Dell computers (research)
Dell Inc. The Group's principal activity is to design, develop, manufacture, market, service and support a wide range of computer systems. The Group's primary products include enterprise systems, notebook computers and desktop computer systems. Enterprise systems include PowerEdge servers, PowerApp server appliances, PowerVault storage products, PowerConnect network switches and Dell Precision desktop and mobile workstations. The Group also offers Latitude and Inspiron notebook computers and Dimension, OptiPlex and SmartStep desktop computer systems. The Group provides professional consulting, custom hardware and software integration, leasing and asset management, network installation and support and onsite services. The Group has operations in the United States, Canada, South America, Latin America, England, Africa, Japan, India, China, Australia and New Zealand. Desktop computer systems accounted for 53% of 2001 revenues; notebook computers, 28% and enterprise systems, 19%.

Apple
Computers are still at the top of Apple's playlist, but music-related products account for a growing percentage of its mix. Apple Computer's desktop and laptop computers -- all of which feature its OS X operating system -- include its sleek iMac and iBook for the consumer and education markets, and more powerful MacBook Pro, Power Mac, and PowerBook for high-end consumers and professionals involved in design and publishing. Other products include its hit digital music players (iPod) and online music store (iTunes), as well as servers (Xserve), wireless networking equipment (Airport), and publishing and multimedia software. The company's FileMaker subsidiary makes database software.

Only co-founder, CEO, and Apple crusader Steve Jobs may have expected the level of success the company's music-related products have enjoyed. In 2003 Apple announced the launch of an online music service called the iTunes Music Store that lets computer users purchase and download songs for 99 cents each. Apple has since expanded the offerings to include music videos, audiobooks, television shows, and other content. The store's catalog, which has helped spur sales of Apple's popular iPod digital music and video players, includes songs from the five largest record labels, as well as television content from ABC, NBC, and a number of cable networks. The company has launched international versions of its iTunes Music Store that serve Canada and European Union countries. Early in 2006 it began offering select television content on a subscription basis with a service called Multi-Pass.

Apple has also provided regular updates to its iPod line, including color displays and and flash memory-based models. Late in 2005 Apple, Motorola, and Cingular Wireless announced the debut of a mobile phone with iTunes functionality. Apple also unveiled the iPod nano, an updated (and even smaller) version of its miniature iPod model, as well as an iPod capable of playing video.

Once the world's top PC maker, Apple Computer has been relegated to niche status in a market dominated by "Wintel" machines (computers using Microsoft Windows software and Intel processors). Macintosh computers run Apple's own UNIX-based operating system. The uniqueness of Apple's computers is a double-edged sword for the company. The graphical interface and form factor of Macintosh computers reflect the aesthetic of Jobs, who has long championed the importance of visually attractive, user-friendly design. The features that distinguish Macs have allowed the company to maintain a loyal following willing to pay premium prices and overlook any interoperability issues with Windows (a factor that Apple largely addressed with its OS X operating system). However, Apple's market share has dwindled as prices for commoditized Windows-based machines continue to fall.

In addition to its proprietary operating system, a traditional differentiator for Apple has been its use of IBM's PowerPC processors (manufactured by IBM and Freescale). However, in 2005 Apple announced it would begin incorporating Intel chips into its PC lines starting in 2006, with complete transition by the end of 2007. At the time of the announcement Adobe Systems and Microsoft both pledged continued development of their Macintosh applications. Apple debuted its first Intel-based computers early in 2006. Soon after the company released software that allows its Intel-based computers to run Microsoft's XP operating system.

While Apple continues to roll out unique hardware offerings, the company has increasingly looked to software development to drive sales. Many of the company's multimedia applications -- including iTunes, iMove, and iPhoto -- are available for free, but the company charges for bundled versions of its software.

In an effort to boost its appeal among consumers, the company has opened more than 100 Apple retail stores across the US; it also has stores in Canada, Japan, and the UK. Apple generated 17% of its sales through its retail channel in fiscal 2005.

The company remains focused on product innovations that solidify its popularity in classrooms, Web design shops, and graphic arts studios. Although more than a quarter of its sales are to schools, Apple has felt increasing pressure in that market, particularly from Dell. Apple designed its eMac specifically for the education market, and its G5 addresses the high-performance computing needs of designers. Apple aimed low with its 2004 introduction of the Mac mini -- the smallest Mac yet (2" tall, 6.5" square enclosure) arrived with a base price of $499.

With a massive marketing campaign that urged Windows users to switch to Macs, Apple added a chapter to its long and thorny history with Microsoft. Although it provides an alternative to Microsoft's omnipresent operating system, Apple's relative size and market share restrict its threat to the software giant's stranglehold. The companies have long maintained a working relationship; the Mac-compatible version of Microsoft's popular office suite is a key software title for Apple, and Apple has scored crossover hits with Windows-friendly editions of iPod and iTunes. Soon after Apple released its Safari Web browser, however, Microsoft announced it would cease development of the Apple version of its ubiquitous Internet Explorer.