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Creative "Declares War"


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Creative "Declares War"
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ast3r3x
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Join Date: May 2004
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2004-11-17, 07:38

Article

I'm not sure this will be enough to help, although we all know if you advertise something/someone enough it apparently gains in popularity somehow.

If they start making an in-roads into Apple's market share, will Apple return in kind?
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Koodari
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Join Date: Jun 2004
 
2004-11-17, 09:53

Advertising is one thing, but make gains with that, they have to offer products that compare favorably to Apple's in some regard. The more competition in hardware and software, the better.

The only thing I could worry about is whether Apple cares enough about keeping their lead in music sales that they are ready to cut iPod margins to compete. If the competitors are serious, they will definitely compete strongly on price. If unchecked by Apple, that will establish a strong WMA device base at the lower end. Apple's fine and has an edge in the music player business as long as it maintains a clear lead for iTMS/AAC/Fairplay, but if AAC/Fairplay marketshare ever drops significantly, I find it likely that the pure inertia of the WMA camp will slowly push it out of existence. If Apple doesn't offer the low end / budget AAC player soon, they should seek a deal with some other company to make one. Shouldn't be too hard, since all the potential audience across platforms already has the frontend (iTunes) and the only thing that needs to be done is the player. It's all about playing safe, and avoiding the potential turning point of the network effect. I don't know whether Apple is pushing for other music stores to use AAC. That would definitely be a good move since it doesn't matter where the customer gets his AAC music, either way it means market for Apple's revenue generator iPod (and by extension Apple computers).
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kscherer
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Join Date: Aug 2004
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2004-11-17, 10:00

Creative has likely forgotten three things:

1) Apple also has deep marketing pockets and has put them squarely to use with the iPod.

2) Creative has yet to develop a user interface that even comes close to iPod's.

3) The Taiwanese know nothing about sex appeal!

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- Blessed are the peacemakers, for they shall be called sons of God. (Mat 5:9)

Last edited by kscherer : 2004-11-17 at 10:01. Reason: spelling
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