AlleyInsider is reporting that AAPL is down to $110 – 14% – due to stock downgrades by Morgan Stanely and RBC. Why? Because folks aren’t buying stuff – it’s “the weakest [90-day electronics spending] ever seen” – and Kathryn Huberty points out that Apple isn’t in the sub-$1,000 laptop market where all the money is. Fair enough: people are scared, they don’t buy iPods. But the sub-$1,000 laptop market is not a place for Apple to play – the profit comes from shipping huge numbers, not from all the cost savings to be had by pricing your laptops at lower than low.
