[HN Gopher] The Apple $2T Economy
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       The Apple $2T Economy
        
       Author : zdw
       Score  : 35 points
       Date   : 2023-09-04 21:28 UTC (1 hours ago)
        
 (HTM) web link (www.asymco.com)
 (TXT) w3m dump (www.asymco.com)
        
       | oflannabhra wrote:
       | Horace is one of the better thinkers regarding Apple's business.
       | He consistently ranks relatively high amongst the independent
       | analysts at predicting Apple's quarterly earnings, although to be
       | honest I don't put much stock in that.
       | 
       | He did a lot of analysis to determine how many active devices
       | Apple had in the world before Apple even started reporting those
       | figures.
       | 
       | He was one of the only analysts who understood Apple's position
       | and scale, as well as some of the internal culture that helped
       | explain a lot of their seemingly abstruse decision making.
       | 
       | Recently he got really focused on "micro-mobility" (ie, Bird/Lime
       | scooters, etc) which hasn't really been as earthshaking as he
       | predicted, but he's been mostly proven right about Apple.
       | 
       | It's unreal to see the scope of Tim Cook's Apple (or the iPhone
       | Apple if you prefer).
        
         | brailsafe wrote:
         | > Recently he got really focused on "micro-mobility" (ie,
         | Bird/Lime scooters, etc) which hasn't really been as
         | earthshaking as he predicted, but he's been mostly proven right
         | about Apple.
         | 
         | What was his prediction? Seems like that's only increasing in
         | popularity as people realize cars are like the most absurdly
         | wasteful, lazy, and/or excessive methods of transportation
         | imaginable for most daily activities, but it would depend on
         | where you are and what your real requirements are.
        
         | mschuster91 wrote:
         | > Recently he got really focused on "micro-mobility" (ie,
         | Bird/Lime scooters, etc) which hasn't really been as
         | earthshaking as he predicted
         | 
         | Mostly because of antisocial behavior of all sorts: people
         | thinking that scooters were similar to bikes so you could drive
         | them while wasted, random youth groups throwing them off of
         | bridges, into waterways or otherwise destroying them "for the
         | lulz", inconsiderate dumb fucks parking their scooters right
         | where they stepped off, or companies that plastered scooters,
         | bikes and cars over entire cities without coordinating with any
         | authority beforehand.
         | 
         | All of that led to a massive amount of public resentment and
         | subsequent regulation that impeded usage (e.g. no-park-here
         | zones, speed limits during the night and sobriety tests to
         | reduce the risk for drunkards, requirements to force people to
         | submit parking photos), and on top of that come the sometimes
         | ridiculous "unlock fees" or absurd pricing of 20-30 ct/min or
         | more. Public transport tickets cost less than that.
        
       | seydor wrote:
       | Paypal transacted 1.3T in 2022. Paypal's market cap is 69B, apple
       | 2960B
        
         | megablast wrote:
         | That is all paypal does. Apple does a couple of other things.
        
         | voz_ wrote:
         | This is a non point?
        
       | oblio wrote:
       | [flagged]
        
       | translucyd wrote:
       | 2% of the world's GDP? Holy s#!%.
        
         | creer wrote:
         | And the Visa system US$6.8 trillion in 2014 says wikipedia 9
         | yrs ago as opposed to yrs from now for Apple, and China's
         | UnionPay still more, etc, etc. Sure these are big numbers and
         | Apple's are not particularly crazy. And like market cap they
         | don't have much to do with much else.
        
         | nine_k wrote:
         | But $2T is market capitalization, not yearly sales.
         | 
         | This mostly means that AAPL is seen as a safe asset to park
         | large amounts of (fiat) money.
        
           | kyruzic wrote:
           | At least read the article before commenting. It's talking
           | about the total transactional value of the app store. Not
           | apples market cap.
        
             | nl wrote:
             | While the comment you are replying to is wrong, this
             | comment is also incorrect.
             | 
             | > this data includes payments which are not captured by
             | Apple directly. In the words of the authors, "More than 90%
             | of this figure originated from transactions that did not
             | happen through the App Store, meaning that these amounts
             | accrued solely to developers and other third parties, and
             | that Apple collected no commission on them."
        
