Some market analysts are saying that today's earnings report by Apple will be the most important in 10 years. The big question is whether Apple will be able to continue its momentum, and, secondarily, whether they beat market estimates for the December quarter. In other words, does Apple still have The Right Stuff? Certainly they did this past quarter, as CNET is reporting that the iPhone captured 51.2% of the smartphone market in the U.S. in the December quarter, compared to 44.8% for Android. Of course, since several different manufacturers make Android phones, that means that Apple is by far the largest maker of smartphones in the U.S. Android, however, continues to lead in the rest of the world.
The iPhone accounted for over 50% of Apple's revenue last quarter, and scattered reports of weakening demand for the iPhone and other Apple products have scared investors. According to The Street, "given the malaise towards the iPhone maker lately, Apple will need to show something extraordinary to excite investors and regain the aura that's surrounded the company in the past." Apple will be releasing their report at 5 pm Pacific, after the markets close.