It is believed that the latest PC sales estimates don’t account for Apple Inc. (NASDAQ:AAPL)‘s growing international share even though estimated Mac shipments have declined 0.2 percent year after year according to IDC. After publishing preliminary estimates this week, a slight delcine for Apple still looks better than an overall market slide of 4.5 percent for the PC market as a whole.
But as Apple Inc. international estimates were not offered by IDC, Wells Fargo analyst Maynard Um has made it his mission to bring the global Mac market to the attention of investors. He believes that international business is growing faster than U.S. based business for the Cuppertino company. The firm has focused on opening many new retail stores outside of the U.S. and the company still has plenty of room to grow as it currently holds a smaller share of international sales.
Most market watchers, however, believe that Mac sales will taper off in general because of the popularity of tablet devices like the iPad—cutting into the PC market beyond a reasonable belief for increase in computer sales. But even if there is a slight bump in demand, the potential it could have had to raise revenues is still hampered by a limited availability of redesigned iMacs, with Apple Inc.(NASDAQ:AAPL) issuing 3-4 week estimates for new online orders and substantial 7-10 day estimates for smaller 21.5 inch models. A new assembly process that requires laminating the display to the machine’s cover glass is may be costing Apple time it just can’t afford in this market, as it was expected it would be in short supply even before launch. Apple is currently only able to produce 100, 000 units of the 27-inch model each month and reseller inventories have remained completely barren.
There is a serious potential for sales of the iMac to take off once these issues are resolved. There’s a serious gap in the market when it comes to coveted new devices this year on the Windows side of the PC vs. Mac battle. Reviews for the iMac have been in the good to excellent range, with PCMag’s Joel Santo Domingo noting that as an entry level desktop, it has more in common with midrange desktops of the same ilk and that it is a great choice for those who want to avoid the Windows 8 debacle that is currently plaguing would be PC buyers who do not want to upgrade to touch screens. He declared it an Editor’s Choice for midrange all-in-one desktops in late December despite its not quite entry-level pricing.
Greater availability of the iMac is projected for next month as LG is moving toward better manufacturing yeilds of this laminated screen. It is hoped that this development will address the serious issues in iMac production leading to shorter shipping estimates and more satisfied consumers.
Actual Apple Inc.(NASDAQ:AAPL) sales for the quarter will be released on January 23 in Apple Inc.’s earnings report. NPD data suggests that 4.8 million Macs may have been sold over the holiday quarter.