           | tracerbulletx wrote:
           | The article is about an estimation of the total volume of
           | transactions going through apps on the app store, both in the
           | app store and outside of the app store direct to the app
           | publisher. It's currently at 1.1 trillion, they're projecting
           | given the growth rate it could be 2 trillion in 2 years. That
           | is the figure being discussed.
        
           | eucjejcjwjf wrote:
           | Market cap has absolutely nothing to do with the article and
           | the (fiat) take i ungrounded.
        
         | candiddevmike wrote:
         | Break them up, way past the point of too big
        
           | Someone wrote:
           | FTA: _"More than 90% of this figure originated from
           | transactions that did not happen through the App Store,
           | meaning that these amounts accrued solely to developers and
           | other third parties, and that Apple collected no commission
           | on them."_
        
           | nl wrote:
           | From the article:
           | 
           | > this data includes payments which are not captured by Apple
           | directly. In the words of the authors, "More than 90% of this
           | figure originated from transactions that did not happen
           | through the App Store, meaning that these amounts accrued
           | solely to developers and other third parties, and that Apple
           | collected no commission on them."
        
           | _Parfait_ wrote:
           | Reactionary and meaningless. Break it up into what?
        
             | folmar wrote:
             | Phones, computers, software, consumer electronics, digital
             | services, marketplace.
        
               | HFguy wrote:
               | Why this is right? You just responded with a list of
               | their product lines?
        
           | scarface_74 wrote:
           | So exactly how would you "break Apple up"?
        
             | EGreg wrote:
             | Once they get bigger than the US government (not the
             | country, the government) they wouldn't be able to do
             | anything to Apple.
             | 
             | And even now, Apple can just relocate, as Microsoft
             | threatened to do.
        
               | ThunderSizzle wrote:
               | Then just tax them to hell (aka tariff Apple imports if
               | they move out of the country significantly) if that's the
               | game these companies want to play. They need the US
               | customer base and investment base more than the US needs
               | Apple.
        
             | thenewwazoo wrote:
             | Exactly how they break themselves up: iPhone, Mac,
             | wearables, services, and so on.
        
               | brokencode wrote:
               | I don't think so. Apple is not a monopoly in any of those
               | spaces, and has plenty of competition on all fronts.
               | 
               | One of the big things that makes Apple products so
               | compelling is the integration and shared engineering
               | between them.
               | 
               | For instance, Apple made some of the best processor cores
               | over the course of a decade for the iPhone. Now, variants
               | of those cores are used in everything from the Apple
               | Watch to the Mac.
               | 
               | Also, when you buy an iPhone app, it will often also work
               | on the iPad and Apple Watch with tight integration and
               | syncing.
               | 
               | To break the company up on product lines would
               | significantly worsen the products. It would make the
               | products less competitive worldwide and likely hurt the
               | US economy. I think this would be a nonstarter for
               | regulators.
               | 
               | If regulators want to go after anticompetitive practices,
               | they would more likely force Apple to make changes to App
               | Store policies, which are in many cases incredibly
               | unfair.
        
               | mschuster91 wrote:
               | > For instance, Apple made some of the best processor
               | cores over the course of a decade for the iPhone. Now,
               | variants of those cores are used in everything from the
               | Apple Watch to the Mac.
               | 
               | Regulators could force Apple to sell their CPUs (if as
               | hardware or as IP license) under fair conditions to
               | willing buyers, or to open up macOS, iMessage, Facetime
               | and Find My iDevice to competitors' products.
               | 
               | That way Apple could still enjoy the benefits of having
               | tightly integrated hardware and software, but the rest of
               | the world could enjoy high performance ARM systems as
               | well, thus _finally_ providing some actual competition to
               | Intel and AMD.
        
               | moralestapia wrote:
               | I'm not an Apple shill but that would be extremely
               | detrimental to users.
        
           | mustafa_pasi wrote:
           | Of all the big tech companies Apple is the most innocuous.
           | There have no monopoly in any of their sectors and you can
           | just ignore them if you wish, as I do, without any
           | consequences.
        
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       (page generated 2023-09-04 23:00 UTC)