Mailbag: What Price Mac?

Are Apple laptops worth the price tag? Readers chime in with their thoughts:

In reality, I recognize hyperbole when I see it. Apple stuff is not all that overpriced in the overall scheme of things. Rejoice and relax -- you still have the lower parts of the market all to yourselves.
-Bill

You stated by saying that buying a Mac instead of a PC is like buying a Cadillac instead of a Hyundai. I think a better comparison is buying a Mac is like buying a Toyota instead of a Ford. We all know Ford could build a better car if it wanted to, but it doesn't want to. So if reliability and performance are issues, you buy a Toyota, not a Ford. Same for Mac vs. PC.
-Alan

Apple will never be able to afford to sell entry-level PCs. It simply cannot generate the volumes necessary to absorb the narrow margins that Dell and HP must maintain on entry-level products.

That's not really the question, though. OEMs like Dell and HP routinely offer steep discounts on mid-range to high-end systems in order to attract high-volume enterprise customers -- and they still make a profit. If Apple DID care about IT (or perhaps if it simply understood the enterprise market), it would understand that enterprise customers are not consumers and they will not pay premium prices for PCs. But when they do buy, they buy in large enough volumes to make it worth their while.
-Marc

Have you ever met anyone using a Mac that wasn't passionate about their Apple product? They don't mind paying extra for the look and feel of the Apple products and love the interface, so why would Apple ever cut its profit margin in hopes of attracting newbies? It already has a dedicated fan base that's bringing up children and influencing others with their preferences.

Not for me though -- I'm hooked on Windows and prefer it even with all the security issues and OS flaws. It's what I use at work and prefer to use at play. Even if Apple cut its prices down to the $500 level, I'd be no more drawn to its product line as I'm sure many others would agree. Bet many others are worked up over this posting!
-Jee

Apple obviously doesn't care about a presence in the enterprise. Most line-of-business applications won't run on a Mac. There's little in the way of management, no good story for remote access. Even ignoring the price difference, there's too much functionality lost with Mac. They're fine for home users or business users who only need an Office app, but other than that, I don't see much of a role for them in business. For the foreseeable future, I'm a PC.
-Dave

I support PCs and am sick of the instability. If Macs are stable, the $500 premium is worth it. But are they? Based on what evidence?

As the lowly network admin, I'm not really that worried about money per se; the boss has to pay for it. I'm more worried about my own frustration regarding malware, users mucking where they shouldn't and general OS instability. If I could make a defensible claim of higher uptime, higher user productivity and lower support, I'd be interested in making the case. For now, we are moving to a dumb terminal configuration using Wyse terminals and Citrix.
-Milton

Interesting to note that Apple once dominated computers in elementary and high schools, but is now in second place to Dell in sales. Was Bill Gates smart to settle his antitrust suit by giving away PCs to poorer schools? Not only is he giving away PCs, Microsoft is providing millions of dollars in training and technical support for teachers to learn how to effectively use PCs. Smart move by Microsoft, but will Apple respond with affordable computers for these low-income students?
-Dan

Since I've always thought (with few exceptions) that Apple customers represent the best of the snobby, elitist, socially unconscious "arty" crowd, why would Steve want to stoop so low for the rest of us? Thank goodness laptops have gone down in price. Hey, maybe someday I can replace my old clunker.
-Anonymous

Apple taking its prices down to PC levels would destroy its business model, since it wouldn't be the cool, limited club that it is. Its fanboys would move on to something else if every Joe Six-Pack also owned an Apple; it wouldn't be special anymore. The coolness is a critical part of Apple's business success...at least for others. I'm too old to worry about coolness anymore.
-Bob

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Posted by Doug Barney on 10/20/20080 comments


Hyper-V Kicking Butt and Taking Market Share

Who would've guessed that a free hypervisor aimed directly against one costing over five grand (for a high-end edition of ESX) would quickly gain market share? If you said IDC, you'd be correct . This veteran research house says that Hyper-V, "when combined with Virtual Server 2005, helped Microsoft to capture 23 percent of new license shipments in 2Q 2008." That's great news for Microsoft execs. More

Posted by Doug Barney on 10/20/20080 comments


Patch Tuesday Hijacked

Hackers know that Patch Tuesday is a big day, a day when IT prods feverishly download patches and plug holes. It's also a perfect way to trick users into clicking on what they think is legitimate security information from Microsoft, but is instead a Trojan horse .

Is this clever? Not really. Dangerous? You bet! You might want to warn your end users about this one.

