Apple Inc. (AAPL): What Could Kick Start A Rally
Attached drives aren’t as useful as they once were. Google Inc. (NASDAQ:GOOG) and Dropbox are part of the problem. Both companies offer online storage that invisibly syncs with a computer’s hard drive so that backup is almost an afterthought.
Apple Inc. (NASDAQ:AAPL) should be offering an alternative for Mac users, says Tim Beyers of Motley Fool Rule Breakers and Motley Fool Supernova. By committing entirely to the disk-based backup app Time Machine, the iEmpire is foregoing a chance to hook customers on iCloud and in the process holding back what could be a powerful catalyst for an Apple stock rally.
There’s little cost to Apple to not acting right now; iCloud is too closely associated with iTunes content while Dropbox and Google Drive both perform well. The Mac maker would have to offer something materially different or better in iCloud in order to get users to switch. But if it did, Tim says, hundreds of millions in annual subscription revenue could be up for grabs.
Do you agree? Watch the video below to get Tim’s full take, and then let us know whether you would buy, sell, or short Apple stock at current prices.
The next big iThing
Apple has a history of cranking out revolutionary products… and then creatively destroying them with something better. Read about the future of Apple in the free report, “Apple Will Destroy Its Greatest Product.” Can Apple really disrupt its own iPhones and iPads? Find out by clicking here.
Related ETF: Technology Select Sector SPDR (NYSEARCA:XLK)
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