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March 17, 2008 5:37 PM PDT

NPD: Apple enjoys huge Mac growth in February

by Tom Krazit

Mac shipments were up dramatically in the fourth quarter of last year, and if recent NPD data is any indication, Apple's doing pretty well again this quarter.

AppleInsider spotted a research note from Pacific Crest Securities citing NPD Group data that Apple's Mac shipments grew 60 percent in February compared with the same period last year, while the entire market grew just 9 percent. NPD's data tracks computer purchases made at U.S. retail stores, which means it excludes much of Dell and all online purchases in general, but it does serve as a weather vane for the PC industry.

Shipments of Macs, like this new MacBook Pro, were up 60 percent in February, according to NPD.

(Credit: Apple)

Notebooks were the primary source of Apple's strength, according to the data, with shipments up 64 percent compared with a 20 percent gain for the overall market. But the difference between Apple's desktop shipments and the industry is stark: iMac and Mac Pro shipments were up 55 percent compared with last year, while industry desktop shipments declined 5 percent.

Amid all the economic concern of the past few months, this is good news for Apple, as strong Mac growth might be enough to offset worries about the iPod division. Gene Munster of Piper Jaffray issued a note Monday that Apple's iPod shipments are tracking below expectations right now, meaning if the trends hold Apple would see a year-on-year decline in iPod shipments for the first time in an awfully long time. Munster thinks the iPod Shuffle price cut will have stimulated demand by the time the final numbers are out, but that situation bears watching.

Mac sales grew by 44 percent in the fourth quarter, Apple reported in January. February marked the first full month of availability for the MacBook Air, and Apple added new chips and new trackpad features to the MacBook Pro and MacBook in late February.

Tom Krazit writes about the ever-expanding world of Internet search, including Google, Yahoo, online advertising, and portals, as well as the evolution of mobile computing. He has written about traditional PC companies, chip manufacturers, and mobile computers, spending the last three years covering Apple. E-mail Tom.
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Skewed
by HaloZero March 17, 2008 6:43 PM PDT
I think if you don't include Dell and HP online sales, your overestimating notebooks sales. Particularly because Dell's main sales come from its online store so your excluding them entirely. It only skews the percent of sales data, not the growth data obviously. Though it would have to exclude Mac online sales too, wouldn't it?
Reply to this comment
Yes... but....
by mreiher March 17, 2008 6:50 PM PDT
Yes, on-line sales are excluded. This is only retail sales of PCs.
But yes, it also should exclude Apple on-line sales and only
include what they sell from Apple stores and some Best Buys
since these are their only two retail outlets.

Either way... it looks good for Apple and like the other poster,
maybe it might help attract more developers in their court... but
then again... I think the iPhone platform may have already done
that. :-)
Online vs. Retail
by samkass March 18, 2008 5:24 AM PDT
Yes, the exclusion of online sales means these figures are meaningless for determining market share. All it necessarily means is that Apple sells more machines through their physical Apple Stores this year, while last year they sold those machines through their online store. It doesn't imply that Apple is selling more computers overall, although that's probably still true.
View all 2 replies
This changes nothing ...
by lkrupp March 17, 2008 6:43 PM PDT
Apple bashers won't change their opinions and the faboys surely
won't change theirs either.

But it's good for Mac users in general because more Macs and
higher market share means more web sites, software developers,
and hardware manufacturers will be forced to make their products
OS X compatible if they want to profit from that growing segment.
That's all I care about.
Reply to this comment
Oh, no?
by nicmart March 17, 2008 9:16 PM PDT
Didn't you just describe some ways in which it might change
things?
Which is a good thing :)
by Penguinisto March 18, 2008 8:46 AM PDT
While there are changes, they are (IMHO) positive changes overall.

/P
I used to bash Apple
by theoxygenthief March 18, 2008 1:08 PM PDT
I was a big windows fan, still know XP and Vista inside out, but recently started working on a Mac at work and I'm now busy switching at home. You can't say that's not change.
A thought to consider.
by Vegaman_Dan March 18, 2008 3:41 PM PDT
"and hardware manufacturers will be forced to make their products OS X compatible "

I'm not sure that is the right approach to take. I would prefer a manufacturer to want to produce a product that customers want instead of feeling they were forced to.

