to drop off.

So so far they have the new phones, which look nifty, and they will probably sell a lot of them. There are millions of people with phones that are more than two years old out there, and Apple will get a good chunk of that business.

They have a new payment system that I think is a crap shoot. I think they are going to realize how difficult it is to make inroads in that business. They made it seem like it is so hard to pay with a credit card --the actual piece of plastic -- and that you need a phone to do it more easily somehow. Is that really the case? Because I don't see it. And if not, are they really going to be able to get people to adopt a new payment method that they want to be a significant player in?

The watch -- well, it isn't a must have thing. At least for me. Oh yeah, and you need an iPhone for your watch to function properly, which cements it being a niche.

I am a bit underwhelmed right now. The products look beautiful, which you expect from Apple, but to remain Apple, they need to drive new product categories and product cycles that keep them dominating the world. They may stay on top, but looking out into the future, is this a mix of products that is going to drive growth?

 

[The Big Ragu]

Yeah. ... The more I see of this, I think this watch is Tim Cook's Newton. I am not getting it or why anyone would need one.

 

[RecoveringJournalist]

The iPad sales dropping is hardly a surprise. Three years or so ago, there were barely any on the market and now just about every company has one. I don't know if the iPad is the best. I have an iPad, but I got mine through work two years ago, and there weren't that many out then. Now, if I had to get another one, I would probably look at everything is out there.

 

[Dick Whitman]

Do they still make iPods?

 

[RecoveringJournalist]

Do they still make iPods?

Yeah, and I think I'm getting one for Christmas. I have one of the first generation iPod touches and it may be on its last legs after six years.

 

[The Big Ragu]

Do they still make iPods?

Yeah. But they only account for about 1 percent of revenue at this point. iPhones are more than 50 percent. iPads about 15 percent, but it has been dropping.

 

[TigerVols]

They have a new payment system that I think is a crap shoot. I think they are going to realize how difficult it is to make inroads in that business. They made it seem like it is so hard to pay with a credit card --the actual piece of plastic -- and that you need a phone to do it more easily somehow. Is that really the case? Because I don't see it. And if not, are they really going to be able to get people to adopt a new payment method that they want to be a significant player in?

Most people always have their phone and a wallet with them; now, one only needs one's phone with which to shop...plus, the Apple Pay system allows for anonymity and increased security (insert iCloud hack joke here). And it's not really a new payment system, since it's using existing credit card info.

I use my phone exclusively to board planes now -- and I'm surrounded by others -- so I don't think it's a stretch to assume we'll see people using their phones to pay for things.

As for the watch -- outside of using it in place of a Fitbit, I don't much see the point either.

 

[The Big Ragu]

Just announced that the watch is going to start at $349. ... and to use it, you need an iPhone, too. And it won't be out until 2015, so no Christmas sales this year.

To me, this was a miss by Apple. There were in a tough spot, though. If they didn't announce it, the markets would have been disappointed -- expectations were already built in. So they announced something that isn't ready and that they are going to have to really convince people they need.

 

[RecoveringJournalist]

Just announced that the watch is going to start at $349. ... and to use it, you need an iPhone, too. And it won't be out until 2015, so no Christmas sales this year.

To me, this was a miss by Apple. There were in a tough spot, though. If they didn't announce it, the markets would have been disappointed -- expectations were already built in. So they announced something that isn't ready and that they are going to have to really convince people they need.

Not having it out for Christmas is an epic fail.

 

[The Big Ragu]

They have a new payment system that I think is a crap shoot. I think they are going to realize how difficult it is to make inroads in that business. They made it seem like it is so hard to pay with a credit card --the actual piece of plastic -- and that you need a phone to do it more easily somehow. Is that really the case? Because I don't see it. And if not, are they really going to be able to get people to adopt a new payment method that they want to be a significant player in?

Most people always have their phone and a wallet with them; now, one only needs one's phone with which to shop...plus, the Apple Pay system allows for anonymity and increased security (insert iCloud hack joke here). And it's not really a new payment system, since it's using existing credit card info.

I use my phone exclusively to board planes now -- and I'm surrounded by others -- so I don't think it's a stretch to assume we'll see people using their phones to pay for things.

As for the watch -- outside of using it in place of a Fitbit, I don't much see the point either.

I am with you on the phone for a boarding pass. But we do that because it is easier. It is replacing having to print out your stuff at home or stopping at a counter or kiosk, which slows you down.

People already carry their wallets wherever they go. And credit cards -- a swipe -- are pretty entrenched as a payment method. It's not that difficult or inconvenient. And swiping a piece of plastic is really no more difficult than having to get out your phone. They are going to have to convince people to abandon the actual piece of plastic in favor of something new. And at the same time, get more retailers than the ones they announced, on board.

There have already been a lot of failures already in mobile payments. If anyone has the scale and name to make it work, it is Apple. I am still dubious, though. I think it is a crap shoot for them, at best. And iTunes radio shows that just because Apple stepped into a crowded field, doesn't mean they automatically are going to be successful.

 

[Bob Cook]

Do they still make iPods?

Yeah. But they only account for about 1 percent of revenue at this point. iPhones are more than 50 percent. iPads about 15 percent, but it has been dropping.

Initially Apple had the market all to itself, and now there are a zillion competitors for tablets, including Amazon's Kindle.

The big money may yet come in the education market. My 15-year-old daughter is among those testing tablets this year for their expected expansion next year to all of her high school's students, instead of handing out printed textbooks. And I know her school is hardly a leader in getting into this.

 

[DanOregon]

You need to have an iPhone to be able to use the watch - an accessory that has been largely dispensed with thanks to...the iPhone.

And we're getting to the point where more products are just presenting more ways to get hacked. Granted, updated operating systems and other tech advances don't sizzle and won't get people in line.

 

[TigerVols]

The ONE saving grace (pun intended) I could see for the iWatch is if the rumors are true and they are developing software that tracks your blood pressure and predicts a heart attack. THAT's a game-changer right there. But, obviously, that's not included on the one announced today.

 

[nmmetsfan]

Apple has a large flock of sheep. I'm sure they'll do decently with the product.

 

[DanOregon]

The ONE saving grace (pun intended) I could see for the iWatch is if the rumors are true and they are developing software that tracks your blood pressure and predicts a heart attack. THAT's a game-changer right there. But, obviously, that's not included on the one announced today.

If Apple started tying their products into the health market...yeah that would be pretty big.

 

[Bob Cook]

The ONE saving grace (pun intended) I could see for the iWatch is if the rumors are true and they are developing software that tracks your blood pressure and predicts a heart attack. THAT's a game-changer right there. But, obviously, that's not included on the one announced today.

If Apple started tying their products into the health market...yeah that would be pretty big.

There are already a zillion health apps out there, including one that tells you if someone ELSE is having a heart attack.

http://www.nbcnews.com/health/health-news/heart-attack-rescue-theres-app-n121911

And, yup, there already are apps that tell you if you're having a heart attack or stroke.

http://www.everydayhealth.com/heart-health/having-a-heart-attack-or-stroke-your-iphone-knows-6152.aspx

 

[Bradley Guire]

From what I understand, the Pay function is dependent on a new chip in the phone, not just an updated app. So you have to buy the new iPhone to use this new payment method. The watch is just a smaller version of what we've already got in a phone or tablet. But I'm the type to hold on to a computer or phone for four or five years, so most of these bells and whistles aren't aimed at people like me anyway.