Apple Inc (NASDAQ:AAPL) – reinventing apps for a larger slice of pie
Over the last decade, Apple Inc (NASDAQ:AAPL) has accrued a hoard of cash that is so massive that everyone from Wall Street right up to Washington is sitting up and taking notice. From a political viewpoint, many have criticized Apple for paying what some people feel are very low taxes in comparison to the massive profits it garners. From a business perspective, Wall Street has been breathing down Apple’s neck to actually put its $145 billion+, to good use. Possibly buy-back its stock, raise its dividend, or even make some acquisitions, instead of let it just gather moss. However, what is generally not noticed is that Apple has actually been spending a large amount of cash. It’s just not in segments that people have trained their sights on.
Some believe that Apple has been investing its cash on righting something that they should have a long time ago. It is now concentrating on offering its end –users its own services. Today, the most common things that people use their smartphones for is social networking and gaming. And iPhone users do that too. But are thy really using Apple’s services to do that? Well, not really.
There are a large number of studies and statistics that go to show how much time Americans spend on their mobile phones every day, on an average. It is said that people end up spending anything between 90- 180mins using their phones. And what’s important to note is that they are not just making and receiving calls. They are conducting business, educating themselves, instant messaging, managing finances, emailing, playing games and social networking. The last is one of the most prominent facts and more than 91% of mobile users use their devices to access social networks in comparison to 79% of PC users.
Breaking free from the PC
Social networking has been very effectively un-tethered from the PC and the trend seems to be an unstoppable one. Designers and developers of mobile phones and mobile applications will have to make this their focal point and ensure that the applications are user-friendly enough to ensure a larger user-base. Apple Inc (NASDAQ:AAPL) will have to reinvent itself on this front in order to keep ahead of the game.