As we predicted, Apple is starting to feel the pinch of its policy of sticking off the shelf parts in expensive looking boxes and charging the earth for it.

According to the latest figures from Gartner group, the fruit themed toy maker has  run smack into a brick wall. Apple has been reporting growth for the last two years and its somewhat arrogant policy seemed to be that people would continue to buy what ever Steve Jobs told them too. This saw Apple actually increasing its prices in the UK.

However Big G said that Apple, with its reluctance to lower prices or compete much in the low-end market, is really feeling the pinch. Over the last year its 33 per cent growth has fallen to 8.4 percent positive growth in year-over-year shipments during the first quarter. This means that sales will fall by 1.1 percent with only the outfit's iPod and iPhone business holding up the Mac business.

BIG G said that low priced mobile PCs continued to be the growth driver for the PC industry in most regions and Apple is not interested in making one of them. Analysts say that in some ways Apple does not have to do much.  It has a huge amount of cash in the bank and can afford to ride out the storm.

When people have the cash again they will return to Apple goods.