Sunday, November 8, 2009, 6:58PM ET - U.S. Markets Closed.

Apple Flubbed MobileMe, But the Mac Is Making Inroads Into Enterprise Market

Posted Aug 20, 2008 07:30am EDT by Dan Frommer in Investing, Computers, Internet, Software and Services, Products and Trends

Give Apple (AAPL) credit for making up for (rare) bad service: The company emailed MobileMe email/syncing customers this week, informing them that they'll be getting 60 days of free service in addition to the 30 days of free service most already received.

From Apple's support site:

The transition from .Mac to MobileMe was rockier than we had hoped. While we are making a lot of improvements, the MobileMe service is still not up to our standards. We are extending subscriptions 60-days free of charge to express appreciation for our members’ patience as we continue to improve the service.

Apple launched MobileMe -- an ambitious update to its old .Mac service -- in July, alongside the new iPhone 3G. Neither has gone flawlessly: MobileMe was a dog and permanently lost some subscribers' email, while the new iPhone reportedly has a radio transmission bug that's made phone and Internet communication flaky for some owners. (Including us.)

In the accompaning video, Henry and I talk about this uncharacteristic misstep for Apple, as well as some better news for the company: A record quarter for Mac sales and a growing presence in the enterprise market. Can Apple fill the gap left by Windows' crumbling hegemony? Or will Dell and HP finally figure out that it's all about design and beat Apple on price?

See Also:
Apple's iPhone 3G A Month Later: Excellent, But Not Euphoric
Best Buy To Sell Apple's iPhone Next Month
Three Million 3G iPhones Sold? Sure, Why Not?

29 Comments

stijl
stijl - Wednesday August 20, 2008 09:24AM EDT

Looking forward to September!

ussinvest
ussinvest - Wednesday August 20, 2008 09:31AM EDT

I think Apple should seriously rethink the name, too many users out there are reliving nightmares of the old WindowsMe. As I recall, it didn't work out too well for Microsoft either. =)

Nathan
Nathan - Wednesday August 20, 2008 09:55AM EDT

The most expensive iMac (24" Monitor, 3GHz Core 2 Duo, w/2GB RAM, 500GB Hard Drive) is only $2,199, not the absurd $3,000 figure this so called Apple expert was spouting off. Get your facts straight. It makes you look like an idiot.

you
Yahoo! Finance User - Wednesday August 20, 2008 10:24AM EDT

finally! a pro-apple discussion by Henry Blodget!!! it's seems like it's been, oh i dunno 3 hours or so... techticker should just cover Apple and Yahoo! 24 x 7. this appears to be their sweet spot.

you
Yahoo! Finance User - Wednesday August 20, 2008 10:35AM EDT

honestly, i don't think blodget 'gets' the enterprise space... i don't think as many companies as he thinks are opening up it procurement to macs... while people may use a lot of browser stuff, and yes, macs can run Office, but there are still a tonne of apps that comapnies deploy that they'd now have to support on both platforms and that woudl be a nightmare... that said, i think henry's sitting on a portfolio consisting of Apple and apple only, so i don't see him ever confronting the reality in the enterprise space...

you
Yahoo! Finance User - Wednesday August 20, 2008 10:40AM EDT

so funny. the person being interviewed basically says, "Henry - the enterprise space isn't the sweet spot that apple is going after - it's the high end consumer looking to use web apps that wants a fancy hip device". Henry's follow-up, "good point, so they're likely to enter the enterprise space any day now in a big way and win the enterprise". do you not listen Hank? why interview people if you'll simply take the conversation where you want to take it... regardless of what your guests have to say? BRING BACK AARON TASK!

Tommy
Tommy - Wednesday August 20, 2008 10:56AM EDT

Mac growth has been amazing the past couple of years. People are finally coming to realize the benefits of owning a Mac. If you need to run Windows on it you can. Macs are the best bet for your money. Mac OS X, Window, and Linux one one machine! A useful site for anyone thinking about buying their first Mac is switchtoamac.com

JMMX
JMMX - Wednesday August 20, 2008 10:59AM EDT

You are wrong about the Mac Mini. It is a great option for the enterprise as a general purpose business solution. You have to remember that not only do Macs require less maintenance, but they tend to stay in service much longer than PCs. So that extra year or two of service more than pays for a small price differential. Not to mention money saved on less service. Buy it with the memory you need. This type of computer does not need any upgrades. This is not what you want for video processing, only for general office work. Heck - my 10 year old G3 is still serviceable for that kind of work.

Stank
Stank - Wednesday August 20, 2008 11:10AM EDT

Can anybody tell me if they've experienced problems w/ the new imac? I think i have recieved a lemon and apples wonderful customer support will not do anything for me because it's been a little over a yr. The problem i am having is I have diagonal lines on the monitor. I have owned other monitors for 8 yrs or more and never had this problem.

you
Yahoo! Finance User - Wednesday August 20, 2008 11:16AM EDT

I'm sick of hearing about apple! This can only end badly for this hysteria driven stock.

you
Yahoo! Finance User - Wednesday August 20, 2008 11:24AM EDT

Diver Down, The only problem with your post is that HP and Dell both sell similarly equipped products for about $500.00 LESS.

