McDonald's (MCD) isn't the only company tapping into the "billions" game. In a bit of chest-thumping while Google (GOOG) announced its new cell phone, Apple (AAPL) let the world know that iPhone and iPod Touch users have pulled down 3 billion applications from the company's App Store since its launch a year and a half ago.

Steve Jobs, the company CEO, said, "This is like nothing we've ever seen before." He didn't reveal how many of these apps were free -- and whether billions and billions of downloads translate to billions and billions of dollars.

Continue reading Apple App Store: Billions and Billions Served

Apple App Store: Billions and Billions Served originally appeared on BloggingStocks on Wed, 06 Jan 2010 12:40:00 EST. Please see our terms for use of feeds.

Apple's (AAPL) iPhone has reinvigorated the wireless handset industry. It was there first (in many ways) and it will be hard for any company without virtually unlimited resources to wrestle the golden crown from Apple. First movers generally don't relinquish their titles.

With Google (GOOG) set to announce the "Nexus One" handset tomorrow based on its own Android mobile operating system, does it want a piece of Apple's action? Is that its goal?

Continue reading Why Google's Nexus One Smartphone Isn't Meant to Take Anything Away from Apple

Why Google's Nexus One Smartphone Isn't Meant to Take Anything Away from Apple originally appeared on BloggingStocks on Mon, 04 Jan 2010 13:20:00 EST. Please see our terms for use of feeds.

One would think that Google Inc. (NASDAQ: GOOG) and Apple Inc. (NASDAQ: AAPL) would be friends. Google CEO Eric Schmidt sits on Apple's board and his company partners heavily with Apple's iPhone for Google's web products. That is, except when Google is trying to do an end-run around Apple partner AT&T Inc. (NYSE: T).

This is what it comes down to: Google Voice, the service that gives you a universal phone number that you have total control over (and even provides free text messaging!) was blocked by Apple's App Store, most likely at AT&T's request. After all, AT&T surely does not want customers bypassing its margin-heavy text messaging plans to use a free Google-provided solution.

Continue reading Apple and AT&T flex muscles, exert control over Google

Apple and AT&T flex muscles, exert control over Google originally appeared on BloggingStocks on Thu, 30 Jul 2009 12:20:00 EST. Please see our terms for use of feeds.

Continue reading Apple: 1.5 billion App Store downloads

Apple: 1.5 billion App Store downloads originally appeared on BloggingStocks on Thu, 16 Jul 2009 12:40:00 EST. Please see our terms for use of feeds.

Apple (NASDAQ: AAPL) is making a big deal out of the fact that 60 million software applications have already been downloaded by iPhone customers. New numbers show how modest the return is on the new business.

According to The Wall Street Journal, "If sales stay at the current pace, Apple stands to reap at least $360 million a year in new revenue from the App Store." The data show the extent to which Apple is still a hardware company. Apple's revenue run rate is now about $30 billion a year.

The software figures point to a misconception about Apple. Its iTune and Mac OS products only drive very modest revenue for the firm. It could be argued that these services help sell computers, phones and iPods, but their small returns show that Apple is still saddled with a lower margin business -- building products with fairly high component costs.

Apple likes to perpetuate a fiction for its shareholders that it will move into the ultra-high margin business of software and will get great leverage for its earnings. Looking at the numbers, there is very little truth to that.

Douglas A. McIntyre is an editor at 247wallst.com.

Apple makes next to nothing on iPhone software originally appeared on BloggingStocks on Mon, 11 Aug 2008 09:58:00 EST. Please see our terms for use of feeds.

Continue reading Apple: What does the future have in App Store?

Apple: What does the future have in App Store? originally appeared on BloggingStocks on Thu, 10 Jul 2008 15:02:00 EST. Please see our terms for use of feeds.

It is not enough that Apple (NASDAQ: AAPL) wants to sell a lot of iPhones. Now the company is making it clear that it wants to create the dominant software systems for smartphones.

According to The Wall Street Journal, Apple "will open its App Store, an online bazaar that will attempt to do for mobile applications like games, reference guides and other software what Apple's iTunes Store has done for music."

Apple believes that it can help enhance phones so that they are more like the new PCs, bringing the power of computing to wireless devices. There are several drawbacks to the plan.

It may be a number of years before the processors or memories in handsets will come even close to rivaling what PCs can offer. Connections to the internet are also only as good as the cell grid. Coverage can come and go. With computers, that problems does not exist.

But the greatest problem may be screen size. Americans are used to larger and larger PC monitors. They are better for playing games, viewing spreadsheets and watching movies.

Who wants to have a tiny screen and even smaller keyboard for doing the majority of computing.

And what do people do when the handset battery runs out?

Douglas A. McIntyre is an editor at 247wallst.com.

Apple pushes to dominate smartphone market originally appeared on BloggingStocks on Thu, 10 Jul 2008 09:48:00 EST. Please see our terms for use of feeds.

MAJOR PAPERS:

• The Wall Street Journal reported that Toyota Motor Corporation (NYSE: TM) is set to revamp its manufacturing operations in the U.S. in response to rising gasoline prices that have led to a shift toward fuel-efficient models. Officials at the auto maker said key moves may include dropping plans to produce the Highlander car-SUV crossover vehicles in a Tupelo, Mississippi plant, instead producing the Prius at the plant.
• Tomorrow Apple Inc (NASDAQ: AAPL) is set to launch its second version of the iPhone but it also will be opening its APP Store to software developers--an online bazaar--with the intent of bringing more applications to the phone as it has with music via its iTunes stores. Apple's goal is to turn the iPhone into a gadget that more resembles a personal computer, the Wall Street Journal reported.

• According to sources, the South China Morning Post reported that Wynn Resorts Limited (NASDAQ: WYNN) is considering a secondary listing in Hong Kong that would raise as much as $3B. The source said that the fund-raising plan has yet to be approved that that the company is a "long way" from a share sale and "might never do it."

• In an interview, Bloomberg reported that Former St. Louis Federal Reserve President William Poole said there is an increasing chance the U.S. may need to bail out "insolvent" Federal National Mortgage Association (NYSE: FNM), or Fannie Mae, and Federal Home Loan Mortgage Corporation (NYSE: FRE), or Freddie Mac. Poole said data provided show that the fair value of Fannie Mae's assets fell 66% to $12.2B in Q2, while Freddie Mac owed $5.2B more than its assets were worth during the quarter.

Newspaper wrap-up: Apple to open App Store to software developers with PC phones in mind originally appeared on BloggingStocks on Thu, 10 Jul 2008 08:10:00 EST. Please see our terms for use of feeds.