There is practiced and bad news for Apple Computer ’s market share number in the calendar fourth quarter . The Cupertino , Calif.-based computer company ’s desktop market place share is on the ascent , while the portable grocery is show a decline . While routine are not available to show the shock of Mac mini , inquiry analyst ask to see continued good tidings for the company ’s desktop grocery store share in 2005 as Mac mini sales event increment .

Apple ’s marketplace share numbers

According to market inquiry firm IDC , Apple ’s background market parcel in the United States for the fourth quarter of 2004 was 2.88 pct , up from 2.20 percent in the third quarter of 2004 and up year over from the 2.06 percent registered in the fourth quarter of 2003 .

United States Desktop Market Share

While slimly smaller in phone number , Apple ’s worldwide desktop marketplace share shows a alike upward trend . For the 4th quarter of 2004 , Apple ’s worldwide desktop food market share was 1.75 per centum , up from 1.51 percent in the third quarter of 2004 and up year over year from the 1.32 percent in the 4th fourth part of 2003 .

Worldwide Desktop Market Share

While Apple ’s portable market share showed growth in 2004 from 2003 in the United States , its share was down in the fourth quarter of 2004 . For the fourth quarter of 2004 Apple had 4.99 percent portable market place share , down from the 6.15 percentage in the third fourth part of 2004 and down class over year from the 5.09 percent in the quaternary one-fourth of 2003 .

United States Portable Market Share

It ’s the same story for Apple ’s ecumenical portable food market share as the company had 2.93 percent market share for the 4th quarter of 2004 , down from the 3.59 percentage registered in the third quarter of 2004 and down year over year from the 3.44 percent in the fourth quarter of 2003 .

Worldwide Portable Market Share

The Mac mini — will it help ?

While the desktop numbers are positively charged for Apple , they do n’t take into report what could be consider one of the most significant relocation Apple has made with its desktop reckoner in recent years — the release of the $ 500 Mac mini . Will the Mac mini help Apple ’s succeeding market place part growth ? Analysts say yes .

“ It ’s a little betimes to detect , but I conceive the answer is yes , ” IDC analyst Roger Kay separate MacCentral .

“ The luster that the brand currently has because of sales of the iPod combined with what is perceive as a very low-cost product and carrying the prestige of the Apple marque is definitely going to help them , ” say Jupiter Research analyst Michael Gartenberg .

Apple has been known for selling computing machine that give away traditional barrier in the industry like including USB ports , excising the floppy drive and include wireless technology . Apple is also get laid for hold a potent , identifiable brand that people are uncoerced to yield more money to own .

Does the prestige of possess an Apple system weary off when you are only paying $ 500 for the computer instead of $ 1,000 or more ? Jupiter ’s Gartenberg does n’t think so .

“ No more so than BMW has a 3 , 5 and 7 series car , ” said Gartenberg . “ The fact that Apple is priced within stretch of the rest of the market is psychologically very important . And of course , it ’s a beautiful design — the great unwashed reckon at that computer and they break out into a smiling . They are not saying that about Michael Dell ’s motorcar . ”

While analysts believe the Mac miniskirt will help oneself Apple ’s market share , they see the Mac mini being purchase as a second computer for the most part . However , it may be the out of sight marketing message that could institute Windows users to the Macintosh .

“ Part of what they are trying to do here is to convert people to grease one’s palms a second computer to deal their culture medium a bit better and take reward of the iLife suite , ” order NPD psychoanalyst Ross Rubin .

“ Clearly the message from Apple is ‘ give us a opportunity at being the second computer , ’ enjoin Gartenberg . “ The unspoken message is unplug your personal computer and plug everything into the [ Mac ] miniskirt . ”

Does market contribution really matter ?

As much as any companionship would wish to boost the highest marketplace share in the industriousness , does mart part really matter ? After all , Apple report its eminent quarterly tax income and final income in the ship’s company ’s history just two month ago as it mail a US$ 295 million profit for its first fiscal quarter .

“ Market share weigh in terms of the overall platform , over time , ” said Gartenberg . “ One of the really authoritative thing that Apple has done is take their software system future in their own hands . vital app like Web internet browser and spiritualist instrumentalist are done — the fact is , you’re able to buy a Macintosh and get a really good out of the box software experience . ”

NPD ’s Ross Rubin agrees . “ marketplace share is kind of a debatable item in the evolution of the Mac . ”

Gartenberg took it a gradation further and said that relevance in unlike securities industry segments , not market part is what will weigh for Apple in the come year .

“ We are past the discussion stop of ‘ will Apple be in business next year , will the Mac be around next year , ' ” said Gartenberg . “ Only the foolish among us are still turn over that question . ”

iPod — the star in Apple ’s arsenal

There is no interrogative that the iPod has been the intersection to lift Apple ’s visibility from one of a niche computing machine company to a market leading powerhouse in the music industry . Apple has leveraged the popularity of the iPod to market other intersection in its occupation - up including the Macintosh .

“ There is no doubt that the brand name — which has always been strong — has distinctly been invigorate in new segments of the market because of the iPod , ” said Gartenberg .

Many have been expect for the rivalry to shed the hammer on Apple and sprain away euphony store and MP3 player grocery store part . With name like Sony , Napster , Microsoft and Creative all place Apple , the mallet has not dropped — in fact , the iPod ’s success has only increased .

“ What ’s interesting is that hoi polloi have been say from day one that the iPod is heavy , but just hold off until the competitors come up with tantamount model and Apple ca n’t compete . Well it ’s been three and a half year and it has n’t chance yet , ” said Gartenberg .

In fact , there are other Flash MP3 players on the market that boast more feature of speech than Apple ’s recently introduced iPod Shuffle , but anecdotal evidence evoke they are not as popular as the Shuffle .

“ The bare proof of that is that I can walk into a store and find any number of Flash MP3 players with more lineament than the iPod Shuffle and Apple has a waiting list of four to six weeks , ” state Gartenberg .

Apple is defining the plot

With the popularity of the iPod and the iTunes Music Store , Apple has a very large butt on its back . To continue its popularity Apple must continue to determine the plot and ram the rivalry to follow in its footsteps . This accord to analysts is what will keep Apple on top .

“ The rest of the market has not read any ability to define what the nature of the game is , ” pronounce Gartenberg . “ Apple is defining the rules ; Apple is defining the marketplace — everyone else is in a reactive and antiphonal mode . As long as that ’s the case Apple will continue to be successful . ”