Anything that helps the Mac user out is a good thing, but at the cost of forcing OEM's to bow to another group's demands could be questionable.
View reply
That explains one thing..
by billmosby March 17, 2008 7:09 PM PDT
I thought our Apple store (Salt Lake City) had been getting mighty
crowded lately. A couple of years ago, business was brisk, but you
could get around in the store without too much trouble. Nowadays
you kind of need a shoehorn to get in there!
Reply to this comment
Store crowded
by bigduke March 19, 2008 6:56 PM PDT
Last year there was a disclosure of the sales density in Apple stores. A bit over $4000 per square foot. Sales density was a third greater than the runner up. For this year with more crowds and new machines I would expect the number would be significantly larger. And this is supposed to be a recession???

Our family just purchased a pair of Pro laptops to replace a 3400 laptop and G3. And we have money in the bank to pay in full when the plastic bill comes. They hate consumers like us...

duke
My personal experience....
by Galaxy5 March 17, 2008 7:14 PM PDT
I work for a large government agency concerned with things
atmospheric and exo-atmospheric.

Four people on my team this month switched to Macs. We're still
mostly PC, but when your data architects start going to the Mac
because it is easier, faster, and can use all the same tools....

I'll put it this way; in the past six months, we've gone from two
Mac users on a team of about forty people to ten people using
Macs. Everything we're developing is strictly platform-
independent, but the contingency of having x86 under the hood
for a Windows install (if necessary) is the insurance policy these
developers and managers need to accept the machines.

That's an insurance policy that they probably won't use, if the
rest of us are any indication.
Reply to this comment
Good point
by theoxygenthief March 18, 2008 1:12 PM PDT
I think the addition of Bootcamp is what is winning more customers over than ever. I for one feel a lot more at ease knowing that if all else fails compatibility wise I can just boot up the devil's playground. Fortuanately i haven't had to resort to such drastic measures yet.
i'm so sick of hearing "i"stuff
by plee9 March 17, 2008 7:53 PM PDT
ipod, imac, itunes, iphone, iiiiii...........
omg. it's so annoying.
Reply to this comment
no, . . I'll tell you what's annoying, . . .
by swiggins March 17, 2008 8:37 PM PDT
What's annoying is when people try and make little cutsie, funny
posts, when they clearly don't have a funny bone in their body. I
am 100% positive that a national poll would find you more
annoying than a new Macbook Pro.
... and we're sick of hearing from...
by KCL March 17, 2008 9:33 PM PDT
iDiots like you.
Ok, then, how's this?
by billmosby March 17, 2008 9:50 PM PDT
Apple is doomed, DOOMED!
Hee, Hee.
View all 2 replies
Maybe we should call...
by Galaxy5 March 17, 2008 10:17 PM PDT
The Waaaahmbulance for your poor, pitiful soul.
Well I do agree with you
by Lee in San Diego March 18, 2008 5:50 AM PDT
At least from non-Apple products or services. The i thing is Apple's
schtick and the others, as is often the case, are riding on Apple's
coattails.
Is it really that suprising?
by pilaa March 17, 2008 8:38 PM PDT
The Apple Mac line of PC's and notebooks are the most versatile of any personal computer on the market today. You can install pretty much whatever OS you chose without fear of hardware compatibility or giving up your existing Windows software investment. This, along with the fact that they put Intel under the hood, was a primary consideration for me to make the switch and is also the reason why I will never look back.
Reply to this comment
Never Look Back But Forwards
by kelmon March 18, 2008 1:51 AM PDT
Having made the switch about 5-years ago from XP to OS X I tend to agree but I definitely don't rule out making another switch if the benefits are worth the relative pain. Presently the Mac is the best personal computing platform going but that could change in the future if Microsoft turns things around, Linux continues to develop into a user-friendly OS, or if something entirely new arrives. Never say never.
View reply
love it.
by rajeshmail201 March 17, 2008 11:20 PM PDT
Apple products are hands down the best machines today in any industry, not just PCs, phones etc. My same sex partner and I love it. We watch movies together on iMac and the iPhone doubles up as a nice pleasure device. I am not surprised by this growth in their profits. I wish others (the remaining 90% of us) could also appreciate this product.
Reply to this comment
Uhhh...
by xcopy March 18, 2008 10:08 AM PDT
Please. No pictures of you two pleasuring yourselves with the iphony or releasing fluids on your imac.

