Sipping the iPad Kool-Aid

  • Posted: 29 May 2010 05:48 PM

    Sipping the iPad Kool-Aid.

    I wanted to give adamthompson3232’s colorful quote a bit more hang time in the blogosphere.

    Snippet: “Empirical data to be released from independent sources over the next few weeks should provide some indication whether or not adamthompson3232’s homemade iPad Kool-Aid should be passed around for celebratory toasts when Apple releases its 3rd fiscal quarter results or should be locked away in the medicine cabinet as a RDF hallucinogen to be sipped only in small doses.”

    Which is it? Should we be bottling the stuff for a late July party or guarding the medicine cabinet to avoid over intoxication of iPad RDF sales bliss?

         
  • Posted: 29 May 2010 06:58 PM #1

    Is there a firm date in July for the earnings report?

         
  • Posted: 29 May 2010 08:53 PM #2

    adamthompson3232 - 29 May 2010 09:05 PM

    DT, Love your post on this subject. I am thoroughly enjoying my Kool-Aid today and I believe we will all enjoy it (yes, I will share some) when this Q’s results are announced.

    I thought the quote was worth the coverage.  grin

         
  • Posted: 29 May 2010 10:12 PM #3

    adamthompson3232 - 30 May 2010 12:16 AM
    adamthompson3232 - 29 May 2010 09:05 PM

    Should have said “I will share some if there is any left.” I have read upwards of 20 articles about the international iPad launch and sales success and I really need to make more Kool-Aid. The launch was a huge success in every single country. Perhaps that goes without saying but seeing it unfold just as hoped and expected makes me see a lot of $$$$$ signs for AAPL shareholders.

    I find myself breaking my own investment rules with AAPL as I continue to increase my position. I have made two similar moves in the past, one of which was a huge success (UPL) and the other of which didn’t amount to much. I have only had this much confidence in a public company I wasn’t personally involved with (operationally) these two other times. Glad to have found another one as it makes investing so much more fun.

    Yet another reason you should start a blog. There are years to write about the iPad and new products that will emerge. If you’re this thrilled now you should share your insights and time invested in research with the Apple blogosphere.

    There’s too much misinformation and misunderstanding to be left standing.

         
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    Posted: 29 May 2010 11:29 PM #4

    This is to funny. I remember the days when the Sponge had a still out back to make his Kool-aid. Adam, it is not that I don’t believe in the company, the Kool-aid has just made me throw up before. tongue laugh

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  • Posted: 30 May 2010 01:07 AM #5

    mbeauch - 30 May 2010 02:29 AM

    This is to funny. I remember the days when the Sponge had a still out back to make his Kool-aid. Adam, it is not that I don’t believe in the company, the Kool-aid has just made me throw up before. tongue laugh

    Adam, relax. I think he’s used to bootlegger’s brew.  :wink:

         
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    Posted: 30 May 2010 01:24 AM #6

    DawnTreader - 30 May 2010 04:07 AM
    mbeauch - 30 May 2010 02:29 AM

    This is to funny. I remember the days when the Sponge had a still out back to make his Kool-aid. Adam, it is not that I don’t believe in the company, the Kool-aid has just made me throw up before. tongue laugh

    Adam, relax. I think he’s used to bootlegger’s brew.  :wink:

    LOL, if you only knew. LOL The older I got, the more I learned that the good stuff does not have any side effects.

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  • Posted: 30 May 2010 02:49 AM #7

    mbeauch - 30 May 2010 04:24 AM
    DawnTreader - 30 May 2010 04:07 AM
    mbeauch - 30 May 2010 02:29 AM

    This is to funny. I remember the days when the Sponge had a still out back to make his Kool-aid. Adam, it is not that I don’t believe in the company, the Kool-aid has just made me throw up before. tongue laugh

    Adam, relax. I think he’s used to bootlegger’s brew.  :wink:

    LOL, if you only knew. LOL The older I got, the more I learned that the good stuff does not have any side effects.

    Kind of like buying a quality Apple product. I can’t speak to the quality of moonshine :wink:

         
  • Posted: 30 May 2010 02:23 PM #8

    adamthompson3232 - 30 May 2010 05:13 PM

    This thread is hilarious. Moonshine? Kool-Aid? Maybe the key for Apple’s continued growth is to start a beverage unit to compete with DEO or KO?

    Years ago the company took a half-step in that direction. Apple imported a president from Pepsi. The result: Steve Jobs left, the company developed the Performa line and things got really, really confusing.

    Realizing the magnitude of the mistake, every Apple product now comes with a disclaimer that immersing it in liquid voids the warranty. It didn’t work for the company, it doesn’t work for the products. A hard lesson learned.  :wink:

         
  • Posted: 30 May 2010 02:42 PM #9

    adamthompson3232 - 30 May 2010 05:30 PM

    Interesting history lesson, DT. I was not aware of the Pepsi import past.

    Here’s a Wikipedia entry on John Sculley. Please read the content on his tenure at Apple.

         
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    Posted: 30 May 2010 08:04 PM #10

    iPads continue to be in short supply in the US, even now (I guess you could also say “especially now” since it’s launched in several other countries this weekend).  iPads have an amazing halo/recommendation effect amongst its user base, and from my limited observations, iPad has broad appeal across a number of demographics.  Many will continue to be surprised at how well iPad is selling because they’re thinking too myopically about the potential target markets/demographics.  It’s not just a netbook “replacement”, it’s also a product that appeals to people who would never even consider a netbook, if some of the iPad users covered by the media are any indication.  I agree with all those on the AFB that think 3 million iPads sold is a reasonable low-end estimate.

    The iPad/related portion of Apple’s business will make its presence known for fiscal Q3.  I’m not sure how investors could possibly be disappointed with the numbers as we know them so far…despite being a relative “UFO” product, it now holds the crown for fastest-selling Apple product in history (at first-generation launch).  I still think iPad will make a very significant contribution to revenue as well as earnings.  Even assuming a very aggressive, iPod-like net margin of 15% or so per iPad ($100 net income/unit), that’s still about 15% of Q3 2009’s “new GAAP” earnings at 3 million sold.

    All that said, I think that the extent of our July celebration depends more on iPhone than iPad.  Expectations were comfortably exceeded for iPad, while expectations (for both sales and specs) continue to rise for iPhone.

    [ Edited: 30 May 2010 08:18 PM by Mav ]

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  • Posted: 30 May 2010 08:22 PM #11

    Just remember: iPad Kool-Aid. No Pepsi.  :wink:

         
  • Posted: 30 May 2010 08:23 PM #12

    DawnTreader - 29 May 2010 08:48 PM

    Sipping the iPad Kool-Aid.

    I wanted to give adamthompson3232’s colorful quote a bit more hang time in the blogosphere.

    Snippet: “Empirical data to be released from independent sources over the next few weeks should provide some indication whether or not adamthompson3232’s homemade iPad Kool-Aid should be passed around for celebratory toasts when Apple releases its 3rd fiscal quarter results or should be locked away in the medicine cabinet as a RDF hallucinogen to be sipped only in small doses.”

    Which is it? Should we be bottling the stuff for a late July party or guarding the medicine cabinet to avoid over intoxication of iPad RDF sales bliss?

    I’m bringing the original post back for page 2 of the topic.