You know, I am personally extremely happy with what happened in Japan last quarter. As you know, we have struggled there for several quarters and one data point doesn’t make a trend but what happened was that the reception to iMac has been tremendous, our desktop share moved from 6% to 10% year over year. Also, the reaction to iPod Touch was overwhelming, which really helped the iPod business have a much stronger revenue growth rate year over year, and so those two things together really drove Japan’s performance.
http://www.cnbc.com/id/22784383 5:35 PM EST: Cross Research: Can we get an update on Mac channels, best buy, etc. Tim says: We ended the quarter with 286 stores with Best Buy; thrilled with the results we've seen. We've elected to expand that further. We'll go to 600 stores over the next six months. (this is a dramatic expansion and bodes well for revenue over the next three quarters. this is a significant surprise.)
5: 58 PM EST: Just my two cents thus far: I have heard nothing on this call that would suggest anything that warrants this kind of after-market sell-off.
5: 57 PM EST: Deustche Bank: How many retail outlets was the Mac available and targets for year end? We (Apple) have moved the storefronts to 9,700 compared to 7,700 a year ago. We (Apple) plan to double the number of Best Buy stores but that's all I can say. What about iPhone retail distribution? We have about 2,500 storefronts in Europe that carry iPhone; we have around 2,000 or 2,100 in the U.S. In terms of expansion, I have nothing to announce today.
5:55 PM EST: American Technology Research: Desktop business seems a little stronger than portable business. The iMac announcement in August was extremely well received and iMac had enormous momentum. The total of our (Apple) desktops grew 53 percent, compared to overall market of only 10 percent, says IDC.
5: 42 PM EST: iPhone international roll-out? We still plan to enter Asia in 2008 and we also plan to roll out additional European countries in 2008. Anything specific for China? Nothing specific to announce today. AppleTV was kind of a hobby in the past. As Steve covered in Macworld, we're back with AppleTV take two, and we think we have it right this time. So don't think of it as big impact in 2008? I'm not projecting volumes on it, but I think we have a great product.
Najarian disclosed that he added to a long position in Apple. Adami says now is the time to buy Apple after he saw the volume and the reversal he was looking for in the stock. Finerman mentioned she is getting close to taking a look at Apple for a value play.
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