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iPod demand strong despite Synaptics guidance
Synaptics, which supplies touchpad components used in Apple’s iPod, said last week that its fourth quarter earnings are expected to be less than Wall Street estimates because of “softness in its music player business.”
In a research note obtained by iLounge on Monday, Piper Jaffray analyst Gene Munster said iPod demand remains strong and gave his thoughts on the cautious guidance from Synaptics.
“On Friday, Synaptics provided guidance slightly below Street estimates for the June quarter based on expectations for softness in its portable music player business. From a headline perspective, Synaptics comments are negative, but it is important to keep in mind: 1) we do not believe there have been any significant changes to Apple’s dominant market share, and 2) while not a positive, it is reasonable to assume that due to seasonality, June quarter iPod unit shipments would fall from December and March quarter levels.”
Munster said he expects Apple to ship approximately 3.5 million iPods (excluding iPod shuffles) in the June quarter.
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1
The shuffle doesn’t using Synaptics’ touchpad…
Posted by Magic Rabbits in Aberdeen, Scotland on April 25, 2005 at 9:17 AM (PDT)
2
Creative also uses Synaptics.
Posted by Demosthenes on April 25, 2005 at 2:57 PM (PDT)