Posted by Doug Barney on 10/20/20080 comments


IBM Sales Far from Blue

IBM is bucking the recession, and is expecting its revenues and earnings to rise more sharply than the price of a New York Giants ticket. Revenue should be right around $25 billion -- which, if you multiply by four, gives a $100 billion run rate, enough to bail out one mid-size investment firm. Profits are also expected to be solidly in "kick-butt" territory.

What's IBM doing right? Insight welcome at More

Posted by Doug Barney on 10/13/20080 comments


Searching for Yahoo: Take Two?

One stock maven believes that the Wall Street collapse may reignite Microsoft's interest in Yahoo . The theory is that Yahoo is now far cheaper and the value of Microsoft cash is relatively undiminished.

This could well be true, though I still think buying Yahoo is a terrible me-too idea. And Microsoft has recently spent $80 billion buying back its own stock (a better investment than AIG, I dare say). Does Redmond still have the cash to snag Yahoo? And if not, can it borrow that amount in today's market? You tell me at [email protected].

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Posted by Doug Barney on 10/13/20080 comments


Gates Loses to Best Pal

Bill Gates and Warren Buffett have a mini-mutual-admiration society. They support the same causes (The Bill & Melinda Gates Foundation) and neither are as flashy as their wealth would indicate (compare either to Donald Trump and you'll see what I mean).

But for at least a decade, Bill has outpaced Warren for good, old-fashioned greenbacks. This year, Buffet finally turned the tables, and is now the richest man in the world.

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Posted by Doug Barney on 10/13/20080 comments


11 Patches Patching

Tomorrow will be a particularly busy Patch Tuesday , and once again remote code execution attacks are taking center stage, with no less than four fixes. Active Directory will get plugged, as will Windows Server 2000, Internet Explorer and Office.

Posted by Doug Barney on 10/13/20080 comments


Smarter Databases

It's been a bit of secret how much Microsoft has been pushing SQL Server 2005 and 2008 as a business intelligence (BI) platform. But Microsoft doesn't want it to be such a secret anymore, and has a range of new features to increase the IQ of BI in the next rev of SQL Server. Topping the list? New reporting and analysis services aimed not just at BI gurus, but rank-and-file managers and information workers. More

Posted by Doug Barney on 10/09/20080 comments


Real Security Needed for Virtualization

This isn't the first time this newsletter has warned about the need for better virtualization security. The whole issue is that virtualization is a relatively new form of computing (and yes, I do know IBM mainframes were virtualized in 1968), and many security tools haven't kept up. Add to that the fact that a single virtualized server can act as dozens of machines. Compromise that server and you can compromise the whole shooting match.

A new survey by security vendor nCircle Inc. shows More

Posted by Doug Barney on 10/09/20080 comments


Scareware Scams and Pop-Up Perils

Last week, I wrote about scareware , those pesky pop-ups that claim your PC is infected. Click the pop-up and you're either buying security or performance software you don't need and doesn't even work, or your machine is now infected and ready to cash it in.

I've been getting plenty of horror stories -- you can check out a few of them in yesterday's Mailbag section More

Posted by Doug Barney on 10/09/20080 comments


New Lease on XP Life

It might not be a reversal of XP's death sentence, but if reports are to be believed, XP did at least get a six-month reprieve and won't be yanked from OEM hands until July 2009.

Some say this is a bunch of hooey, but whether or not Microsoft has formally made the decision, I have to believe the company will offer XP as long as humanly possible. After all, people want it, Microsoft gets paid for it and the monopoly remains intact. Where's the downside? There isn't one.

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Posted by Doug Barney on 10/09/20080 comments


Mailbag: Vista Hardware Requirements, More

Here's one more scareware story to cap off the week. At least in this one, the user learns his lesson:

I have a boss, the company vice president yet, who has a bad habit of going places on the Internet that he shouldn't and clicking on things better left unclicked. In the past, I have been able to clean some of the scareware off his system, but the last couple of times I couldn't. The scareware folks had gotten smarter. The first thing they did was disable anything I could use to get rid of their work, such as Task Manager, the Run box, any malware or anti-virus products it could find, and even access to the c: drive (they hid it).

I basically told him that I couldn't get rid of the crap and that it would take me two days to reformat and reload his machine...two days during which he would have no access to his e-mail or anything else. Since the second two-day outage, he has been behaving himself much better.
-Phil

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Posted by Doug Barney on 10/09/20080 comments


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