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iCloud Should Strengthen Halo Effect of Apple Platform

Apple ( AAPL ) will unveil its iCloud services today, which will allow users to store digital files such as photos, music and videos in the cloud (remote computers), and access them through smartphones, PCs or tablets. We believe that this is a good move from Apple as users will benefit from being able to listen to music from any device. Google (NASDAQ:GOOG) and Amazon ( AMZN ) have tried to bring similar services in the past, and we believe Apple's large iTunes user base, MobileMe platform and the popularity of the iPhone will help drive adoption. Although iTunes accounts for only about 2% to our $430 price estimate for Apple stock , this service will help Apple strengthen its halo effect on other more valuable products like the iPhone, Mac and iPad. Our price estimate stands about 30% above market price. We will incorporate our analysis of iCloud in our Apple model after we have more details on this service.

See our complete analysis for Apple

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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