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What the Apple Online Store Outage Means Financially (AAPL, AMZN, EBAY)

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By Jon C. Ogg Updated Published
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Apple Inc. (NASDAQ: AAPL) is supposed be invincible.  Apparently, as your size grows your problems can grow as well.  Apple’s Online Store website is down.  http://store.apple.com is the failed site at the moment.  The “Apple Retail” search segment is not affected and the iTunes site seems to be working fine as well.  In fact, the “iTunes” on Facebook link claims a whopping 16,532,960 “Like” notices.

Before you hit the panic button, keep in mind that outages occur.  It has happened in many cases at Amazon.com Inc. (NASDAQ: AMZN) and at eBay Inc. (NASDAQ: EBAY).  Store outages have also been seen at most other retailers from time to time.

Unless the problem persists or unless there is a ‘event risk’ association, there will be no damage to Apple from this.  It is sad to just have to accept interruption but the long and short of it is that “S%$# happens” even for a great company like Apple.

Loyal buyers rarely defect from a company just because of a temporary outage even if that seems counterintuitive.

To prove the point that “it does not matter” we have Apple stock up 0.87% at $383.78 and the NASDAQ is up 0.84% at the same time.

JON C. OGG

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About the Author Jon C. Ogg →

Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.

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