Apple Expects First Ever Decline of iPhone Sales Next Quarter

[pat500000]

Tim, you need to hold your horses. You've been selling new products every 4-6 months to every year. How about you stop speed-selling your stuff to people and let them catch up at their own pace. You guys are nothing but drug dealers trying to sell soon-to-be outdated products when you make another version in less than a year. I like apple products, but their business (they have right to do anything) is making people feel bad because they just got a "outdated" products when they announce another version of it.

 

[ttss6]

Fake innovation can only mislead customers for so long, unfortunately

3D Touch, though so disappointing on software execution as of writing with 9.2.1, is some pretty innovative stuff. Hopefully by iOS X Federeghi's crew will be caught up on realizing 3D Touch's potential as it should've been at the release of the 6S and 6S Plus.
Think of the possibilities. There is now the opportunity to remove the home button as we know it and have 3D Touch replace much of the functionality of it and with the Taptic Engine, there'll be another nonmoving part which can enable for a future iPhone to be further water resistant.

 

[d656]

Apple forgot what innovation meant after Steve Jobs passed away.
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No surprise and not a big deal.

Keep burying your head under the sand...

 

[Thunderhawks]

Had to stop sooner or later

By now I'd think even the last uncivilized tribes in the jungles of the world have at least a 16 GB iPhone.
They don't know what to do with it, as always the Gods must be crazy.

 

[DeepIn2U]

A strong U.S. dollar makes it more difficult for Apple, which reports its earnings in U.S. dollars, to perform when some 66% of their business is overseas. Every $100 of Apple’s non-U.S. dollar revenue earned in Q4 2014 translates into only $85 U.S. dollars today.​

BULL!

The projected decline in unit sales (iPhone) is simply due to the sheer greed of overpricing the iPhone 6 and moreso the iPhone 6S. iPhone 6 128GB model should've taken a $149 nose dive, the 64GB model $199 nose dive to simply MOVE more units, acclamate more users to iOS/Apple services, clear out inventory rake up returned units for recycling material to reduce costs of manufacturing warrantied and future new models.

 

[LovingTeddy]

1) Steve Jobs was right. Phablets are stupid and DROPPING the 4inch phone from the upgrade cycle from also really stupid. I personally do not want a giant phone, if anything I'd be very happy with a tiny one.

2) The new products are not aesthetically pleasing... the new iPhone looked weird, face it. What are those lines? They don't look good, it's not "simple". Ivy wagwon?

3) Apple keeps handicapping it's computers... The iMac is a desktop, it doesn't need tapered edges, it doesn't need to be [that] thin. We don't get CD/DVD drives anymore and have to deal with mobile processors and mobile GPUs because you want the 27inch computer in a monitor to be thin? That's stupid.

4) Single port laptop, including the charging port?

Stupid moves make for declining sales. Smarten up Tim.

No... It is just you do not want large phone. I will never touch phone less than 5 inch. Never. It is just stupidly small for everything.

And I agree with you for rest of point.

 

[ajcgn]

maybe their sales figures are incorrect because they are using Numbers to tally them instead of Excel

 

[LovingTeddy]

This is because Apple makes quality. And many customers are still using iPhone 4s! I still see so many iPhone 4s around. iOS users don't need to be buying a new phone every year. We own quality products that last.

So? My old Motorola phone still works, so does my old BlackBerry, Acer laptop. Apple quality just normal, not superior

 

[jon3543]

The projected decline in unit sales (iPhone) is simply due to the sheer greed of overpricing the iPhone 6 and moreso the iPhone 6S. iPhone 6 128GB model should've taken a $149 nose dive, the 64GB model $199 nose dive to simply MOVE more units, acclamate more users to iOS/Apple services, clear out inventory rake up returned units for recycling material to reduce costs of manufacturing warrantied and future new models.

If that should happen, that's when I know it'll be all over for Apple.

 

[CEmajr]

It's not the 4" that is integral or essential..

