Alan Williams

Is the SEC Giving Apple a Pass on Disclosures?

Here's a thought.

All of the Mac computer models use OS X and they form part of the computer and software side of the business. That's a no brainer.

iPods require iTunes software in order to operate. Many would say that the iPod would not be the hit it is if iTunes wasn't the best MP3 player support software on the planet. The OS that runs the iPod was mostly written by Apple. OS X will soon power the top end widescreen video iPods. iPods are driving the growing number of switchers from Windows to Mac computers. The whole iPod line could be put into the computer and software side of the business since they are so intertwined with it.

Apple TV is a computer that runs OS X. It is used as a set top box but it is a stand alone computer by anyone's definition. That sounds like part of the computer and software side of the business to me.

The iPhone will use OS X for it's operating system. It has a CPU, storage, input and output capabilities, a display, runs programs and games and the list goes on. It also needs iTunes software to run properly. It may be a cell phone but it's also an iPod, a camera, a PDA and a computer. A case can be made that the iPhone is also part of the computer and software side of the business.

The retail end is and should be separate.

Let's face it, the hardware in the every manufacturers' computers, phones and MP3 players is all from the same sources. The difference between Apple's products and everybody else's offerings is great design and great software.

Everything they make is part of their software business.