Blue Bayou (Blew By You): Apple may setup to RENT iPhone not sell them

Apple reported strong earnings today. They just blew past most optimistic estimates. Interesting notes:

1. More small businesses are using iPhone. I understand if you are a lawyer or a small design firm or consulting outfit that makes sense, but restaurants, donut shop owners? Dont count on it yet.

2. Deferred revenue: iPhone revenue is recognized monthly over 24 months. Might be in the future JUST like your phone service you will start to rent your iPhone instead of buying it. Remember the GM Electric car?

3. Getting started on BestBuy relationship. I think this is very interesting. The biggest draw for the Apple stores is the “cool” experience they provide and the “geniuses” that provide you on hand support.

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