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Okay, Apple, so what about the sub-$1,000 desktop market?


Posted by Dennis Sellers May 22, 2008 at 2:06am

As was reported earlier, according to a study conducted by NPD, Apple’s share of the personal computer market for computers costing over US$1,000 grew to 66 percent in the first quarter of 2008. So what’s next—and does Apple have any plans to beef up its sub-$1,000 offerings?

It’s a pretty safe bet that the very popular iMac (see today’s review of the latest rev) is responsible for Apple’s staggering success in the more high-end market. But the Mac mini (which is constantly rumored to be on its deathbed) has “only” 14 percent of the sub-$1,000 category (which is actually more than I would have guessed).

If Apple is going to compete in the low (or at least lower) end market, it’s going to have to beef up its Mac mini offerings—and really promote them, something the company seems averse to doing. Price reductions are also needed—though how serious Apple is about this market, and what sort of slim profit margins it’s prepared to accept, remain to be seen.

Another option would be a mid-tower, expandable Mac, something I’ve covered before. Such a beast would be sort of a stripped-down Mac Pro that’s expandable—but not as expandable as the professional desktop. But again, this is an area that Apple doesn’t seem interested in.

Even if Apple doesn’t pursue the low end computer market, iMac sales and the strong sales of Apple laptops will keep the Mac’s profile high and rising. Also, Apple is competing in areas that it hasn’t before, such as the business portable niche (with the MacBook Air). And I expect we’ll see versions of the Mac creep into other niches as well.

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