14 DAY TRIAL // As shipments of the latest iMac model have failed to produce the expected revenue stream, Apple will soon be taking some steps in order to cater to audiences outside the US, where the likes of Lenovo and HP are ruling the land.
Ming-Chi Kuo with KGI Securities believes Apple is pondering a low-cost iMac model for markets like China, as sales of the expensive all-in-one have failed to impress.
“Our surveys indicate that Apple’s last iMac model, released at end-2012 with an all-new-design, shipped fewer-than-expected units in the worldwide market,” writes Kuo.
“We think the price was set too high and the model failed to make an impact in critical foreign markets like China,” the analyst says in a research note.
“We thus think Apple may offer a budget iMac model to push shipments among non-US markets in the face of solid competition from Levono (CN), HP (US) and other rivals,” he indicates.
Kuo says he and his fellow analysts at KGI are “optimistic that a budget iMac would boost overall iMac shipments to grow 10-20% YoY in 2014.”
The iMac starts at $1,299 / €1,299 for the 21.5-inch configuration, and sells for $1,799 / €1,799 if you choose the 27-inch model.
The 2012 computers not only remain quite expensive for most pockets, but they’re actually priced higher than their predecessors.
Apple generally doesn’t know how to build a product that is cheap and, at the same time, doesn’t stick out like a sore thumb.
This has been the company’s philosophy under Steve Jobs’ tenure and it still is today, with Tim Cook rallying his troops to continue to churn out products that are unmatched throughout the industry.
In addition to these budget iMacs, Apple next year is also expected to introduce all-new product categories, including an iWatch and a big-screen TV.