Apple can monopolize developers

  • Posted: 07 November 2011 01:27 PM #16

    AndrewLing - 07 November 2011 01:53 AM

    Why doesn’t apple simply offer a better deal to exclusive app developers.  Apple has exclusive deals with many of its manufacturing partners so why not offer similar deals for developers.

    How do you know that Apple has exclusive deals with manufacturing partners? That’s news to me. As a manufacturer, I would be very, very hesitant to sign an exclusive deal with Apple. Manufacturers signing exclusive deals with Walmart all found out that this is not a good strategy. Apart from that, any exclusive deals for an item that is essential for competitors would raise concerns about anti-competitive behavior. Note that buying up someone’s whole production is not an “exclusive deal” as long as the manufacturer is free to increase production.

    Now an exclusive deal with an app developer would mean that the app wouldn’t appear on any Android store, even if Google offered the developer tons of money. So Google would be prevented from competing. Very dangerous move.

         
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    Posted: 07 November 2011 01:49 PM #17

    Andrew Ling,

    Networth can only be 100%.

    Net worth = Worth of stock portfolio + worth of bonds + worth of real estate (including owner-occupied) - outstanding mortgage loans - outstanding car loans - any outstanding debts

    I assume you mean the value of your AAPL holdings is twice that of your net worth.  IMHO, you’re taking too much risk if true.  Alternatively, if you mean you’ve margined 100%, is normal for aggressive investors e.g. sponge did that all the time.

    How’s life in China?

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    Posted: 07 November 2011 02:04 PM #18

    Apple pride themselves as a fair competitor, they want to compete based on insanely great products not some monopolistic or underhand business techniques.  Locking up certain supplies of components is not for the purpose of denying competitors’ access, is to ensure they have the supplies.  Suing HTC and Samsung is not for the purpose of slowing competitors, is to protect their inventions and brands.  Design language is a major component of branding, products from HTC and Samsung are so similar to Apple’s products, that consumers could mistake them as Apple products thus degrading Apple brand.

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  • Posted: 07 November 2011 09:09 PM #19

    gnasher,one example is the drills that apple stuck an exclusivity deal for.  The ones in the macbooks for the green webcam LED. 

    Mace, I mean I’m margined to 2x my net worth in Apple stock.  To me this is not particularly risky.  I’ve had all my money in three ten baggers in the past FSLR BIDU and NFLX only to lose most of it back on the way down (Bidu I had to sell to play poker)
    I went nearly broke in 2009 after a 1500% return on my net worth in 2008 trying to catch the members of the board of directors in FSLR holding by constantly buying more.  But I preserved enough capital to stay in the game and now I’m back!
    I was late to the Apple game because I was too greedy. Now that I’m older and less aggressive I’ll “settle” for 35% annual returns in Apple.  Due to diminishing returns I don’t really need more shares.  one tenth of a cent per iphone/ipad/mac sold is enough to live off of =)


    I’m sure there are better investors out there but not I’ve never met one.  It isn’t easy to accumulate 130K in your Roth IRA by 33.  It’s difficult math because of the rising contribution limits but it should amount to 30% annual return over 10 years.

         
  • Posted: 07 November 2011 09:52 PM #20

    AndrewLing - 08 November 2011 01:09 AM


    I’m sure there are better investors out there but not I’ve never met one.  It isn’t easy to accumulate 130K in your Roth IRA by 33.  It’s difficult math because of the rising contribution limits but it should amount to 30% annual return over 10 years.

    Excuse me?

         
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    Posted: 08 November 2011 04:20 AM #21

    AndrewLing - 08 November 2011 01:09 AM

    ... I’m sure there are better investors out there but not I’ve never met one.  It isn’t easy to accumulate 130K in your Roth IRA by 33.  It’s difficult math because of the rising contribution limits but it should amount to 30% annual return over 10 years.

    There are investors in this forum that have invested in AAPL only since 1990s and early 2000s and enjoy 60% annualized return by doing nothing, and good traders that transform a few thousand dollars into tens of million dollars (I’m not one of those).  Ofc, there are also some who lost their shirts and obviously they are no longer posting here.  Current bloggers are the survivors + those less than two years.  Frankly, I don’t expect guys like you to be around for more than one year.

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