Tag Archive for ‘Neil Cybart’

The iPad’s Dark Days Are Over ➝

Neil Cybart:

After a tumultuous multi-year stretch that included massive unit sales declines, declining average selling prices (ASPs), and deteriorating margin trends, the iPad business has turned a corner. The combination of improving upgrade fundamentals, less severe iPad mini sales declines, and a stronger iPad lineup with the iPad Pro and accompanying accessories have positioned the iPad category that much closer to stabilization. The worst is likely over.

Great analysis from Cybart on the iPad sales decline. And I agree with him — the iPad’s dark days are likely over.

The Strategy Behind Discounting Apple Watch and iPad ➝

A great piece by Neil Cybart on why retailers have decided to slash prices on Apple products this year. I especially enjoyed this bit:

Best Buy and Target are discounting Apple Watches and iPads because they are confident those two products will be able to garner interest and buzz to generate increased foot traffic and page views. Only 2% of Target’s sales originate from its website, with Best Buy seeing a bit larger percentage (10%). Accordingly, It is conceivable that these Apple product sales will drive traffic to stores. Given the competitive trends, being able to get a consumer to a store is becoming more difficult and expensive. Once in a store, Target can then do its job and sell additional product.

Retailers get you in the door by advertising low prices on Apple devices, then they make their profit off of everything else you buy while you’re there.

The Grand Unified Theory of Apple Products ➝

An incredible piece by Neil Cybart about Apple’s evolving product lineup.

Making the Case Against an Apple Television Set ➝

The idea of an Apple television set has never made sense to me for a number of reasons — most of which is discussed in this piece by Neil Cybart. But the one reason that I’ve never seen anyone else mention is the physical limitations of Apple’s retail stores. They have to keep dozens of these televisions somewhere in their stock room and dedicate a portion of their sales floor to display models. From a logistics standpoint, this just might not be possible in their smaller locations.

Now, obviously Apple is going to make decisions about what products they’re able to produce solely on how they would be managed in their retail stores. But I could certainly see it being a topic of discussion when their trying to decide whether it’s a worth-while endeavor.

The Battle in Mobile Has Changed ➝

Neil Cybart:

Instead, the smartphone buying decision is likely related more to the other pieces of glass either being worn (smartwatches), in one’s purse or backpack (tablets), or at home and on the work desk (desktops/laptops). Extend the exercise further to incorporate third-party devices in the home and driveway, and the entire iOS or Android ecosystem is becoming the much bigger deciding factor for what will be your next smartphone.

It’s not about the number of devices activated or the number of apps available anymore. It’s about how the device’s ecosystem works alongside all of the other parts of your life — fitness, media, connected appliances, fashion, and more.


Apple is Working on Something Big ➝

Neil Cybart on Apple’s ever increasing research and development costs:

Taking a look at the increased amount of money Apple has been pouring into R&D beginning last summer, it is looking increasingly likely management gave the green light for Apple’s next big project. I suspect Apple has begun work on battery, telematics, and autonomous driving initiatives related to personal transport.

In short, Apple started spending a lot more money on R&D last summer. And because of the guidelines regarding what is allowed to be classified as R&D, Apple must be developing new products that require a significant investment to create.