I'm not gay, but I would like to release some fluid on Steve Jobs head, but I have to drink a few sixers to get ready first..
Oversharing
by theoxygenthief March 18, 2008 1:28 PM PDT
That was somewhat inappropriate.
No surprise
by igl00lgi March 18, 2008 12:36 AM PDT
We are going to be buying mac laptops this quarter. TCO for MS products forced us to make the switch. We consider the forced upgrades part of our TCO. We were burned when we purchased Vista laptops with no recourse.
Reply to this comment
up 60 percent !...
by AppleSuxLeo March 18, 2008 12:37 AM PDT
It`s like saying sales went from 100 to 160. Apple STILL only has 5% market share in USA and only 2.2 worldwide. Still a drop in the bucket compared to all the types of PC`s out there.
MSFT had quarterly net profits seven times greater than Apple !!! Apple and Jobs is a lot of hot air.
Reply to this comment
It is a matter of balance
by Lee in San Diego March 18, 2008 5:53 AM PDT
WinTel has 95% of "the product sucks" market.

Just because something is popular doesn't necessarily mean that it
is good or good for you.
Nice try
by Blad_Rnr March 18, 2008 7:02 AM PDT
Let's play the stats game, Leo. Windows computers are losing
market share. Net-Apps has confirmed this now for over six
months. Every month fewer Windows PCs are on the Internet.
And Apple's market share is more like 8-9% in the US. And they
are selling a huge amount of Macs right now when compared to
Windows PCs. Apple is cleaning house in the consumer market.
They may never be a huge player in the Enterprise, but who
cares? Apple would rather sell a computer where they make a
28% gross margin than a cheap PC box that barely makes any
money.

And how many people work for MSFT? More than four times
what Apple has (80K compared to 18K). That doesn't figure in
the equation?

Why are Windows zealots so scared of Apple? Just because more
and more people are buying Macs? Get over it. I would be more
concerned with the mountain of lawsuits MSFT has to address
(Novell) and the huge fines, like the one the EU passed down a
few weeks ago. That should tell you something about the
company you want so badly to defend.
AppleSuxLeo = Troll
by edgedesign March 18, 2008 7:48 AM PDT
Pay no attention to AppleSuxLeo. He's just a troll that loves to post
anything negative about Apple here on C|net. In another recent
post he was reliving the 90's and how MS saved Apple from certain
doom...LOL. He's out of touch with the reality that Apple is on fire
and gaining ground in several different sectors - computers, media
and now phones.
View reply
I question your math.
by gsavage777 March 19, 2008 1:27 PM PDT
"Apple STILL only has 5% market share in USA and only 2.2 worldwide."

"MSFT had quarterly net profits seven times greater than Apple !!!"

