UBS Investment Research was pleased with the product announcements Apple made at its "One More Thing..." even on October 12. The combination punch of the new iMac, video capable iPods, and iTunes 6 with video download and playback support will carry Apple through a strong holiday sales season.
UBS sees the new iMac line up as a move by Apple into the living room, and part of digital home entertainment centers, and not simply an upgraded home PC. Apple may be positioning itself to take on other consumer media products like Microsoftis Media Center PC.
Analyst Ben Reitzes commented in a UBS report, "The new iMac G5 could be popular for the holiday selling season as well as being a successful initial step toward Apple becoming the center of the digital home."
The new iPod, combined with iTunes 6, gives Apple an even firmer grip over the digital media market. The killer feature in this mix is that users can download television programming the day after it airs, at US$1.99 a show. The big names of Disney, ABC (which is owned by Disney), and Pixar have already signed on, and more are sure to follow.
UBS expects that iTunes 6 ability to play downloaded video content on a Mac as well as iPod could entice more Windows users to switch and use a Mac as an entertainment device.
Apple stock is currently up .15 (0.30%) at $49.90 in pre-market trading.