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Steve Jobs: Apple a $50B company, excited over ‘major new product’

Prince McLean, AppleInsider

Apple’s chief executive Steve Jobs announced that the company’s annual revenues are now beyond $50 billion, but indicated that even more is in the pipeline to get excited about.

Steve Jobs: Apple a $50B company, excited over ‘major new product’.
“If you annualize our quarterly revenue, it’s surprising that Apple is now a $50+ billion company,” Jobs said. “The new products we are planning to release this year are very strong, starting this week with a major new product that we’re really excited about.”

Apple sold 3.36 million Macs, including more than 2.1 million notebooks. That represented 33% growth in Mac sales, compared to an industry-wide 17% growth in PCs reported by IDG. Desktop sales reached 70% growth year over year thanks to the popular new iMac models. Apple’s COO Tim Cook detailed even greater growth rates in Mac sales internationally.

It also sold 21 million iPods and 8.74 million iPhones, a record number of new mobile devices for the company. Apple retained roughly 70% market share in the global MP3 market with iPods; growth in the iPod touch reached 55%, while iPhones amounted to a 100% increase in sales over the previous quarter, comparing very favorably to Canalys’ data showing industry smartphone growth at around 30%.

The “major new product” Jobs alluded to is expected to be a tablet-form factor device to be announced on Wednesday at the scheduled press event. Company executes speaking during today’s earnings announcement explicitly avoided any comment on what the company might release on Wednesday, even dodging the question of whether any new products in the pipeline might contribute to Apple’s future earnings.

As the company outperforms both its PC and smartphone competitors and maintains dominance over the entire MP3 market, the uncertainty of whether Apple will be able to successfully deploy a tablet-sized device (given the history of failure dogging that category of products) seems less of a risk than many observers have suggested.

Apple’s confidence in launching a new, larger mobile device appears to be based on its years-long head start in releasing usable multitouch interface technology that customers have snapped up enthusiastically, in addition to the tight integration between its iTunes business and its mobile device hardware.

  • FreeRange

    Oh the anticipation…. can’t wait for Wed. announcement. Unfortunately, I live in China and won’t get the news until Thursday as we are 16 hours ahead of Cupertino.

  • rwahrens

    I still say that Apple won’t be going with Verizon any time soon.

    Verizon is too controlling, too high on plan pricing and their network is slower and older than AT&T’s is.

    I’ve also had experience with their billing and customer service, and I’ll tell you that their billing department sucks. When we first got FIOS, we had to have the DVR replaced for another one. It took them over SIX months to remove the “extra” one from our bill. PLUS, when they finally did, it was after a FIELD TECH called us to confirm that it wasn’t ours!

    Oh yeah, Verizon sucks as much as anybody else does, don’t let anyone fool you into thinking otherwise.

  • beanie

    Prince quoting Steve:
    “If you annualize our quarterly revenue, it’s surprising that Apple is now a $50+ billion company”

    You can not do that. That was December/Christmas quarter. Is Apple planning to sell 21 million iPods this quarter? iPod sales historically drop back down to about 10-13 million in other quarters.

    Prince wrote:
    “Apple retained roughly 70% market share in the global MP3 market with iPods”

    That is probably incorrect. Instat says PMP/MP3 worldwide market is around 225 million units. That would give Apple around 20%-25% of the global market. 70% probably refers to the U.S. Market.

  • gus2000

    beanie wrote: “You can not do that. That was December/Christmas quarter.”

    True, you cannot annualize by multiplying your best quarter by 4 and get a realistic figure. Apple typically gets a 20% revenue bump in Q1, and given that was $15B the math says they get to $50B easily by Q4. I’m sure they annualized by adjusting for seasonal differences.