Apple was first founded on April 1, 1976 in a garage in Cupertino, California by two long time buddies Steve Jobs & Steve Wozniak. They created the first Apple computer in 1976 calling it the “Apple 1” back then it was simply an assembled circuit board. There was no case, monitor or any basic features of a modern computer. If you wanted Apple written in on the computer you had to hand carve it in and place it in your own case that you made, probably made from wood. It has no operating system, no mouse, no HD graphics. If you wanted to do anything on the computer you had to type commands in into the command prompt a long and tedious process that would take far too long for any regular person at home to use. This lack of usability of the first modern computers was the driving factor of why many investors could not see the PC taking off anytime soon. They could not see the future, but Apple could.
During Apple’s heyday of innovation in the early 80’s all the way into the early 2000’s they were the leader. No one could outpace Apple in design ease of use or popularity. The Apple logo became a symbol of clean refined design. They revolutionized the phone and the computer as we know it. Changing how we look at a mobile phone, from a piece of technology limited in its capabilities to a device unlimited in its capability. These were the things Apple was known for, the things that made them the giants that they are today.
Because of Apple’s innovation and its abilities to push the boundaries of technology further, its stock price went soaring. Apple stock made certain people very rich. Steve Jobs and Steve Wozniak were some of these people. Jobs’s stake in the company would have been worth well over 66 billion dollars while Wozniak is worth approximately 100 million dollars today.
Steve Jobs took the helm of the company after a dispute that got him fired, and while he was running the company, Wozniak stayed as more of a silent partner at the company. He mainly focused on Apple projects while Jobs was focused on the corporate aspect of the company. This difference in personality between the two is very evident. Jobs was the stage man, the one who promoted products and ran the company. He had the vision that made the separated Apple from the rest of their competitors. Wozniak was more of a real computer lover, somebody that just wanted to build and work with the machines that made them famous he had the ability to execute their dream and make it a reality.
Back then Apple was known for their innovation and ability to change how we as the consumer looked at modern day technology. They were the pioneers, the trail blazers. They could see what other people could not at the time and it made them very successful. The question now is whether they have kept up that same level of innovation and design that made them who they are today.
Apple stock (AAPL) has been doing very well recently gaining over 50 points in the last year alone. It comes at no surprise that once investors like Warren Buffett and his Berkshire Hathaway invest big in a company like Apple that many will follow. With the recent soar of Apple’s stock there have been many people asking what will come next. Many people have made money off Apple so far, but is it sustained and can the rally last?
Apple has not done a whole lot of innovation like they have in the past. They have continuously disappointed in their recent product releases from the iPhone 7 to the MacBook Pro and many others. It seems that their new strategy is just to disguise a lack of innovation and new features with artificial hype and a marginally sleeker more sexy design that appeals to the user less interested in performance and more interested in the logo on the back of their laptop and phone.
The hype around the iPhone 8 has especially been interesting because it will be their 10th gen phone. Consumers and investors are hopeful that the new phone will excite and be a great performer. If they drop the ball on this phone it may spell disaster for their investors and fanbase. Some of whom are already leaving to go to the Samsung side of things because of the great success of their Galaxy 8 phone that has been a smash hit for consumers. The stock market is banking on what Apple does next and they are hoping that the iPhone 8 will be a hit that can move the company past its current innovation rut into what they used to be.
Equity Gazette 