This Apple Rumor Was Dead Wrong

Earlier this month, there were questionable rumors making the rounds that Apple (NASDAQ: AAPL  ) may potentially be forced to delay the new iMacs that it unveiled last month.

Word was that the Mac maker was having difficulties with the friction-stir welding manufacturing process. 9to5Mac shot down the speculation with its own more reliable sources saying everything was still on track. The 21.5-inch models have been slated for a November launch while the larger 27-inch models will ship next month.

Apple has now announced that the 21.5-inch models are set to ship this Friday, Nov. 30, just barely squeezing in to technically meet its self-imposed deadline of November availability.

Source: Apple.

While the news in itself isn't the most meaningful for Apple's performance, since desktop sales continue to shrink along with the PC market, it shows that Apple continues to overcome some of the manufacturing challenges it's been facing with its products. Desktop units fell 24% last quarter to 968,000, and it's safe to say that the iMac is Apple's best-selling desktop compared to the pricey Mac Pro and lower-end Mac Mini.

It's also good news for graphics specialist NVIDIA (NASDAQ: NVDA  ) , since its newest Kepler GPUs are featured in the new iMacs, displacing Advanced Micro Devices (NYSE: AMD  ) after several years. Kepler chips are also found in the newest MacBook Pros. At this point, the only GPU spot that AMD has left is in the Mac Pro. Tim Cook has already hinted that the professional desktop is getting an overhaul next year, so don't be surprised if AMD loses that spot to NVIDIA, completing Apple's transition back to its former GPU flame.

Desktop revenue was just 3.4% of sales last quarter, but Apple remains committed to innovating on a decreasingly important product line. Sometimes focusing solely on the product is good enough.

There is absolutely no argument that Apple is at the center of technology's largest revolution ever, and that longtime shareholders have been handsomely rewarded with over 1,000% gains. However, there is a debate raging as to whether Apple remains a buy. The Motley Fool's senior technology analyst and managing bureau chief, Eric Bleeker, is prepared to fill you in on both reasons to buy and reasons to sell Apple, and what opportunities are left for the company (and more importantly, your portfolio) going forward. To get instant access to his latest thinking on Apple, simply click here now.


Read/Post Comments (9) | Recommend This Article (5)

Comments from our Foolish Readers

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  • Report this Comment On November 27, 2012, at 9:06 PM, jhf678 wrote:

    The problem here is that nobody will pick up these pricey iMac and Macbook instead of the mini iPad. Nvidia will suffer with competition everywhere. Nintendo Wii HD run on AMD GPU is sold out. This is great news for AMD.

  • Report this Comment On November 27, 2012, at 9:46 PM, jwtrotter wrote:

    I totally disagree on the iMac and Macbook being too pricey. There is a built-in user base for these desktops that have been waiting for this and probably more who may cross-over in this niche because of the improvements overall. And you can't be more wrong about Nvidia 'suffering' from the competition. AMD can have all the 'Wii' they want . . they are a sinking ship and numbers just came out through Peddie that show Nvidia is growing not shrinking in the critical markets for AMD to survive . . at the expense of AMD. Sorry, but AT LEAST through next year, AMD looks cooked.

  • Report this Comment On November 28, 2012, at 2:14 AM, kthor wrote:

    personally I like the AMD GPU's better than the Nvidia ones ...but stock wise, Nvidia has the upper hands ...

  • Report this Comment On November 28, 2012, at 2:17 AM, jhf678 wrote:

    Go and google. All the Laptops with AMD chips in the low price range $200-$250 are all sold out. Surface is too expensive. Nexus 7 can't compete with mini iPad and Kindle Fire. What else is left for Nvidia? AMD has found the bottom but Nvidia has not and will soon. Cramer just recommend a sell on NVDA.

  • Report this Comment On November 28, 2012, at 4:00 AM, H3D wrote:

    Strange how irresponsible journalists now denounce the rumour as wrong.

    Rather than admitting that they were yet again wrong to propagate the unsubstantiated rumour and thereby play into the hands of the market manipulators.

    These rumours don't come about by accident. It is part of a well planned strategy for fleecing the retail investor.

  • Report this Comment On November 28, 2012, at 7:42 AM, iaveight wrote:

    Said before and I will say it again , lost respect for the fool, they are market followers not leaders, why to long and short apple, like being a weather man saying sun with rain, hot and cold spells!!! Fool make a decision on a stock (apple) and live with it , I am fed up of one minute sell one minute buy

  • Report this Comment On November 28, 2012, at 7:48 AM, jdmeck wrote:

    "The problem here is that nobody will pick up these pricey iMac and Macbook" Sure, heard that 10 years ago, 5 years ago, so and so on.

  • Report this Comment On November 28, 2012, at 9:43 AM, TEBuddy wrote:

    Dont count on AMD losing the Mac Pro graphics. Kepler certainly isnt the card for them. Unless they want to charge an arm and a leg for a quadro. Simply put, AMD destroys Kepler on OpenGL and GPU computer. How many CAD programs run on DX11 that Kepler is only good at?

  • Report this Comment On November 28, 2012, at 12:03 PM, jwtrotter wrote:

    Seriously? I'm not a big fan of this writer but this trend isn't fleeting. I'm a fan and an investor of Nvidia BECAUSE I use them in my CAD workstations as well as my phone. I feel sorry for you guys holding onto AMD shares, really I do.

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