Is the honeymoon finally over for Apple?

Thu Aug 28, 2008 2:31PM EDT

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Hey, it's been a good, long run. The stock is way up. The customers love the company. Every product (well, almost) is a smash hit. Apple has long been able to do no wrong.

But the times they are a changin'. Apple is now finding itself beseiged, on a nearly daily basis, with bad press and one case of customer outrage after another. In the last few days, the initially-loved iPhone 3G has been the subject of numerous complaints (and now lawsuits) about its service quality and had a huge security flaw revealed that lets anyone who picks up an iPhone bypass the password prompt. MobileMe is now a full-on disaster. You've got the Psystar countersuit. And in Britain, the company had a TV commercial banned for being misleading (since you can't run Flash or Java on an iPhone).

Most recently, Apple even faced a small customer backlash when it banned an independent comic strip from the iPhone App store because it felt the animations were too violent. (You are welcome, however, to buy a copy of the ultra-gory Saw or Saw II from the iTunes Store.) Even mega-fan Michael Arrington has called the company to the carpet for what he has deemed an "unacceptable" rate of failure of a variety of Apple products.

Why, even the news media can't be pleased any more: In an obvious "accident," Bloomberg reported that Apple CEO Steve Jobs had died.

What's going on here? Growing pains, for starters. As any company grows, its attention to detail and its level of customer service almost always falters to some degree. It can't help that Apple is so distracted: The company has suddenly gotten its hands in so many industries and so many countries with its iPhone 3G launch that it's clearly struggling to keep up with the intricacies of a worldwide telco presence. But maybe there's more to it: Customers really seem to be tiring of Apple's strongarm, radio-silence tactics, and what was once seen as a maverick alternative to the establishment is rapidly becoming a mainstream monster itself. The same guys who used to chime in with "buy a Mac" in message boards are now the ones who say "buy Linux." (Don't let me down, fellas!)

Other theories are welcome, of course. In light of all the chaos and wringing of hands, I find it difficult to explain Apple's glowing report in the latest version of the American Customer Satisfaction Index, which gave Apple its greatest gain ever in overall satisfaction and puts it 10 points ahead of its nearest rival in the computer industry. Is it a love-hate relationship or what? One explanation: People just really hate Windows Vista that much.

 

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  • 46 Posted by greg_cameron2000 on Thu Sep 3, 2009 4:13PM EDT Report Abuse

    The iPhone was a great acheivement. But the new release has been a disaster for me. every time i try and browse the network connection times out edge and wifi. They try to be the industry gold standard for portable music players yet they won't open up bluetooth to allow stereo streaming of music. they are getting very Microsoftish!! They really need to get the bugs out, investors won't bail on a delayed launch, as they will for a company who has shown they just don't care about their customers anymore.

  • 47 Posted by richardmilligan57 on Thu Sep 3, 2009 8:40PM EDT Report Abuse

    everybody hates vista but i like it user friendler then xp was sometimes you get hardware on xp but vista it works better

  • 48 Posted by kylebuschisababy on Thu Sep 3, 2009 4:55PM EDT Report Abuse

    More gibberish from Apple: Because Apple builds both the computer and the software that comes with it, they’re literally made for each other. This leads me to assume that Apple now owns nVidia. Seems again Apple is a bit deceptive in the facts of their product. Also- as for the claim- seems that what most people claim is a benefit of a Mac is the graphics production capability. But then those same people call for nothing less than CS3- which is not an Apple product, which would makes the claim made by Apple irrelevant.

  • 49 Posted by nanthoral on Thu Sep 3, 2009 7:33PM EDT Report Abuse

    I love my iPhone and I love my Vista. Both work awesome without a hitch. Neither are PERFECT, but nothing is, and they both do some pretty great stuff. Bloody whiners...

  • 50 Posted by chasingimages on Thu Sep 3, 2009 3:22PM EDT Report Abuse

    Apple has crossed from hardware/software into the Entertainment market...or they converged...regardless, Apple now needs a new Entertainment Legal, Marketing and Production division to work closely with R & D, and it'll all jive again. I"m hangin in with Apple and "BLOCKING" out the hype.

  • 51 Posted by cminz on Thu Sep 3, 2009 3:27PM EDT Report Abuse

    I was a loyal Apple/Mac user since the Mac-Plus, but about 3-4 years ago became very disenchanted having to toss my old computer every 2-3 years due to operating system ‘updates’ and software incompatibility – having to buy an over priced computer every 2-3 years is a drag – not to mention having to replace the software. I’m sure all you Mac fans out there know that Apple doesn’t give *anything* away, good customer service included – Apple is great in a lot of ways, just not worth the hassle or expense for me - btw, my PC, Blackberry and MP3 player have been working great for the past 3-4 years

  • 52 Posted by rogerphi on Thu Sep 3, 2009 8:48PM EDT Report Abuse

    I'm a Macbook Pro user for years. N-E-V-E-R had a problem other than self induced operator errors. I've had two iPods........never a prob. This is the best product (NOT JUST COMPUTER) I've ever dealt with and used. My two PC's have collected dust since the day we met.

  • 53 Posted by bdjohn06 on Thu Sep 3, 2009 3:04PM EDT Report Abuse

    I hope Jobs does realize that they need to look more at the details than the speed of production. It may be that Wozniak might have to remind him.

  • 54 Posted by cpgne on Thu Sep 3, 2009 3:30PM EDT Report Abuse

    Despite the problems with the iPhone, Apple will fix it. Apple still needs tens of thousands more viruses and malware infecting their machines to even begin to catch up with Windows. As far as Linux is concerned, it has come a long way and we can all be glad it's there, as Microsoft more than Apple would like it to go away. Linux makes sure that the main players stay in line, and we all benefit. Windows 9, anyone?