5% market share and MSFT has ONLY 7 times greater net profits??? Shouldn't it be WAY MORE than 7 times if Apple is so small? Like you claim?
Steve Jobs just released the iCrapper...
by AppleSuxLeo March 18, 2008 12:41 AM PDT
but it has proprietary plumbing and uses proprietary toilet paper...therefore it is a minor player in the crapper industry.
Reply to this comment
But now it can run Microcrap just as easy
by Peter Bonte March 18, 2008 3:31 AM PDT
i welcome our toilet overlord
AppleSuxLeo running iDummerthanshit
by theoxygenthief March 18, 2008 1:50 PM PDT
Go troll elsewhere, some people appreciate constructive discussion and you're getting in the way of that.
View all 2 replies
Microsoft sells computers???
by scarface74 March 18, 2008 3:57 AM PDT
Now go back and compare Apple's profits to that of Dell, Gateway,
Sony and Toshiba....you know...other computer manufacturers.
Reply to this comment
No they sell an OS
by Lee in San Diego March 18, 2008 5:57 AM PDT
MicroSoft sells the OS that is installed on Dells and those other PCs
View all 2 replies
No, MSFT is a Comedy Act Starring Steve Ballmer
by TheSmellyMoa March 19, 2008 9:46 AM PDT
Who but Monkeyboy can make us laugh?
pretty pointless
by a85 March 18, 2008 8:37 AM PDT
If you don't include online sales it's pretty pointless. Plus, the real question is "what's Apple's market share?"

Don't get me wrong, Macs are great (I've got one), but you pay a massive premium for what you get. The design is great, but for bang-for-your buck, Mac is not the way to go. Realistically, this is going to limit market share both in the consumer and business spheres. If all you want to do is surf the net or use Word, then why pay $1200 for a Mac when you can get a PC that does the same thing for $900? Everyday users and businesses are going to continue to think along these lines.
Reply to this comment
Apple is the best bang for the buck.
by ralfthedog March 18, 2008 8:51 AM PDT
Apple is the best choice for non enterprise class mission critical application. Apples are not manufactured out of the same garbage components used for making Dells. If you need a very reliable system, but don't need to pay for redundant hot swappable power supplies and such, Apple is your best bet.

If you just want to look up Grandmas formula for banana nut bread and play Turbo Pong 12 (Return of the blip), Get a cheep dell.
No the real question is....
by scarface74 March 18, 2008 9:15 AM PDT
What is Apple's net income...A company's major concern is always profitability and not market share. Why would Apple want to have more market share and be less profitable?
Not a premium
by theoxygenthief March 18, 2008 2:10 PM PDT
I'd like to hypothesise that you do NOT pay a premium for an Apple in effect. The big problem with Windows pc's in my experience is downtime and hardware and software failure. On my current home PC I have had RAM, Videocard, Harddrive, Motherboard and CD-rom failures in the past two years, and I do a lot of unofficial tech support for friends and family who have all had similar problems. And i'm not talking about cheap hardware either, most of it is top of the line stuff. Amongst my friends who have Apples on the other hand i have seen 1 hard drive fail and 1 Macbook pro completely destroyed by an unfortunate incident involving a cat and a mug of coffee, and zero or close to zero downtime or loss of productivity due to software.

Also, one of the main reasons i bought a PC in the first place was upgradability, yet in order to upgrade just about any component i'd have to upgrade the motherboard which would mean upgrading the CPU, the GPU, the RAM and what not as well, so i might as well buy a whole new computer.

And then there's that loss of productivity and downtime due to software.....again.
You make no sense
by a85 March 18, 2008 8:41 AM PDT
Your statement is illogical. I suspect you're making it up.
Reply to this comment
Blam!
by Penguinisto March 18, 2008 8:44 AM PDT
Holy damn... I wonder how the MSFT fanbois are gonna spin this one?

/P
Reply to this comment
Troll +1
by kojacked March 18, 2008 1:00 PM PDT
"Holy damn... I wonder how the MSFT fanbois are gonna spin this one?"