KH
KH - Wednesday August 20, 2008 11:30AM EDT

As an alternative to talking heads, read some blogs that make some sense of the issues at a real analytical level, such as the one below: http://lairigmarketing.typepad.com/lairig_marketing/2008/06/can-apple-do-bu.html

you
Yahoo! Finance User - Wednesday August 20, 2008 11:33AM EDT

When is the new apple store in Little Rock's start up date? Is it still scheduled? Any information will be appreciated. Arkansas needs a Mac store. This old dinosaur can hardly wait.

ussinvest
ussinvest - Wednesday August 20, 2008 11:58AM EDT

If you want to see how the Mac is going to break into the enterprise market take a look at VMWare's Fusion product. You can run the Windows OS (or any other OS for that matter) inside a virtual machine that will behave exactly like a Windows PC (like the Parallels add-on). However, VMWare's twist is that you can run a seemless Windows application on your Mac desktop just like it was installed on your Mac, the benefit being that the Windows application (ie Office) will run in its native environment but will appear to you to be a seemless window not bound to but independent from your Windows virtual machine. This to me points the way toward Mac entering the enterprise, but the costs associated with licensing all the software would have to be significant, enough to deter most corporations from deploying it (imho). I would welcome the views from users running Parallels and how they see it comparing to VMWare's product.

David
David - Wednesday August 20, 2008 01:15PM EDT

Hank does not listen.

Jim
Jim - Wednesday August 20, 2008 01:48PM EDT

Right on ussinvest! MobileMe is a stupid name, reminicent of WindowsMe, which was a bad product with... a stupid name. As a longtime subscriber of .Mac, I'm not sure I want to continue with "Anytproduct_Me". I'm just not that narcissistic, and I am offended by those who are.

__A_YAHOO_USER__
__A_YAHOO_USER__ - Wednesday August 20, 2008 01:50PM EDT

Apple is heading to the top. There going to have 20% of the personal computer market in another year/yr 1/2. Buy it. They know how to grab customers early in life, thats what I notice. Macs in plenty of schools and even some colleges like Full Sail require and is included in the tuition, a $2700 macbook pro! About 2 million dollars a month in laptops just for that school.

Brian
Brian - Wednesday August 20, 2008 02:24PM EDT

It's not just "design", it's about quality, well manufactured products and a superior operating system geared toward ALL users NOT just the developer. Hey, no one does everything perfect all of the time. But one thing is sure, Dell products are substandard, at ANY price, HP's are not much better. And since they don't have a decent OS, well, what do they offer but "cheap"? "Hey, I've got an old Yugo I'll sell you cheap." If they want to know how to build products they need look no further than the IBM Thinkpad (Lenova), except for that silly eraser head thing. But a well built machine. Now, if it could just run Mac OS.

Charles H
Charles H - Wednesday August 20, 2008 02:33PM EDT

The comments that there are a ton off apps that only run on a PC forget that the Intel Macs can be partioned to run both Mac OS and Windows OS. Therefore the advantage clearly goes to Mac and look at whose buying them. Younger generation is flocking to MAC. PC is not dead but they have an uphill battle thanks to Vista.

DavidK
DavidK - Wednesday August 20, 2008 02:53PM EDT

i'd rather have an apple IIe than a brand new windows PC...

Yahoo! reserves the right to refuse, or remove any comment that does not comply with the Yahoo! Terms of Service. The submission of spam, hateful, or obscene messages may result in the termination of your Yahoo! ID.
About Tech Ticker - Send FeedbackDisclaimer. Copyright © 2007 Yahoo! Inc. All rights reserved.
Copyright/IP Policy - Terms of Service - Privacy Policy - Help
Quotes delayed, except where indicated otherwise. Delay times are 15 mins for NASDAQ, NYSE and Amex. See also delay times for other exchanges.

Quotes and other information supplied by independent providers identified on the Yahoo! Finance partner page. Quotes are updated automatically, but will be turned off after 25 minutes of inactivity. Quotes are delayed at least 15 minutes for NASDAQ, NYSE and Amex. See also delay times for other exchanges. Real-Time continuous streaming quotes are available through our premium service. You may turn streaming quotes on or off. Fundamental company data provided by Capital IQ. Financials data provided by Edgar Online. Historical chart data and daily updates provided by Commodity Systems, Inc. (CSI). International historical chart data, daily updates, fund summary, fund performance, dividend data and Morningstar Index data provided by Morningstar, Inc. Analyst estimates data provided by Thomson Financial Network. All data provided by Thomson Financial Network is based solely upon research information provided by third party analysts. Yahoo! has not reviewed, and in no way endorses the validity of such data. Yahoo! and ThomsonFN shall not be liable for any actions taken in reliance thereon. All information provided "as is" for informational purposes only, not intended for trading purposes or advice. Neither Yahoo! nor any of independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. By accessing the Yahoo! site, you agree not to redistribute the information found therein.