outsourcing customer support is a really great way to show you care. :P

customer support means having someone with skill and knowledge giving customers solutions, not just have some trained robot read a manual back at them. nor should it just be seen as another avenue to pursue profit.

The American consumer is ultimately responsible for the downturn in customer support. Whether because of socioeconomic realities of the last thirty years or some other motivation, low prices has trumped customer support. Call it the "WalMarting of America".

Global outsourcing is a modern trend, and not just for Apple. The company I work at has essentially outsourced our first level IT support to India. If we have a problem, we need to either email or call the "global helpdesk," who either fixes the problem remotely, or kicks it up to second level support, where someone from the local IT group (in my case, two cube rows over) comes around to address it.

I'm not saying I like or agree with it. It's extremely frustrating to have to call an international number, and be put on hold and subjected to Indian music, when our on-site IT guys are within shouting distance of my cube. But it is a reality of modern business, and Apple isn't the only one doing it.

One observation that may be more a matter of perception and not based upon factual documents is that Apple isn't centralizing its outsourcing.

It appears to be outsourcing to three regions it most certainly could gain in marketshare with having local support available.

I may be stretching on this but mindshare in Holland is a long stronger when it is supported in Holland and not from the U.S. exclusively. The same for the U.K. and India.

I may be wrong, but it may not be the management of AppleCare that's causing poor revenues. With all the repairs Apple has needed to perform (I speak of iBook logic board replacements), this may well be a factor in computing its profitability.

Fortunately for me, I live relatively close to an Apple Store. The people at the genius bar have graciously offered any support I've needed at no cost.

For me "outsourcing" your customer care is not the smartest move a company can make, especially when you want repeat customers. The people you get on the phone will work for another company and, in my experience, their goal is to get you off the phone as fast as possible - that is the way THEIR company makes money.

The few times I have had to call Apple I have been connected to an Apple employee who worked hard to take care of me. An hidden benefit was that he was selling Apple as a company and Apple products through good service.

I believe that Apple, more than any other computer or tech company, benefits from their employees working customers through problems. It helps build that special relationship that Apple enjoys with their mac lovers.

Localized support can also be important in building that relationship. When Apple establishes a significant market somewhere, like the UK, then there is a benefit in providing localized support with Apple employees. Part of the benefit is easier communication (accents can be a problem at times) and part is cultural understanding.

For a Mac user with a problem customer care is just as important as design, OS X or iLife. I would hope that Apple would be as aggressive in being the best in this area as they are in the visual areas. Outsourcing is the equivalent of Apple moving to Windows.

You would think this, but I am sad to say that it isn't true.

I have had many problems with Apple's tech support. While they may make great products, there customer support isn't the greatest. And outsourcing it isn't the way to make it any better.

I mean, what is wrong with just keeping your customer support locally and training them to be the best. I realize that it may cost more, but the benefits are huge.

Happy customers are repeat customers. And repeat customers bring in new customers by recommending the company to their friends.

Why does Applecare have to be "profitable"? Are repeat purchases a factor in determining Applecare's "profitability"?

Hint to Apple: You want Applecare to be more profitable? Then make your products more durable and dependable. Duh.

I have to agree with the last comment. Surely the "profitability " of one's care setup must have the reliability of the product as one major factor. I think that the "UK" care operation, which I have used recently, is like the store in Ireland - either that or they only employ Irish staff!
The service I received was patient and helpful - even if it took a 45 minute phone call - a 2nd level referral was needed to authorise a new part for my iMac G5. Perhaps speedier analysis would cut costs if throughput of calls is another benchmark?