• 07.20.10

Analysts: Case Closed on Antennagate

Steve Jobs closed Apple’s iPhone 4 antennagate affair with a press presentation last Friday, and though portions of the media are still fretting over the matter, one group of important stakeholders are convinced it’s over: analysts. 


Different opinions have been stirred up by Job’s explanation to the press, and while Consumer Reports is still puzzlingly confident in their unscientific “no recommended buy” investigation, other media players–like Dilbert creator Scott Adams–were won over by Jobs’ skill in explaining what was going on in clever, measured, scientific terms. 


iPhone sales seem to have been pretty high throughout the affair, so the buying public didn’t appear to need convincing–it was possibly a media storm in a teacup, and Jobs himself even acknowledged this effect several times during the press event, at one point going so far as noting Apple needs “you guys [the invited press] to help” quell the furor. Apart from the general public, the other people Apple needed to convince was the financial players on the world’s markets. These individuals, who partly determine how Apple’s fiscal health, had been getting nervous about the potential costs of an iPhone device recall.

But no more: As noted over at SeekingAlpha, many analysts have rallied around the tech giant and its charismatic CEO after Friday’s event, and are sticking by their “buy” recommendations on Apple stock. Well known Apple analyst Gene Munster at Piper Jaffray noted that “we believe the company adequately proved the antenna issue is an industry-wide proble, and the case solution is of minimal cost to Apple.” Other analysts felt the same, and felt that Apple’s stock, which had taken a bit of a beating thanks to antennagate, is definitely worth buying as it’ll now recover, and continue to rise. Given that the phone is about to launch in many other nations, this is an important indicator that the matter is pretty much closed. 

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