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Apple Delays Release of Its Upgraded iMac Line

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From Reuters

Apple Computer Inc. announced Thursday plans for a next-generation iMac desktop computer, but said it would not ship until September, missing its originally planned release.

The company also said it had stopped taking orders for the current iMac, sales of which have slowed in recent quarter.

“We planned to have our next-generation iMac ready by the time the inventory of current iMacs runs out in the next few weeks,” the Cupertino, Calif., company said. “But our planning was obviously less than perfect.”

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In regular Nasdaq trading, Apple’s stock fell 24 cents to close at $32.30. But in after-hours trading, after the announcement, shares dropped another $1.77, nearly 5.48%, to $30.53.

Apple’s announcement was somewhat unusual in that the company had not said anything publicly about redesigning the iMac, analysts said.

The company said it had stopped taking orders for the current iMac as it begins “the transition from the current iMac line to an all-new iMac line.”

Analysts said Apple should not be hurt by the lack of an iMac for the back-to-school shopping season, which is important for the company, because it has emphasized other models for the education market.

In the education market, Apple historically has emphasized its iBook notebook and eMac desktop lines rather than the iMac computer, which has a circular base and a flat-panel screen that hovers above it.

“From a back-to-school point of view, those are their products and they are pushing hard on notebooks for education,” said Roger Kay, an analyst at market research firm IDC.

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An Apple spokesman declined to comment.

Apple may have had a problem with its supplier of flat-panel displays or another component for iMacs, Kay said, adding that sales of the current iMac have been slowed in recent quarters.

“They did remarkably well with the original iMac and then they got another pop with the flat-panel version,” Kay said. “But the current iMac line has been tapering down for the last few quarters.”

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