Great piece by M.G. Siegler on how Apple is looking more like an oil company all the time.
$18 billion. Profit. One quarter. Pure insanity.
How insane? It’s the highest earnings for a company in a quarter… ever. And it sets Apple up to post the most earnings for a company in a year… ever.
Sounds like an oil company, right?
Forget Apple going bankrupt. Forget the iPod being silly. Forget the Apple Stores never working. Forget the iPhone going nowhere. Forget the notion that Apple won’t make it without Steve Jobs. Forget the calls to fire Tim Cook. Apple now sits firmly atop the business world with no peers.
But Apple is beginning to look much like other successful companies in the past.
So the question is: where does Apple go from here? My old joke was that they’d have to become an oil company. It’s not so funny anymore.
Oil company? Right now, Apple’s business is oil in the sense that a formerly diversified company is becoming less diversified. Apple needs another big product to prevent it from becoming like an oil company. What product?
Or it’s possible that it does exist right now and it’s a market waiting for the catalyst that the iPhone was for smartphones. And it’s fun to think about what it could be. But it’s impossible to know. Even Apple didn’t know how big the iPhone business would become.
It won’t be a watch. Maybe the product itself isn’t a product at all. Ecosystem?