While the talk around town for computer business Apple has been its new iPhones, the company continues to do well with sales of its Mac computers.  This core part of its business will continue to be a strength for Apple and will protect the company against backlash if the iPhones do not perform as expected.  

Investors, focused on the computer business’ iPhones buzz on the whole overlooked the decline in sales of iPods last quarter.  Many also missed the fact that its core computer sales bolstered sales and kept Apple on top.

Because of the company’s announcement that iPhones would be coming out soon, investors have recently not been paying attention to the overall health of the company.  The iPhone brings with it many risks for the computer business.  Customers may not want to break current contracts and also the device could start out with some glitches that might not be worth the high price.  However, many are positive about the IPhone because Apple has continued to grow, with much thanks from its ever-improving computers year-to-year.  In fact, the Mac business has increased 36% from last year.  

Those investing in Apple stock will see Mac sales increase as the start of the school year approaches.  Similarly, the release of Adobe CS3 and Leopard in the fall will see more flocking towards the computer business.  Apple is expected to have long-term value in great part because of its ability to easily create and play digital video content.  

Mainstream users are starting to buy Macs to make dealing with iPods and the prevalence of Apple stores more convenient.  Apple is expected to use its diverse product line to create better distribution for video and music, and the iPhone will hopefully become another successful device for the computer business.  

Blogged By:  Joshua Feinberg