The 4s and 5s remain the best ever iPhones for a simple reason.
They were the best balance of design and technology at the time, and didn't compromise as much as the 6/6s generations have... (Stupid antenna lines, sticky out camera lens, stunted feature development, etc)

Don't misinterpret what many are asking for - the 4" screen 5s represents the device size that feels right. If apple can squeeze a 4.7" screen into that device size, by shrinking the bezels, then terrific. Just don't make it some cheap low-end device, for poor countries. Make it on the same spec level as the flagship device.

Ach, forget my whinge... create something new and awesome, and blow us away....

Please.

If sales decline from last year then that means the iPhone 6/6 Plus were the peak of Apple's design for iPhone in the eyes of most customers as it handily sold more than the 4s and 5s did.

 

[dbassett]

For me it is the ATT Next program and the fact that I am just plain tired of a new phone every two years. I had 3G, 4s, 5s and I have officially moved to the every three year plan now waiting for 7... and that's not just because my wife keeps sending hers through the washing machine.
Some great comments on this thread for once.

 

[Seiga]

The China Syndrome is taking its toll. And people are realizing its a 700 dollar product now that subsidies are gone.Each qtr numbers will fall going forward. There is no need to release a phone every year. Work on the software glitches and bugs.

Disagree. With Android devices coming out every year, Apple has to keep up with the market. The second they fall behind, you'll see even bigger decline of iOS users. This is given for any tech industry. I promise you, if apple goes on a two year cycle with hardware, they will be in major trouble.

You understand things from a general consumer perspective, but there is more than consumer perspective of things to consider.

 

[CEmajr]

No one is going to buy a $1,000 unsubsidized phone. I know in theory you pay for it anyway, but the average college kid doesn't have that kind of cash or really look at the total cost of iPhone ownership.

The same ones who were still buying those $1000 phones when it was hidden in the price of their $200/mo phone bill?

 

[bushman4]

Apples still #1 until some other company comes out with a better product
Right now I don't see anybody stepping up to the mound. BUT Apple needs to add some really great features to the iPhone 7 to keep everything flowing
( perhaps OLED or a wrap around screen or getting rid of those stupid bezels and put the Home button under the screen
Just some suggestions

 

[LovingTeddy]

Right. As one who obviously can't be mislead, who are your go-to companies for real innovation when buying computer or wireless products? HP, Lenovo, Samsung, HTC, Microsoft? Sanyo?

And, what are those innovations that have made their products worthy of your purchase, and that have lead them to market dominance? Please be specific.

Stop pretending that iPhone is in market dominance, becuase it is not.

You want innovation? Apple now is copy of Google now, there is still no quick chargr or wireless charge. LG V10 is cool phone with one secondary display. Yota phone gets second elink display for reading books. iPad Pro is just Apple's half baked competitor for Surface Pro and Microsoft's Surface Book is cool. The list can go on... Stop pretending that Apple is in dominance and stop pretending Apple is only one innovating

 

[winston1236]

People have been saying this for ages. Then look what happened with the iPhone 6.

Except that this time it's not 'people', it's Apple's own highly intelligent bean counters who recognized this coming and are acting early to prevent a massive selloff if a drop in sales came as a surprise next quarter.

Like everyone else has said, it was bound to happen as, like PC's, the hardware has advanced to a point where an upgrade doesn't buy you much. They should get to work on developing the next gen battery.

 

[Seiga]

Apple became a boring brand that want to sell you things you do not care about, you do not need, are useless as if they discovered America. People got bored.

In my office we have equipment from 4 years ago and we are just fine. We do not even care if something new came out.

Except when tech trends change, you'll fall behind. You remind me of a COBOL company in 1995 that thinks their system will last for 50 years only to realize your system is hit with the Y2K bug 4 years later. If you don't keep up (regardless of the industry), whatever market you are in, enjoy last place.

 

[Deuce on the Clock]

Disagree. With Android devices coming out every year, Apple has to keep up with the market. The second they fall behind, you'll see even bigger decline of iOS users. This is given for any tech industry. I promise you, if apple goes on a two year cycle with hardware, they will be in major trouble.

You understand things from a general consumer perspective, but there is more than consumer perspective of things to consider.

Working for Apple for 13 years and I can tell you the decline is here. Consumers don't want the minor bumps each year and all the glitches and bugs Apple cannot keep up with. They need to get back to quality and not quantity. Do I politely disagree with your view. But this is what makes life grand. Different views. We will see what happens the next year or two.

