tech

Apple opens new chapter amid weakening iPhone demand

22 Comments
By MICHAEL LIEDTKE

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22 Comments
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Apple hoped to offset slowing demand for iPhones by raising the prices of its most important product

This is top level of being shameless and arrogant. Even their normal prices was already high enough. Apple isn't even better than any other companies. It wasn't even about better quality, having any great features or anything,but just because of the brand name it is so expensive. They expect sales to keep increasing every year is a delusion. Any gadget can be use for several years. Unless you have too much money and had to switch to a newer model every year while it doesn't even had that many great changes compare to the old versions.

5 ( +6 / -1 )

Basic economics tells us that increasing prices reduces demand, particularly when there are much cheaper substitutes available.

5 ( +5 / -0 )

The wife and I both got new phones on the same day. She an iphone, and I an Asus for one third of the price. So far the only complaints about (lack of) functionality have been about the Apple.

1 ( +4 / -3 )

AGree with the above. The apple iphones kept getting more and more expensive, people just thought that it wasn't worth it anymore. The new phones are in the 1000 dollar range. Its just too much. Many people like apple products, but just cant seem to afford the crazy prices.

0 ( +0 / -0 )

I think people were fine with the prices when Apple was on a 2-year schedule, and they knew that in two years they'd be able to get the next phone and pay it off for 2 years. But then they started releasing a full new release every year, and all of a sudden it became impossible to keep up, which led to people subconsciously deciding they don't necessarily need to update every two years even - after all they'd already been behind for a year when their contracts came up. Another year or two isn't so bad.

-1 ( +3 / -4 )

Thousand dollar phones are just obscene. As soon as my iPhone 6S dies I'm off to Android.

-1 ( +3 / -4 )

Hmm, people are buying less of them, so let's just charge more so that even with less sales we'll make the same revenue! Huh, why are people buying even fewer of them now?

0 ( +0 / -0 )

@Hiro- This is top level of being shameless and arrogant. Even their normal prices was already high enough. Apple isn't even better than any other companies. It wasn't even about better quality, having any great features or anything, but just because of the brand name it is so expensive. 

Never used an apple computer, iPad or iPhone, have you?

The reasons for a decline in sales are clear. It's because people are not buying a new phone every year. Plus, there are more competitors. However, the iPhone still holds 90% of the market, so I guess there must be something in it.

-2 ( +2 / -4 )

Apple isn't even better than any other companies. It wasn't even about better quality, having any great features or anything,but just because of the brand name it is so expensive.

No, it's not just that. If it were, I wouldn't use Apple, I have zero interest in brand names. Their ecosystem works quite seamlessly, across a wide range of products that work well, are built well, and generally intuitive to use. That's why I'm willing to pay more, not because I would rather someone see an Apple on the back of my phone rather than a... whatever the Samsung logo is. If Samsung had an equivalent ecosystem at a cheaper price, I'd jump ship pretty quick.

-2 ( +2 / -4 )

Thousand dollar phones are just obscene. As soon as my iPhone 6S dies I'm off to Android.

My Galaxy S8+ was $1200. Worth every penny.

-2 ( +1 / -3 )

LOWER your prices!

2 ( +3 / -1 )

Nothing new from apple since jobs died... the watch is a bomb and the latest iphones "features" are software from other makers 2 years ago.

-1 ( +1 / -2 )

I bought my first generation Moto G in 2014 for £120 ($157). It's still going well! Got my apps, email, texts and calls, camera and video. That's all I need and it's almost ten times cheaper. Why pay £1000 when you cay pay £120? At home, I use a Mac Book Pro, Android phone and Android tablet. It all works well together with a thing called a USB cable! And now for coffee!

0 ( +1 / -1 )

The sharks are circling, end of an era, bit like Nissan, not only do I use a Huawei, but in six months it will be a Huawei 5G, there is over supply in all markets, do you really think we can build mountains of ewaste just because every year Apple want to sell a new phone.

-2 ( +0 / -2 )

@Disillusioned - However, the iPhone still holds 90% of the market, so I guess there must be something in it.

Where did you get that stat from? The market within the walls of Apple's HQ? Definitely not 90% of the global market as it's well known that Samsung sell more phones per annum then Apple.

1 ( +2 / -1 )

3 decades ago, decent computers used to cost at least US$1000 - some US$2000 or more (and that's before factoring inflation). Apple Macs enjoyed a good marketshare

Then computers became a commodity like appliances that everyone have, and decent computer prices dropped to around US$500 or even less. Apple relatively kept their prices high, so Macs became niche

The smartphone era has only been around a decade. History may repeat itself

Developed markets are now smartphone-saturated. But in less developed countries, there's no such thing as an "ecosystem" - people typically only own 1 "computer device" and that's their smartphone (no PCs/Macs, no laptops, no smart TVs or other smart devices). Those emerging markets are more sensitive simply to prices

However, the iPhone still holds 90% of the market,

It's 79%, and that's for the premium smartphone market, which accounts for only about 1/5th of the total smartphone market (kinda like saying Macs have a good marketshare for premium $1,000-plus PCs that accounts for only a fraction of the total PC market)

0 ( +1 / -1 )

Well, Apple could bring back the tiny square iPod nano. Now there is only a much larger one in the stores at Yodobashi, and they are too large for my gym workout.

0 ( +0 / -0 )

The company is also facing tougher competition in China, where homegrown companies such as Huawei and Xiaomi have been winning over consumers in that country with smartphones that have many of the same features as iPhones at lower prices.

How much of Apple's technology have these Chinese companies copied/stolen?

@Patricia Do you really need to have an iPod for your gym workout? Just concentrate on the workout.

2 ( +2 / -0 )

Apple got greddy and consumers called BS on their sub par (but shiny and feel good) product.

-2 ( +0 / -2 )

Then computers became a commodity like appliances that everyone have, and decent computer prices dropped to around US$500 or even less. Apple relatively kept their prices high, so Macs became niche

Macs are hardly a niche.

-2 ( +1 / -3 )

Then computers became a commodity like appliances that everyone have, and decent computer prices dropped to around US$500 or even less. Apple relatively kept their prices high, so Macs became niche

Macs are hardly a niche.

About 5% worldwide - that's 1 in 20

https://www.zdnet.com/article/as-the-pc-market-continues-to-shrink-slowly-guess-which-oems-are-still-thriving/

1 ( +1 / -0 )

All this talk of Apple going down 15% ... ok .... but Samsung has gone down even more and not much said! I agree Apple have their prices too high, I agree .... but they are a "high end company" thats their choice, and they make good profits (should move their focus IMO) these cheaper phones often don't make any profit at all, some are losing money. I read somewhere that Apple has about 70% of smart phone profits and Samsung is next with about 12%

0 ( +0 / -0 )

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