| | May 26, 1999: Apple's board brings in fresh blood, and it's khaki-colored. Meanwhile, iMacs have already started to surface in Sears, and an IBM executive reveals a sordid past of Microsoft nastiness in preparation for next week's return of "Redmond Justice..." | | |
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And Then There Were 7 (5/26/99)
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If you've been thinking that Apple's board of directors has been way too static lately, you're in luck. We're pretty sure that ever since the coup d'etat that revamped the whole board way back in August of 1997, the line-up has remained the same-- until now. Apple issued a press release announcing that they've added a new face to the board, bringing the total to seven; please welcome Mr. Millard Drexler, the CEO of Gap Inc.
Why is this interesting, you ask? Because Drexler has absolutely nothing to do with the computer industry (and we refuse to capitalize on an easy pun involving "soft wear"). Instead, his company sells clothes-- lots of clothes-- to the mainstream consumer market, which is the same market Apple's trying to court with the iMac and the upcoming consumer portable that may or may not be called the iBook. Coincidence? Piffle. As a Mac Observer article deftly points out, the addition of Drexler to the Apple team is likely indicative of Steve's grand vision of "Apple: The Sony of Computers;" in their words, the choice "shows that Apple is far less concerned with being a computer company and far more concerned with continuing to transform Apple into a consumer/fashion/appliance/information/etc. company." Like it or not, this may another step in a brave new direction.
Personally, we at AtAT are happy to see a change on Apple's board. Sure, we understand the whole "if it ain't broke don't fix it" concept, but in general, we think change is an inherently positive force overall. And the fact that Drexler is bringing in a vast wealth of knowledge regarding how to sell products to the average consumer really gives us hope that he can strengthen Apple's position in that competitive market. Plus, we're interested to see whether Gap khakis will soon be available in fruit flavors or if we'll spot any "iMacs Swing" commercials on TV...
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Shaky Out Of The Gate (5/26/99)
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Memorial Day weekend quickly approaches, and many of us in the U.S. are looking forward to a three-day weekend; a whole extra day to kick around the house, maybe defragment the old hard disk, apply a fresh coat of varnish to the garden gnomes, etc. But Apple-watchers have another reason to await this weekend with anticipation: it marks the debut of the iMac in over 800 Sears retail locations nationwide. Considering the recent fiasco at another consumer-oriented nationwide chain, Sears is probably Apple's best chance right now to get iMacs (and, eventually, iBooks) in front of as many consumer eyeballs as possible.
So we're all hoping that Sears doesn't drop the ball on this one. They have a less-than-stellar past when it comes to selling Macs, and the dollar signs that the iMac's success represents is, unfortunately, no guarantee of a change of attitude. (COUGH Best Buy COUGH) Is it any wonder, then, that we're just a little nervous to read over at iMacInTouch that iMacs have already started to appear in certain Sears stores? We don't mind that they're there (unless, of course, they're not supposed to be displayed yet), but a couple of the eyewitness reports are somewhat troubling. For one thing, why are the iMacs in a South Carolina Sears priced at $1299? And why are there iMacs on display in a Massachusetts Sears at all, if there's "no promo material, nor kiosk of any sort"?
Are these isolated start-up glitches, or symptomatic of a bigger problem soon to become painfully apparent? Another retail debacle would be crippling right about now, but we assume Apple knows that, too, and will do everything they can to make sure the Sears iMac-buying experience is a positive one. Right?
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Ugly Threats, Tasty Snacks (5/26/99)
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With only a few more days until "Redmond Justice" heads back into the courtroom, you can bet that fans of the antitrust melodrama are getting prepared: we expect the country will see a sudden spike in the money spent on snack foods and carbonated beverages as people gear up for justice parties everywhere. Don't be late to the supermarket, or the sight of empty shelves in the junk food aisle may force you to break into your secret Y2K stash of Doritos and Tater Tots. And also don't forget to prime yourself with the latest pre-game news from the out-of-court depositions taking place this week-- of particular interest is an IBM exec's testimony that Microsoft wielded the big, bad monopoly stick when the PC maker supported Netscape's browser over Internet Explorer.
Faithful viewer and antitrust fan Jerry O'Neil pointed out a CNET article which details how Garry Norris, IBM's former "director of software strategy and strategic relations" (geez, we have to imagine that he'd have needed a "continued on back" to fit that title on a business card) is expected to reveal how Microsoft threatened to yank IBM's Windows license if Big Blue didn't agree to lessen its support for Netscape Navigator and other software products that compete with Microsoft wares. Reportedly, when Microsoft's Joachim Kempin was negotiating with Norris about this stuff, he went so far as to say, "you can buy [Windows] at retail." Ouch! Talk about hardball.
This testimony cuts right to the heart of the matter, since the Big Nasty Evil that Microsoft is accused of committing involves using their monopoly power in one market (operating system sales, in which Windows has a greater than 90% market share) to crush competition in other markets (web browsers, groupware technology, etc.). As far as we know, up 'til now no PC manufacturer has gone so far as to testify that Microsoft flatly threatened to cancel a Windows license unless other Microsoft technologies were promoted ahead of the competition. So we can all expect some serious fur to fly when the case goes back to court next week. Start thawing those Pizza Rolls and make sure you've got enough ice for drinks...
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