In other words, Apple has accurately predicted demand and, get this, amply stocked the shelves. When done right it seems so easy. My hat is off to Apple, and to Apple Japan as well for not dropping the ball here in Japan.

Apple certainly seems to be firing on all cylinders these days. Last week it announced its first annual profit in three years. The launch of the G3 and OS8.5 started it on the comeback trail last year. Four quarters of profitability, and investors are rewarding it with a huge run-up of the stock price into the high 30s. A simplified product line has helped to clear up lingering problems with inventory, down to about 1/10 of their previous levels, and turnover approaching 6 days. A rate which, according to Apple, rivals direct marketing superstar Dell Computer.

Apple is back in the game!

When I first heard about the iMac, I just knew that it would be a major hit for Apple. Now after kicking one around for a few days, I must say that I think that it is an excellent system, and although I am still excited about it (and will probably buy one for my better half) it may not be for everyone. First impression: it sets up fast. I got it out of the box, up and running in 3 minutes. In about 10 minutes, I was connected to the Internet via our corporate network. It looks cool, but is a bit bigger and heavier than I thought. It definitely needs a new mouse - although cool looking, the stock mouse is way too small and round to be usable. It's a bummer that all of my SCSI hard drives and other Mac accessories will not work with it (the iMac only accepts USB compatible devices). I don't think that the floppy drive will be missed. The built-in speakers are useful but a bit tinny sounding. The built-in monitor is nice and displays 1024 x 768 in 24-bit color. Overall performance is great. In Japan it is bundled with Internet Explorer 4, Outlook Express 4, Navigator 4, Post-Pet, ClarisWorks, and a few other titles.

The iMac is an awesome computer and you can check out all its stats on the Apple website. However, it is not for super power users who need the ultimate in expandability or modular construction. Remember that it is the latest in all-in-one-Macs that made the Macintosh famous, and it is convenient and cheap but not that extensible. That said, Apple Japan has followed in the footsteps of the US and Europe and is selling a slightly souped-up version of the original iMac featuring OS8.5, additional display memory of 6 MB (up from 2MB), a more powerful graphics card and a slightly modified daughterboard that supports up to 256MB of system RAM. In general Apple seems to be making more running model changes (one example is the recent tweaking of its 233 G3 PowerBook) which is much simpler than introducing new models, and is easier on retailers.

The Japanese public has not been spared from the massive iMac marketing machine and a Japanese speaking Jeff Goldblum can be even spotted on TV hawking the Apple loan program, which lets you finance an iMac at an amazing 1% interest rate (which is a lot lower than the US program). Apple has a variety of plans; with the longest offering super low ¥2,300 per month payments. All of the promotion seems to be paying off. The iMac was ranked the best selling computer for August and September in the US and has already sold more than 40,000 units in its first 6 weeks in Japan - about a 1,000 per day (including 10,000 on the first day.) According to Apple Japan, over 40% of iMac buyers have been new users and 14% are Windows users. Even more amazing, over 50% of October iMac purchases in Japan were women! All of this is great news for Apple, which has continually struggled with the fact that most buyers of its new systems were previous Macintosh owners. For the first time, Apple may see some market share gains. While the green machine is taking Apple to new levels, Apple isn't resting on its laurels. Apple has followed up with Mac OS 8.5, which was released simultaneously worldwide in several languages, and is being advertised in Japan as a new computer for ¥13,800. In addition, several new models are planned for MacWorld San Francisco and Japanese users can expect them to show up here in time for MacWorld Tokyo in mid-February. With all of its ducks in a row, a back-to-basics attitude, a steadily rising stock price, and a clear focus on the future, it may be cool to work at Apple again. In fact, this might be a good time to buy some stock!

Forest Linton is IE Group Product Manager for Microsoft Japan. His views are expressly and exclusively his own and do not necessarily reflect the opinions of Microsoft.You can reach him at forest@gol.com.