 

[aces99]

Once Apple releases the new 4" iPhone their sales will pick up.

 

[nortofthe13th]

1) Steve Jobs was right. Phablets are stupid and DROPPING the 4inch phone from the upgrade cycle from also really stupid. I personally do not want a giant phone, if anything I'd be very happy with a tiny one.

2) The new products are not aesthetically pleasing... the new iPhone looked weird, face it. What are those lines? They don't look good, it's not "simple". Ivy wagwon?

3) Apple keeps handicapping it's computers... The iMac is a desktop, it doesn't need tapered edges, it doesn't need to be [that] thin. We don't get CD/DVD drives anymore and have to deal with mobile processors and mobile GPUs because you want the 27inch computer in a monitor to be thin? That's stupid.

4) Single port laptop, including the charging port?

Stupid moves make for declining sales. Smarten up Tim.

While your complaining is permitted, all of it is extremely subjective.

1] Their are different kinds of people, and they like different sized phones (See: Record Breaking Sales) (And yes that does mean smaller too, probably the reason for the rumored 4" iPhone come back)
2] While many people disliked "those lines", many praise the current design as an aesthetic and manufacturing success.
3] Power speaks for itself, and so does a massive Retina Display. Performance isn't always limited to the size class of processors. (See: iPad Pro vs. Retina MacBook) And they do have an even faster computer for those who need the extra. (See: Mac Pro) CD/DVD drives... Are you honestly still bickering about that? (See: External Drive)
4] While it is seen as extreme, minimizing the amount of ports in favor of a wireless technology showcase and a remarkably portable and beautiful laptop is an obvious show of the future of connectivity and a design and engineering accomplishment. The point was that you don't need all those ports when you have excellent wireless technology. It's called forward thinking. (See: 802.11 ac, iCloud, AirDrop, Bluetooth Audio, AirPlay, Remote Personal Hotspot, Digital Downloads, Wireless Printing, Time Machine)
(And it's got two ports actually, just sayin...)

Anyway, great talking points. And as always, good chat.

 

[mistasopz]

It would be if the rest of their product line didn't equal or exceed the vast majority of their competitors.

Except that sales are declining yoy.

 

[maxsix]

Apple forgot what innovation meant after Steve Jobs passed away.
[doublepost=1453857168][/doublepost]

Keep burying your head under the sand...

Those of us who understand business and are very aware of Apples strong business practices (products aside) know that on cash reserves alone Apple has some pretty amazing longevity. As long as they don't fall asleep at the wheel, they remain in a very viable position, one which will afford them the time to bring more tech products to market.

Make no mistake, this is a very different Apple than the one years ago... that got very close to extinction.

 

[LordVic]

By now I'd think even the last uncivilized tribes in the jungles of the world have at least a 16 GB iPhone.
They don't know what to do with it, as always the Gods must be crazy.

Off topic, but this post reminds me of a movie I saw as a kid by that very name "the gods must be crazy" that was about a modern item "Coca-Cola bottle landing in an old uncivilized tribe who thought it came from the gods.
http://www.imdb.com/title/tt0080801/

 

[Seiga]

Working for Apple for 13 years and I can tell you the decline is here. Consumers don't want the minor bumps each year and all the glitches and bugs Apple cannot keep up with. They need to get back to quality and not quantity. Do I politely disagree with your view. But this is what makes life grand. Different views. We will see what happens the next year or two.

You're right about consumers not wanting minor bumps and glitches, but keep in mind, that's the risk you get with all hardware and software. Apple will have their fair share as will Android, the only difference is the consumer holds Apple to a higher standard. Jobs used to live up to that, and if you worked there for 13 years, I'm sure you have gotten first hand at the different leadership styles of Jobs and Cook if you work at Cupertino. I don't know the entire logistics behind Apple's innovation, but from the looks of things, neither does Tim Cook.

 

[HighDesert50]

Ummmm ... there are also those of us who either need or want a 4 inch phone and are willing to relinquish our iPhones to do so. No 4 inch format, then no iPhone when replacement times comes.