Amid Transition, Rivals Are Descending on Apple

Apple, once untouchable in terms of marketing, has gotten a little roughed up lately.

For much of the decade, Apple got away with bashing longtime adversary Microsoft without repercussions. Apple also dominated the MP3 player category without a serious rival. But now, as Microsoft has reinvigorated its marketing and it navigates into the phone handset category, suddenly everyone is bashing Apple.

First there was the Microsoft “I’m a PC” TV spot from Crispin, Porter + Bogusky  featuring a send-up of the dorky “PC” caricature in Apple’s “Get A Mac” campaign. Then, three weeks ago Verizon launched a teaser pitch from mcgarrybowen for its new Droid, a phone based on Google’s Android operating system. The commercial, which opens with a white background reminiscent of Apple advertising, runs a litany of “iDon’t have” features offered on Droid and unavailable on the iPhone. Verizon didn’t stop there, though. The company is also running ads that lampoon the iPhone’s “There’s an app for that” with the line “There’s a map for that,” which points out iPhone partner AT&T’s alleged gaps in coverage. (AT&T is suing Verizon over that ad.)

Apple, at the moment, may have little to worry about. It sold more Macs and iPhones in the fiscal fourth quarter, ended Sept. 26, than ever before and fans are buzzing about a rumored tablet PC, which could be another game changer. (Both Apple and Microsoft declined to participate in this story.) But industry watchers say there’s a sense that the company’s marketing momentum is stalling as it faces tougher new competition.

The Droid, which went on sale last week, is supported by Verizon Wireless’ largest marketing budget ever for a phone.  More critically in the computer marketing wars, with last month’s release of Microsoft’s well-reviewed Windows 7, Apple doesn’t have the problem-plagued Vista operating system to kick around anymore.

“Apple is under threat on the brand front in a way they haven’t been in recent years,” said Forrester Research analyst James McQuivey. “You have a situation where the quality is no longer significantly different. Windows 7 is much more Mac-like and it’s harder to compete against that. The iPhone is going to find it harder to compete against Android phones, which are positioning themselves by saying ‘Everything the iPhone doesn’t do, we can do.’”

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