Feeds

Apple CEO: 'Amazon Fire didn't dent our sales'

'Year of the tablet? Nope. Year of the iPad'

Business security measures using SSL

If purchases of the successful-if-flawed Amazon Fire bit into iPad sales during the holiday season, Apple CEO Tim Cook didn't see it.

"I looked at the data – particularly in the US – on a weekly basis after Amazon launched the Kindle Fire, and in my view there wasn't an obvious effect on the [iPad sales] numbers," Cook told analysts and reporters during a call after Apple announced its impressive first-quarter financial results on Tuesday.

When one analyst asked him if he had heard the speculation that some customers had looked at the $199 Fire, found it wanting, then moved up the cost ladder to the $499-to-$829 iPad, Cook said that, yes, he had heard that theory, but he discounted it.

"Whether that's happening on a very, very large basis, I don't know," he said. "Again, my own view is – looking at our data in the US – there was no obvious change."

But if the iPad didn't tempt prospective purchasers away from lower-priced fondleslabs, it did have an effect on the sales of another of Apple's offerings: the Mac.

"There is cannibalization, clearly, of the Mac by the iPad," he admitted – although with 5.2 million Macs sold during the quarter, a 26 per cent increase over the year-ago quarter, that effect was hardly fatal to Apple's Mac OS X boxes.

Cook added that Apple believes that if anyone is suffering from the iPad's success, it's PC manufacturers. "And there's many more of them to cannibalize," he said, "and so we love that trend. We think it's great for us."

That said, the iPad is making inroads into traditionally strong Mac markets. In K-12 education, for example, Cook said that Apple sold twice as many iPads as Macs – though he didn't provide a time frame. "Generally speaking," he said, "education adopts new technologies fairly slowly, so that's somewhat surprising."

Cook characterized as "remarkable" the sale of over 55 million iPads since the "magical and revolutionary" Cupertinian fondleslab shipped in early April 2010.

iPad sales will continue to grow, Cook said. "I clearly believe, and many others in the company believe, that there will come a day when the tablet market, in units, is larger than the PC market," citing IDC's recent research that showed tablet sales have already exceeded desktop-PC sales in the US.

And when Cook says tablet, he means iPad, and not "limited-function tablets and e-readers" that he relegated into a different category altogether. "There's clearly customers that will buy those," he said, "and I think they'll sell a fair number of units, but I don't think that people who want an iPad will settle for a limited-function [device]."

As for competition from full-function tablets such as, say, the Motolola Xoom, Samsung Galaxy Tab, the less-than-concisely named Asus Eee Pad Transformer Prime, and their ilk, Cook was sanguine. "Y'know, last year was supposed to be the year of the tablet," he said. "I think most people would agree that it was the year of the iPad – for the second year in a row."

But when he was asked if the tablet market was simply a "two-horse race" between the iPad and Android-based devices, Cook did admit that not all important players had yet joined that race.

"There's a horse in Redmond that always suits up, and always runs, and will keep running," he said. But no matter how many horses there will eventually be in that race, "We just want to stay ahead and be the lead one." ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
Oi, Tim Cook. Apple Watch. I DARE you to tell me, IN PERSON, that it's secure
State attorney demands Apple CEO bows the knee to him
4K-ing excellent TV is on its way ... in its own sweet time, natch
For decades Hollywood actually binned its 4K files. Doh!
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
DARPA-backed jetpack prototype built to make soldiers run faster
4 Minute Mile project hatched to speed up tired troops
Hey, Mac fanbois. HGST wants you drooling over its HUGE desktop RACK
What vast digital media repository could possibly need 64 TERABYTES?
Apple Pay is a tidy payday for Apple with 0.15% cut, sources say
Cupertino slurps 15 cents from every $100 purchase
Apple's ONE LESS THING: the iPod Classic disappears
RIP 2001 – 2014. MP3 player beloved of millions. Killed by cloud
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
Protecting users from Firesheep and other Sidejacking attacks with SSL
Discussing the vulnerabilities inherent in Wi-Fi networks, and how using TLS/SSL for your entire site will assure security.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.