It primarily started as a company in the personal computer industry. The industry has been witnessing significant changes in terms of the way services are provided to the customer. Some of the key competitors in the space include Dell, Microsoft, and HP. The market for personal computers is characterized by minimal differentiation. Apple is the only manufacturer that uses Mac OS. As a result, the operating system has significantly less market share. The majority of the market in this space is dominated by Windows, the operating system from Microsoft. The industry has been witnessing a downward trend in terms of shipments in the US.
In the mobile handset industry, the company faces stiff competition from companies like Samsung, HTC, Google, Nokia, RIM, Microsoft and LG. Google’s operating system Android has been growing at a very rapid pace as compared to Apple. The increasing competition and the availability of attractive competitive products might pose a significant challenge to Apple’s top-line. However, Apple is expected to ship its latest version of the iPhone very soon. The phone will have a better camera and faster processor. The slimmer and lighter iOS 5 underneath the iPhone will boost iPhone sales. Apple has also tied up with Sprint Nextel to provide unlimited data services plan. This, in turn, will boost sales. The iPhone is a key product in the Apple basket and also plays an important role in other Apple products such as Macs and tablets.
The competition space for tablets is still in the beginning phase and Apple is a market leader here with a 683% share. iPad 2 has got an enormous response in terms of sales. There is no contractual commitment for 3G models with iPad against Android-based tablets which require multi-year data contracts. As a result, the company has been able to witness significantly improving dominance in the market.