Remember just a month or two ago when all the Apple critics and analysts and headlines said iPhone X was such a dud? Apple’s numbers put an end to such obvious chicanery among headline artists and master link baiters.
Remember just a few years ago when Apple was doomed if it didn’t have a smartwatch to compete with Samsung’s? And, when Watch launched, how it was such a dud nobody was buying them? Apple says Watch is about to become a Fortune 300 company. What does that mean?
Mac vs. Watch
Apple publishes more precise sales numbers for Mac, iPhone, and iPad than any competitor does for their products, but what we don’t get are sales numbers within each product group, and not a word about the new Tim Cook authorized accessories for iPhone.
Apple says the Mac has a customer base of about 100-million users. iPhone pushes nearly to 1-billion. iPad is perhaps nearing 250-million. What about Watch? Those who track such things use math to make guesstimates, but noted analyst Horace Dediu thinks the Watch customer base is over 40-million. Not bad for a three year run, huh?
That’s about all we know about Watch. So, what’s all the talk about Watch being a Fortune 300 company? I did a bit of research and found a few newcomers to the Fortune 500 list, and one of them is parked at #300.
Alcoa had 2017 revenue that topped $9-billion. That means Watch is doing far better than the nattering nabobs of negativity thought just a few years ago.
David Phelan on Apple CEO Tim Cook:
Last May, [Cook] said that business is approaching the size of a Fortune 500 company. More recently, last month, the size had crept up so it would fall in the top 400.
Can you name an Apple competitor that would turn down such growth?
And to have jumped from 500 to 300 in less than a year is explosive growth, surely
Surely, Shirley; like, duh, already. So much for all those anti-Apple crusaders and their ability to understand or predict a market segment.
Apple Watch, assuming all the numbers tossed around these days are even semi-accurate (which is a pleasant term that really means not-so-accurate, but let’s roll with them anyway) is approaching a customer base nearly half that of the Mac; which began in 1984. That’s 34 years ago, folks.
Of course, this is not a good Apple to apples comparison. Macs sell for an average of about $1,400 while Watch can be picked up on sale for less than $200 and the average selling price probably fits between double that and $500– especially if you add in all the Watch accessories, which, if you think about it is odd, because Watch itself is an accessory to iPhone.
But you get the point, right?
Watch is a big deal business and Apple cranked out a nearly $10-billion revenue stream in barely three years. You can see why Google wants to be like Apple and sell hardware, but as the saying goes, “Hardware is Hard.”
Except for Apple.