The week ahead

Tom Hudson: Apple set to face its critics


Special to The Miami Herald

The thing about successful innovation is that it becomes assimilated and imitated quickly. The bigger the breakthrough, the bigger the market pressure for follow-up wonders. Without a constant flow of big ideas, customers become complacent, competitors catch up and investors catch on.

On Tuesday, Apple will have to answer critics who have worried the company has lost its entrepreneurial spirit and innovative drive since Steve Jobs died. They point out there has been a void of new, must-have i-devices since Tim Cook took over as CEO more than a year ago.

At the same time, Apple has reversed course on its long-held corporate resistance to stock buybacks and paying dividends.

Sure, Apple hasn’t unleashed a new iPhone that has customers rushing to upgrade. Nor has it unveiled a long awaited TV product. The June announcement of its iRadio streaming music service was greeted as an obvious, if late-to-the-game strategy. Instead, it has concentrated on the foundation of its mobile device business, introducing a new operating system to be out in the fall.

Apple will have a lot to crow about when it releases its quarterly results. iPhone sales likely remained robust even with Samsung getting rave reviews of its Galaxy 4 smartphone, and the iPad remains the tablet of choice eating away business from the traditional PC business.

Apple stock is about two-thirds the price it was nine months ago. Anticipation anxiety over its pace of innovation continues. That’s the future price of past success.

Tom Hudson is a financial journalist based in Miami. He is the former co-anchor and managing editor of Nightly Business Report on public television. Follow him on Twitter @HudsonsView.

Read more Personal Finance stories from the Miami Herald

  • The Home Economist

    Millenial disconnect: Kids want money but not hard work

    The up-and-coming generation wants material rewards but isn’t always willing to work hard to earn them, say Millennials themselves.

  • The Home Economist

    Power leads to savings — and it’s all how you feel

    According to econmic studies, a sense of control over your life can lead to greater savings. Building that feeling comes with practice.

  • South Florida grocery cart

    The chart shown here reflects the average of prices at six South Florida groceries on June 8. Prices changed relatively little since April. Since The Miami Herald began tracking grocery prices in February, prices on most items have crept up slightly. The biggest increases were on bacon, which rose about 30 percent, and Roma tomatoes, which rose about 25 percent. Item May June One month change Loaf white bread, store-brand, 20 oz. $1.22 $1.36 $0.14 Cheddar cheese, store brand, 16 oz. $4.60 $5.30 $0.70 Dozen eggs, large, grade A $1.70 $1.65 -$0.05 Ground chuck, per pound $3.40 $3.67 $0.27 Bacon, store brand, 16-oz. package $4.96 $4.62 -$0.34 Gallon of whole milk, store brand, gallon $3.37 $3.51 $0.14 Tomatoes, Roma, 16 oz. $2.36 $1.94 $0.42 Green bell peppers, 16oz. $1.77 $1.70 -$0.07 Orange juice, store brand, half-gallon $2.95 $2.86 -$0.09 Stores surveyed: Milam’s in Miami Springs, Wal-Mart in Hialeah, Aldi in Deerfield Beach, Super Target in Davie, Publix in Fort Lauderdale and Winn-Dixie in Fort Lauderdale

Miami Herald

Join the

The Miami Herald is pleased to provide this opportunity to share information, experiences and observations about what's in the news. Some of the comments may be reprinted elsewhere on the site or in the newspaper. We encourage lively, open debate on the issues of the day, and ask that you refrain from profanity, hate speech, personal comments and remarks that are off point. Thank you for taking the time to offer your thoughts.

The Miami Herald uses Facebook's commenting system. You need to log in with a Facebook account in order to comment. If you have questions about commenting with your Facebook account, click here.

Have a news tip? You can send it anonymously. Click here to send us your tip - or - consider joining the Public Insight Network and become a source for The Miami Herald and el Nuevo Herald.

Hide Comments

This affects comments on all stories.

Cancel OK

  • Marketplace

Today's Circulars

  • Quick Job Search

Enter Keyword(s) Enter City Select a State Select a Category