Sounds like you're the one spinning here... You assume that people who use Microsoft products (in your terms "Fanboy") actually look at this as a bad thing. Competition is good. Trolling is bad. I doubt you'll ever understand.
View all 2 replies
Good question.
by Vegaman_Dan March 18, 2008 3:43 PM PDT
I wonder how your comments will be considered- helpful or trolling?
View reply
I tried to wipe with Vista...
by SWK595 March 18, 2008 12:22 PM PDT
But it lacked driver compatibility.
http://www.engadget.com/2008/03/16/vista-sp1-sp1-toilet-
paper-hit-japan/
Reply to this comment
When Apple is Number 1 we can then
by ferretboy88 March 18, 2008 3:50 PM PDT
If Apple ever becomes number 1 then things will get really boring with every single person using the same computers like a bunch of clones. I like to build my own computers and I can make them faster and cheaper than anything apple comes out with. If Apple becomes the top dog then we can all say they are Nazi's and call Jobs Hitler(like people do with Gates and Microsoft). Once I bought my first Apple computer I really didn't enjoy being a part of the crazies(apple fanboys).
Reply to this comment
They'll never make it.
by Penguinisto March 18, 2008 4:08 PM PDT
That's the beauty of how things are fast becoming... no more monopoly abuse.

OSX, Linux, and (yes, even) Windows will likely show a lot of give and take as time goes on.

OSX will likely continue growing like gangbusters, Windows will be forced to improve or die after losing marketshare on this kind of curve, and Linux will continue to rise in use at its own steady pace.

Who knows? Maybe another OS entirely will rise as well.

/P
Apple is a niche product by choice.
by Vegaman_Dan March 19, 2008 6:15 PM PDT
That's not a bad thing. It's by choice and design. Any time you have a mainstream product, there will always be room and demand for an alternative. Apple fills this quite well when the rest of the world wants Linux and Windows. There's room enough for everyone to play.

Apple has chosen to be a niche market supplier and they fit that role very well. I don't think they *want* to be #1 and have to deal with all the headaches that would bring them.
View reply
Its not the point
by roark1 March 20, 2008 12:01 PM PDT
The same computer doesn't make you a Nazi, what you utilize
that computer for, creates the individuality you claim to be
striving for. It's like saying to a NASCAR driver, I can whip all of
your ***** in my Lamborghini. Well that might be true... what
isn't true is you building a better and faster Macintosh for less
money. Because the core of the machine lies an OSX, which is far
superior to anything Microsoft will come up with in the next 5 to
7 years. (the average lag time it takes for Microsoft to steal the
innovation Apple comes up with, and implements into Widoze)
Yes it true, Vista finally came up with all of the innovations us
Macheads have enjoyed for the past 5 years in Tiger OSX. But
have fun spending thousands of dollars on that framerate so you
can cheat in your gaming.
Reasons for Switching
by close5828 March 19, 2008 8:43 AM PDT
Quite possibly the #1 reason people who buy a new computer choose Mac over Windows is b/c they had a Windows previously.
Reply to this comment
That says it all
by Thomas, David March 19, 2008 4:30 PM PDT
eom
It's A Family Affair!
by Thomas, David March 19, 2008 4:28 PM PDT
XD
LMAO

Nice to see the old names back blasting each other again. Now
where did those other two go?
Reply to this comment
Comments are sooo funny
by digiguy23 March 19, 2008 4:59 PM PDT
I love reading all the moronic comments against Apple. Especially
when you have never used one. lol
Grow up you 10 year old children
Reply to this comment
Numbers may not be Useful
by emellaich March 20, 2008 10:26 AM PDT
I am looking to buy a new Mac soon, so I'm not a Mac-hater, but these numbers are likely to be quite distorted.

According to this article:
http://www.lockergnome.com/blade/2007/04/05/wrong-headline-apple-has-been-selling-computers-at-best-buy-just-expanding/

Apple went from a few best buy stores to over 200 last year.

According to this article:
http://vistasucks.wordpress.com/2008/01/12/best-buy-focuses-on-selling-more-macs-this-year/

Apple went from an estimated 230-270 stores at the end of 2007 to around 500 stores by the end of February.

So, I do believe in my gut that Mac sales percentages are increasing. However, its not clear how much of the reported statistic may be due to the addition of almost 500 new retail outlets since one year ago. The impact of new retail is unknowable. It could have led directly to a sales increase. Or it could have shifted some sales from the web to retail. Or it could be some combination of the two.

The quote that someone left from Steve Jobs shareholder meeting is more informative of the growth, but the number of year-to-year retail sales is really meaningless.

Michael
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