Slicing the cake

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Why Apple makes a little money on a PC. Much electronics are based on open designs often developed by the likes of Quanta, Flextronics or one of their competitors. That laptop with Dell on the front, or a Motorola cell phone, do you honestly think that Dell or Motorola designed it? No they didn’t, many times now the ‘technology company’ only contributes a brand and marketing. Though the way most technology companies operate, marketing is a misnomer for a dogs dinner that passes for that business function. CIO magazine spills the beans here with a behind the scenes look on how modern hardware is made. Whilst they are worried about America losing its technical know-how, I would point out that the men in Taiwan make Apple products but they don’t give them the joie de vivre that makes them an Apple product. It is is this lesson that the Dells, Gateways and HPs of this world are struggling to learn.

This secret sauce is research and development, however even Apple is guilty of reducing the amount of long term research that it is doing, something that threatens the technoligical leadership of American and European technology brands.