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Enderle Group President Rob Enderle on reports Apple will release a cheaper version of the iPhone.
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Apple rumor mill is churning once again the Wall Street Journal reporting on plans to release its version of the iPhone.
In order to steal away customers from android growing market share I think -- It's inexpensive I found at the iPhone four S it's like hundred box so why would apple risk deluding the brands.
With the new budget model meet with cheaper parts here to release -- -- -- and -- president and principal analyst at the in -- group rob great to have you back on the show what.
Obama -- it does its -- great strategy to -- do you like yeah.
I don't like it at all -- that the nature of a premium brand for just what apple has is to make sure that all your products are premium products as soon as you start doing the value product -- -- the brand.
Our biggest test on that was with Cadillac and Lincoln -- elected something called the semi on.
A look at that did something called the -- back in the eighties.
And both almost killed those premium brands and since then the premium brands across all segments of look back of that that this is something we don't want to do.
Tim Cook didn't come of that training Steve Jobs was the marketing expert.
And right expert at apple Tim -- was a logistics guy and that we -- look at Tim and done.
How the -- did he ever get to be CEO he -- Yeah on the most powerful company intact so that I think the nature here is is Apple's looking across a Samsung competing very hard with Samsung.
And starting to adopt -- funds.
Up policies and practices and sounds like this abroad abroad brand of more about value Brandon -- Lebanese and -- looking out right now because -- -- -- share you what we've seen and it's just been a huge jump in 2011 and -- -- merger with 22% to Apple's thirteen if you look at what is happening 2012.
Samsung has jumped all the way to 31%.
A huge -- another 10%.
Meanwhile apple just ticked up two points to fifteen -- -- like Samsung has really eating their lunch and that apple should.
Go back to what has worked for them instead of trying to do this something right but maybe they can't maybe -- out of -- doesn't mean their trademark.
Was amazing innovation is that gone with Steve Jobs.
But you know that's what Steve Wozniak believes is when Steve Jobs passed a lot of the people that creative innovation with apple left the company.
And it but they were there to be with jobs and so the end result is is that what's left isn't capable of innovating.
Like jobs innovated the -- those recognize that Porsche which is another premium brand doesn't compete for marketshare with Volkswagen their different models.
The premium brands.
Really compete for margin.
Not for for volume and so as apple looks that Samsung -- says oh my god they're they're taking -- market share that is what that is.
-- that Romney's you're looking at the long battle.
Well then if they're looking at -- and they're doing exactly the wrong thing all across the board because.
Having a cheaper iPhone reminds me of -- -- had been breaks the margin you know it's the exact credit -- you get people buying committee because -- it's smaller it's easier it's cheaper.
And then you don't go out by an iPad they're cannibalizing their own market.
Exactly right they're there they're chasing Samsung rather than reporting Samsung to chase them that's -- Samsung -- Sony.
They forced Sony to chase Samsung and Sony lost that -- televisions Samsung's very good at this strategy here chew on apple announced that amount -- would not a -- for the us.
You -- so fantastic you have followed this for so long is it possible that apple has something up their -- something brand new we haven't thought -- -- And it's gonna come out -- our socks off in the next year or so are you hearing rumblings like that.
Now up everything I've I've got suggest that -- is starting to panic.
He's looking -- properties like Twitter.
He's he's looking it cheaper products to try to get is is stock price back up but he's getting to panic -- he doesn't know what to do.
And he recognizes that he's in way over is that -- organize running apple.
Would be outside of that the skills that if I would say 95% of experience CEOs they're out there and cook really wasn't the right got to begin what are right Robin -- thanks so much coming -- we appreciate your time it staff.
-- -- up next on my.
