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Apple COO Tim Cook Defends Company’s Lack of Netbooks

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During yesterday’s conference call to release Apple’s Q3 numbers, Chief Operating Officer Tim Cook stood by his previous assertion that Apple’s not in the market to make a netbook. At the same time, he noted that Apple’s recent laptop price cuts have helped move inventory.

According to Macworld, while many industry analysts expect that it’s only a matter of time before Apple competes in this segment of the market, Cook stated that he doesn’t see it happening any time soon.

“Our goal is not to build the most computers, it’s to build the best,” Cook told an analyst with RBC Capital. “At this point, we don’t see the way to build a great product for this US$399, US$499, this kind of price point unit.”

Pressed by a Morgan Stanley analyst for more details on a possible Apple netbook or iPhone-based tablet computer, Cook said, “I never want to discount anything in the future, and never want to specifically discuss new products.”

But Cook said that customers who buy such hardware are often disappointed with their purchases, and that Apple is focused on products with the best value.

“We’re only going to play in things where we can deliver things that are very innovative that we’re proud of,” said Cook.

During the third quarter, Apple sold 1.75 million notebooks, up 13% from the 1.553 million it sold last year during the same quarter. The strong laptop sales were boosted in part by an overhaul of the company’s laptop lineup at WWDC in June that included price drops.

Cook conceded that the average selling price (ASP) of Macs did fall somewhat in the quarter, but added that, “now you can buy a MacBook Pro for US$800 less than last year,” and that customers are happy with that strategy and pricing.

4 replies on “Apple COO Tim Cook Defends Company’s Lack of Netbooks”

When Mr. Cook mentions that Apple cannot afford to make a quality product like a netbook for a pricepoint of $399 $499, did he forget the price of a very high quality iPHONE????
Hmmmm, get with the picture and give customers not only QUALITY product, but also what they WANT and are willing to purchase!

Cook's comments make me think some sort of device between the iPhone and MacBook is definitely in the works. Personally I think it'll be a bigger Touch with a 16:9 wide screen display.

When Mr. Cook mentions that Apple cannot afford to make a quality product like a netbook for a pricepoint of $399 $499, did he forget the price of a very high quality iPHONE????
Hmmmm, get with the picture and give customers not only QUALITY product, but also what they WANT and are willing to purchase!

Cook's comments make me think some sort of device between the iPhone and MacBook is definitely in the works. Personally I think it'll be a bigger Touch with a 16:9 wide screen display.

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