Innovation at Apple Inc. (AAPL): Fact or Fiction?

Page 1 of 2

The last time we heard CEO Tim Cook introduce Apple Inc. (NASDAQ:AAPL) products at a convention was eight months ago. Apple recently announced news about iRadio, a new service that the company is bringing to its users. So what is the problem with this new radio service? Basically, it is the same in essence as other music service competitors that exist on the market. Apple Inc. (NASDAQ:AAPL) is having trouble innovating with new products like it used to back in the days! The other major competitors in the online radio space are Pandora Media Inc (NYSE:P), and Google Inc (NASDAQ:GOOG).

Apple Inc. (AAPL), Amazon.com Inc. (AMZN), Barnes & Noble Inc. (BKS)

Can iRadio survive?

There are many new routes to innovation that Apple could have taken. A lot of consumers were hyped up for some really big news, but all that they got was a new radio service from Apple Inc. (NASDAQ:AAPL). There was also a new version of iOS introduced, but it contained nothing groundbreaking. What should be noted here is that Apple didn’t take the time to create a different user experience. The software is an exact replica of another online music service, Pandora. I don’t see why users would want to switch from Pandora over to iRadio.

I will give Apple the fact that iRadio has one good thing going for itself when it launches later in the fall to many users. The iRadio will be able to be used on iTV. But if the software is the same as Pandora Media Inc (NYSE:P), can it really compete? Investors also have to remember that the space is already crowded with Pandora Media Inc (NYSE:P) and Google’s music service. I would think that Apple Inc. (NASDAQ:AAPL) should be able to innovate a little more than copy from competitors, and at the very least create a different type of user interface.

Google in the mix

Google Inc (NASDAQ:GOOG)’s music service is known as All Access for Google Play. Starting on June 30th, users will have to pay to have access; the fee has been set at $9.99 per month. This gives users access to an available collection of 18 million songs. Here is the odd par:, Google is releasing an app on iOS devices for its music service. So Apple will have plenty of competition in this space.

Google is a powerhouse as a technology company. That’s not to say Apple Inc. (NASDAQ:AAPL) will be blown away, but at the same time it will not dominate the online radio sector. Google Inc (NASDAQ:GOOG) is already the biggest in search, and is not afraid to make acquisitions to increase its value.  As we have seen, Google is not afraid to try new ideas like Google Glass. This is what investors would like to see with Apple, taking technology to the next level.

Page 1 of 2

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The World’s Most Famous Circuses

Best Hair Stylists

Most Popular NASCAR Drivers

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!