Sometimes big news comes in small packages–especially in the world of high tech. This week, AllThingsD covered some little changes that mean serious consequences for the companies that make the stuff and consumers who rely on it.
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Apple’s internationally coveted iPhone finally arrived at market in China last week and by most accounts its debut was uncharacteristically muted. There is “no sign of the sort of sellout reception that greeted the smart phone at its introduction in other countries,” The Wall Street Journal reported. Clearly, the device’s Chinese launch wasn’t the rousing success to which we’ve become accustomed. That said, it probably wasn’t quite the bust it’s been made out to be, either.
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BoomTown’s week began onstage in front of thousands of chanting women. No, Kara wasn’t filling in for Oprah; she was doing something much cooler.
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Apple’s iPhone finally arrived at market in China today and is evidently selling fairly well, despite wallet-emptying prices. ChinaNews.com found about 300 people queued up to buy the device at China Unicom’s flagship store in Beijing.
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The econalypse may be winding toward its end, but for Apple it evidently never even started. Shares in the company spiked more than $12, or more than six percent, to $202 in early trading Tuesday as investors celebrated another of the company’s great quarters.
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Apple’s September quarter saw, among other things, the release of Snow Leopard, the latest upgrade to its OS X operating system and the first public appearance of CEO Steve Jobs, who’d been on a medical leave of absence for a liver transplant. It was also the first full period since the company launched the iPhone 3GS in late June. No wonder it was a blowout quarter.
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Looks like AMD has benefited from the same favorable PC updraft that’s lifting Intel. On Thursday, the chip maker reported a narrower third-quarter loss than expected, thanks to “strong demand” for its microprocessors and graphics chips.
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The broader advertising recovery may take time, but search advertising is clearly beating a hasty path back toward normalcy. Or it is in Google’s case anyway. Reporting third-quarter results after market close Thursday, the search giant posted revenue of $5.94 billion, an increase of seven percent compared to the third quarter of 2008.
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Nokia CEO Olli-Pekka Kallasvuo says the demand for mobile devices improved in many markets during the third quarter–but you wouldn’t know it to look at the company’s earnings. This morning, Nokia posted an unexpected 559 million euro ($836 million) loss for the period, its first in a decade. Worse, its smart-phone market share declined to 35 percent from 41 percent in the previous quarter.
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“Sales of iPhone through China Unicom, to state it mildly, have been disappointing. Volumes since launch have run at a fraction of stated goals.” So says Northeast Securities analyst Ashok Kumar, who, in a research note to investors this morning, warned that Chinese sales of the iconic handset are not nearly as good as expected. Which I suppose makes perfect sense because the iPhone hasn’t yet gone on sale in China.
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Gartner analyst Ken Dulaney says Google’s Android OS will claim 14 percent of the global smart-phone market by 2012, putting it ahead of Apple’s iPhone but behind Symbian, which currently runs on about half of all smart phones. While this might seem optimistic, it’s not entirely unreasonable given the distribution deals Google has been lining up. Yesterday, the search giant announced a deal to bring Android-based devices to Verizon Wireless. Now comes word that Dell is building an Android handset for AT&T.
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Kai-Fu Lee’s uneventful departure from Google to start a Beijing incubator really belies the spectacle that attended the beginning of his tenure at the search giant. Lee’s train-hopping from Microsoft to Google back in 2005 touched off a five-month pitched battle marked by all manner of inanities and expletive-laden outbursts.
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The week that took us from August to September was one for the books over at BoomTown, especially if you’re 12.
Kara spent Monday morning at Activision Blizzard, where they are pushing forward with the entire Guitar Hero line, even as the game industry faces a nearly 50 percent decline in U.S. sales this year. Kara got to play hero to several of the forthcoming releases, including previewing the much anticipated DJ Hero console.
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Apple will sell somewhere between five and seven million iPhones in China in 2010, according to research house Broadpoint AmTech. But that’s assuming its distribution deal with China Unicom is exclusive. And according to Apple, it’s not. “I can confirm it is not an exclusive deal,” an Apple spokesperson told Dow Jones.
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