Apple sprinkles graphics chips into its lineup liberally

APPLE the Cupertino, Calif.-based computer and gadget company is wading chest deep through a recession with a heavy load of pricey products on its back.

Apple's eye-catching designs--and power-sipping Intel (nasdaq: INTC - news - people ) processors--positioned the company well to capture a big chunk of that growth.

But while Apple's notebooks were hot sellers last year, average notebook prices are falling fast as the economy worsens.




Analysts estimate that the company's earnings will fall a little less than 1% for the quarter ended in December. Net income is expected to fall to $1.21, or $1.04 billion, from $1.16, or $1.05 billion, during the year-ago period, according to analysts polled by Thomson Reuters.

Sales are expected to rise to $8.2. billion from $7.5 billion during the year-ago quarter.The real problem is how Apple's portfolio of expensive gear--particularly notebooks--will fare as the recession starts to bite.
We already know Apple isn't immune to the recession; over the past six months, the company's shares have fallen by more than 50% to $82.33 from $171.81.

More worrying: Apple's slice of the U.S. computer market fell to 8% in the fourth quarter, from 9.5% in the third quarter, according to recent figures released by tech tracker Gartner.

Apple's eye-catching designs--and power-sipping Intel (nasdaq: INTC - news - people ) processors--positioned the company well to capture a big chunk of that growth.

But while Apple's notebooks were hot sellers last year, average notebook prices are falling fast as the economy worsens.

Apple should however make and market a consumer targeted unit that will hold to the companies tough standards and become the industry leader just as the iPhone or iPod.

Apple makes a great product, but market share is important for software developers and the Mac doesn't have it.Microsoft puts out a Mac version of Office to avoid going back to court over being considered a monopoly.
If not for that The Mac would be hard pressed for its elite status.