Revenue is expected next quarter is also bad as you continue down about 15%. As soon as the financial situation is announced, Apple shares plunge 8%. $ 40 billion of investors' money evaporate in a few hours.
iPhone about to die? Apple is about to die? Look at that view, Nokia once dominated so much that is still in decline. BlackBerry ever tied to the concept of "smart" but also to give the offspring to produce Android BB10 finally kept dying.
Be calm look back, you will see people being offset speaker spree excessively about the "death" of Apple's potential.
Such a great
First, you need to remember that Apple's trump card in the last year was 2 iPhones in many people's dream - the first two iPhones with bigger screens. Generation S launched after a year there is always inferior attraction, similar to what had happened with the iPhone 5s. 2 years ago Apple was once the island is this trend by death iPhone 5, but this year it was no longer strategic. Nothing surprising when iPhone 6s and 6s Plus can not set a record as the iPhone 6/6 Plus madness.
Next, remember that the iPhone 6 and 6 Plus has seen many supply chain issues. A lot of people want to buy an iPhone in the last quarter of 2014 had to wait to 2015 to receive the early iPhone in his dream. As early as last year it was said iPhone sales in the quarter 1/2015 6/6 Plus somewhat 'virtual', and to 2016, Apple field enough.
Finally, there are the actual number. Apple still gained to 50.6 billion in the last quarter. In the same quarter, Google reached 20.25 billion dollars in revenue, Microsoft reached 20.5 billion dollars, Facebook reached 5 billion, Qualcomm 5.5 billion. Apple on par with all the big guns are combined.
Into the current fiscal quarter, Apple's revenue is expected to be about $ 41 billion, ie by Google and Microsoft combined the last quarter. This figure, of course, that's nothing compared to not a record $ 75 billion of Apple, but still ... too large for the site.
iPhone, why? IPhone sold 61.2 million level in the last quarter is not too far separated at 70 million Xiaomi smartphones sold in 2015. Apple's latest food ... rates from 30-40%, Xiaomi is not necessarily profitable but do not dream 2-digit margin.
Difficulties of the high-end market
Most worrying information about the future is the Chinese market helped Apple to the top of the saturation current. The economy in the most populous country in the world in the past even suffered a severe financial crisis. The economy is developing others, including the market being targeted cheap carriers such as Indonesia and India, and not enough fertile as China.
Many will point out that the rise of the cheap Chinese smartphones cause affected iPhone sales, but this judgment is not entirely accurate. Apple never specified the product to the user a limited budget or running configuration. Subjects most potential buyers of Apple's middle class abundant funds, and in this segment essentially only Apple compete with Samsung, HTC or Sony. Apple has never lost this competition at all.
The $ 350 Mi 5 on board ahead of the big guns. Even though branded Huawei Honor for "blanket" sales but independent developers parent brand (the "Huawei" does not appear prominently on smartphones Honor) to build high-end image, luxury in the eyes middle class at home.
That is also why Apple does not really promote business in India or Indonesia, or if they are just ... every surf. A special feature of the Chinese market is not high living standards (actually no higher than the West) or the number of millionaires is getting thick, which is by this national middle class crowded. This is the gold mine of high-end brands such as iPhone, Galaxy S or Galaxy Note, by the end, there is a millionaire though you did not need to replace the iPhone 2 times a year to do.
So Apple should seriously eat dark when footsteps to China around 2013, 2014. In fact, without China Mobile, the iPhone 5s could have the first iPhone suffered declining revenues. Until the Chinese economy experiencing a thunderstorm as this year, Apple obviously losing face. This essence is still the problem of "too big shadow," and the ball is in China, not Apple.
In the challenge, the sustainable emerge
But look away and you'll find Apple's business model is actually more sustainable carriers lot Cheap! Thanks to focus on class and experience that Apple owns a large amount of users to bear more than, more loyal. Samsung also achieve similar results in the US. Not without cause that Samfan here have a loyalty no less IFAN: Korean giants focused top selling Galaxy line is priced from 650 USD upwards through the American Revolution. Samsung has enough power to run cheap, but the race so to do when there was profit - which has no words that can not last.
In contrast, over the last year to now, people ask questions about the sustainability of the model Xiaomi. Not a billionaire can just burn the money and permanent. More importantly, Xiaomi is probably impossible to create a truly level smartphone comes with the price of 650 USD. Whether you prefer the iPhone or not, the Apple smartphone is still associated with the two words "luxury" and usually when people upgrade phones will come from low-level to high-end, but hardly anyone goes.
For example, last year, when growth slowed and Xiaomi having the average selling price of smartphones in China has increased to nearly 25% (IDC figures). There is a trend rather unusual but understandable setback technologies are always moving on the premium segment, PC typically has a long recession, but expensive video card, Intel Core i7 processors still selling; thin and light laptops sold to "entrepreneurs" to appear more and more. So when smartphone setback, he will major longest?
The answer will still be the Apple, Samsung and more. It is true that Samsung has continuously sales plummeted, but what is important to view the Galaxy S7 and S7 2 edge still quickly hits 10 million units in less than a month.
Nokia is not the 2nd
That means that compares Apple's current position with Nokia to launch a new iPhone era is also incorrect. Nokia dominates the market, but the segment is cheap. Next, touch smartphone experience a totally new experience compared with Nokia. Finnish giants are replaced when the phone "stupid" is replaced. At the present time, no anything threatening replace both smartphones. Smartwatch fuzzy, smartglass the defeat, tablet, then sank into a long past.
This does not mean that Apple will soon the situation improves. If the iPhone 7 nothing shocking (and if the iPhone 7 Pro does not launch), we believe that iPhone sales will continue to sink into recession. But until stable, ie hit the floor and can not be reduced further, Apple will not losses. Tens of millions of iPhone users, whether upgrading slow as it is, will still buy the iPhone. In this scenario, Apple will still sell millions of smartphone, priced at 650 USD and margins reach 40%. Such can not be called "dead" or "decline" is.
Because regardless of your opinion of how technology, the fact that the iPhone is still tied to the fate of smartphones in general and in particular high-end smartphones. As long as the smartphone has not been replaced, Apple is not dead. Samsung too. You wait and see!
