Here are your Apple rumors and AAPL news items for today:
Harmony: It’s news that won’t bring joy to Microsoft (MSFT), but most people who have a Windows computer also own a device from Apple (AAPL), Business Insider notes. Morgan Stanley (MS) has compiled data showing that 70% of Windows users now possess an Apple product as well. The penetration of Apple products into the homes of Windows users has soared from under 30% in 2011, spurred by the growing popularity of iPads and iPhones. Apple’s Mac line of computers continues to occupy a niche share of the personal computer market, which Windows has dominated for decades. However, PC shipments have been declining for several years under rising pressure from surging tablet sales. Microsoft has entered the mobile device market, introducing its own Windows mobile operating system. Last year, it purchased Windows smartphone maker Nokia and launched its own line of Windows-based tablets.
Tussle: Apple has requested that a federal court judge remove the man tapped to monitor its compliance with an antitrust ruling over e-book sales, Reuters notes. U.S. District Court Judge Denise Cote ruled in July that Apple had conspired with five publishers to fix e-book prices on its iBookstore. The judge appointed Michael Bromwich to monitor Apple’s compliance with the verdict. However, Apple says that Bromwich has revealed a bias against Apple and should be disqualified. Apple has previously objected to Bromwich’s attempts to interview senior management and the level of his hourly compensation as external monitor.
Bad Move: An analyst says that building a cheaper version of the iPhone would harm Apple’s brand, AppleInsider notes. In a note to investors, Needham & Company analyst Charlie Wolf contends that a cheap iPhone would be an “insane idea” that would ultimately undermine Apple’s market position and erode its profits. Wolf estimates that Apple would have to take such a massive hit to its margins on any cheap iPhone that it wouldn’t be worth the investment and that a cheap iPhone would diminish the brand’s value to consumers. Many analysts have speculated that a cheaper iPhone could boost Apple’s position in emerging markets, which are flooded with cheap smartphones running Google’s (GOOG) Android OS. “The evidence suggests that Android users are switching to the iPhone in far greater numbers than users switching from the iPhone,” Wolf noted. He added the Android defections to the iPhone “will accelerate.”
For more about the company, check out our previous Apple Rumors stories.