  • 55 Posted by markcmoffitt@sbcglobal.net on Thu Sep 3, 2009 7:07PM EDT Report Abuse

    I love my IpHone. It is Jailbreaked, and though I have had a few issues with that, I am completely happy w/ my phone. At this point I have opted not to update my firmware, just cuz now it works so good! My life is on this phone! I am learning Spanish, I have my KJV Bible on it. I have interesting apps and games on it P2P as well. So long as you have the back door to hack Apple then so much the better. Instead of ala carte making us pay for every little program/app! Give us some freedom Apple!

  • 56 Posted by jmelsom on Thu Sep 3, 2009 4:37PM EDT Report Abuse

    That was a lame article. Let's start talking about the release of the Zune, and compare that to the iPhone, shall we? Some people are just WISHING apple ill. Have fun guys.

  • 57 Posted by cabbage1@ameritech.net on Thu Sep 3, 2009 3:16PM EDT Report Abuse

    No matter what Apple is going through, no one can take away what they brought to the table. I would love to have Apples problem and from what I have heard and read, anyone who has a Iphone loves it and the sales prove it. Right now cell phone manufactures should be thankful that Apple made a msitake by not providing an open phone because they would be finshed. Windows people are no different then Mac people and for me I use both and my Powerbook is the best laptop that I have used and this area seems t have not changed with Apple.

  • 58 Posted by wo_angel on Thu Sep 3, 2009 10:49PM EDT Report Abuse

    False dichotomy, people! It's a-ok to love PC AND Mac - they're BOTH great because technology is great. I can't be the only one using PCs AND Macs, iPods AND other mp3 players all simultaneously. PC/Mac is another tired Us/Them - absurdity abounds.

  • 59 Posted by evanrw on Thu Sep 3, 2009 3:56PM EDT Report Abuse

    The bottom line here is more press and more users. Simple logic tells up if you increase your customer base times 10 you increase your support needs and product failure and malfunction rate by the same factor. The only reason the press loves to make these stories huge is because Apple is now a mammoth company. Believe me, Apple is still David and Microsoft is Goliath. I am an Apple user and have been for about 2 years now. The new OS works well, I have no hardware problems whatsoever with my ipods or Macbook pro laptops. Windows Vista is bad, but people started the Exodus from MS products before it was launched.

  • 60 Posted by davidsongideon on Thu Sep 3, 2009 3:38PM EDT Report Abuse

    That's life as a celebrity- media can bless or curse you. Still, Apple comes out with a range of unique, lifestyle-oriented products that follow in the tradition of their computers for giving a great experience, but not without the occassional incompatibility. They need their engineers very much as the products need to work well to be well-recieved, not just to be visionary. For myself, I'd want the iPhone to have more stability before I'd get one- my current phone has no problems. Current users have to realise that they are relatively 'early adopters' and as such may have to face problems. The fact that people's feelings and those of the media are out of sinc just shows that they can think for themselves on these issues. Companies are like people and if they show sympathy they can get it back.

  • 61 Posted by jforrest8 on Thu Sep 3, 2009 4:34PM EDT Report Abuse

    I laugh at the MSFTys/PC users commenting to this entry. As the article states, growing pains; albeit minor in my opinion. Apple is a stand out organization with a stand out leader. Their product failures are beyond acceptable when compared with the Dells, Samsungs, and Motorolas on the market. If you want to invest in quality buy Apple, that's all there is to it. For the die hards associated with competing products you know better and if you don't then you're just plain missing out.

  • 62 Posted by jforrest8 on Thu Sep 3, 2009 4:34PM EDT Report Abuse

    I laugh at the MSFTys/PC users commenting to this entry. As the article states, growing pains; albeit minor in my opinion. Apple is a stand out organization with a stand out leader. Their product failures are beyond acceptable when compared with the Dells, Samsungs, and Motorolas on the market. If you want to invest in quality buy Apple, that's all there is to it. For the die hards associated with competing products you know better and if you don't then you're just plain missing out.

  • 63 Posted by jazziphile on Thu Sep 3, 2009 4:30PM EDT Report Abuse

    GNU/Linux is definitely the ----- for OS. It may not be quite as wel polished as OS X (which is oh so sweet and creamy), but hey it's free. Regardless of price, GNU/Linux beats out Microsoft whatever-their-working-on-now any day. I gotta say though, the apple computers are definitely sweet pieces of hardware. Haven't used the phone yet, but it has definitely seems to have raised the bar for other telecommunications companies. I agree with the above comment though about apple needing to focus for a while on what they've got on their plate before they expand more.

  • 64 Posted by genetizer on Thu Sep 3, 2009 4:07PM EDT Report Abuse

    Vista is not THAT bad. I have just recently upgraded to Vista and I have to say I love it. Its much safer and smoother to use than XP. XP has become a standard now but its an old standard and Vista is the new kid on the block. I hated Vista too but after I really tried it myself, I love it now. Dont go for what your friends are saying, try it yourself. Oh by the way, Apple sucks bug time now, even though I have an ipod touch and crave for an iphone (its not launched where I live) I still say with every product iteration theyre making, theyre getting into a deeper mess now. I miss my old ipod now :(

  • 65 Posted by hyperblast26 on Thu Sep 3, 2009 4:21PM EDT Report Abuse

    Apple should of saw this coming. It time to be on the back burner for a couple of years.

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