Physicists talk about the Critical Mass as an amount of material (such as plutonium) that is large enough to allow a nuclear reaction to occur.
For business people the Critical Mass is the point at which a growing company becomes self-sustaining and no longer needs additional investment to remain economically viable.
Well, Apple is already a self-sustaining company, right? Or do they still need additional investments by their loyal customers?
A price of $1,200 for an iPhone might cause the above mentioned nuclear reaction and it’s not yet clear wether it will increase the fruit company’s revenues significantly. It also cannot be excluded that the contrary will happen in markets where Apple is massively under pressure, e.g. China and Europe.
Is it a further step to totally cover the market of mobiles for the rich?
What does the Critical Mass mean for Apple’s loyal but not so well funded iPhone fans or for people willing to migrate from their current ecosystem into Apple’s?
Lots of questions.
We’ll get the answer in fall and when analyzing the following SEC Form 10-Q filings.
Btw, my Critical Mass is less than $1,000.
This should include a wireless charger!
Thanks for reading.