Apple iPhone beat consensus estimates on all fronts

Apple defied Wall Street analysts again and delivered yet another stellar quarter, despite a terrible economic backdrop and component shortages. As a brief recap, Apple beat consensus estimates on all fronts: earnings, revenues, margins and units sold. Earnings of $1.82 beat by $0.40; margins of 36.6% were 260 basis points than guidance, revenues of $9.87 billion were well ahead of $9.2 billion consensus, and Apple sold more Macs and iPhones than in any other quarter. So, one wonders, is there any more upside to Apple’s momentous run? Yes.The iPhone phenomenon is poised to continue. First, the overall smart phone market is expected to grow over the next several years. The consultancy iSuppli estimates that the smart phone market will increase from 184.2 million units in 2009 to 235.6 million units in 2010 (28% growth) to 334.1 million units in 2011 (42% growth). Smart phones still only make up roughly 15% of the overall mobile handset market, leaving more headroom for the overall market to grow. Second, within the smart phone market, Apple’s smart phone market share increased from 7.3% to 13.3%, according to data from Gartner from the second calendar quarter 2008 to 2009. The impact on Apple of both an increasing market size and increasing market share is, obviously, significant. Apple sold 78% more iPhone in their FY09 over FY08. Much of Apple’s iPhone success has been attributed to the App Store. Apple leads the breadth of offerings with over 85,000 apps for users to choose from. Most interesting, however, is that the rate of adoption is accelerating. Apple management reported that over 2 billion applications have been downloaded from its App Store since its introduction in July 2008, and 25% of them were downloaded in this last quarter alone. The applications drive sales of iPhone. That is important. However, what may be more important is that the App Store creates a direct commerce relationship with the iPhone user that, someday, could be used to sell all sorts of things through the iPhone.

At Rapidsoft Systems who believes that high performing technical players are always surging ahead of the competition by doing one thing right – using information technology to build competitive advantage and market share. We use top rung technology and systems integration to provide technology R&D, IT diagnostics, systems integration, technical architectures, business intelligence and infrastructure consulting among others. Rapidsoft Systems is an approved software developer for Apple’s very popular iPhones. We have developed numerous applications for iPhones. We have developed a variety of applications for iPhones such as games, entertainment applications, medical applications and created advertisement supported games etc. With launch of Apple iPhone 3G launch, new era of technology experience has begun, due to flexibility to develop custom iPhone applications using iPhone SDK platform . iPhone OS is the world’s most advanced mobile operating system providing an amazing platform for creating the next generation of innovative mobile applications.Rapidsoft Systems has been working with Apple Mac applications for the last several years, and thus have expertise in iPhone Application Development. We were one the few companies in India that started doing Apple Mac software development in 2005, and have installed own Apple Macs for software development. Besides, application development, we also specialize in iPhone Content Development, HTML Pages, Graphics and iPhone Safari browser compatible web sites. We also use US based iPhone/ Apple Mac specialists for turnkey solutions. With over 350+ software projects executed, you can simply count on our expertise, experience in giving you the right solution at absolutely lowest possible cost.

This entry was posted on 23. October 2009 at 18:22 and is filed under outsource software product development, offshore software development, Industry News, Windows Mobile Development, Mobile Development, iPhone Development, Software Development. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response or trackback from your own site.