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TheStreet Open House

Unwarranted Apple Hate

Stocks in this article: AAPL

NEW YORK ( TheStreet) -- As important as it is to scrutinize Apple's (AAPL) future every which way, it's vital to keep things in perspective. Few journalists do that.

TheStreet's Chris Ciaccia does consistently. The Mac Observer's John Martellaro also brings a sane and nuanced view to his Apple coverage.

In the aptly-titled How the Jealous Investor Community Tries to Punish Apple, Martellaro, once again, nails it:

Investment analysts, VCs, and some media sites get a simple-minded idea. Apple should sell cheap iPhones to stop the infestation of cheap Android phones in emerging markets.

It's this flavor of simple-mindedness Martellaro chides that can help morph me into an unabashed AAPL bull.

A long-term bearish view on Apple, which I strongly tend toward, doesn't justify putting words in Tim Cook's mouth today or denouncing everything his company does in the near term. "Jealousy" or something like it is the only explanation because there's no logic in the petty criticism. I just can't be associated with it.

I'm not sure why analysts and the media would plant the seed that Apple was going to go cheap. It would counter Cook's pledge to never produce "crappy products." And, as Martellaro explains, Apple couldn't go cheap without cutting corners:

(Apple) must maintain the quality of its brand, and it must allow any iPhone to be a gateway to its own services, iTunes, iCloud, iBooks, and so on.
... Cheaper speakers and audio subsystem would denigrate iTunes. Crappier display? That would only disappoint. Omit certain communication bands? Then it wouldn't work worldwide seamlessly. Cheapen the construction so that when a customer drops it from a meter height, it explodes into 20 pieces? Not good. Smaller battery? Not with LTE you don't.

That's really the heart of this whole loony scene that's going down post-iPhone 5s and 5c launch. If you want Apple to produce a cheaper smartphone, you want Tim Cook to cut corners and/or sacrifice profit/margin. That's not the Apple way. A move in that direction would actually warrant the beating this "jealous" community, led by investors and the media, is giving Apple the company and AAPL stock.

-- Written by Rocco Pendola in Santa Monica, Calif.

Rocco Pendola is a columnist and TheStreet's Director of Social Media. Pendola makes frequent appearances on national television networks such as CNN and CNBC as well as TheStreet TV. Whenever possible, Pendola uses hockey, Springsteen or Southern California references in his work. He lives in Santa Monica.

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