Apple Forecasted to Report First Quarterly Revenue Decline Since 2003

[linuxcooldude]

Apple under Steve was years ahead in 2007 and is now trailing its competitors in tech specs. It's main pull is still the strong integration, aka Apple's eco system, but the erosion has begun.

The average consumer doesn't understand specs or even cares to understand them. Other than 7 is higher number than 6S iPhone. Other things factor into the decline more than specs.

If they come out with their speculated wrap around screen, all glass phone could likely change that extremely quickly.

 

[Pilgrim1099]

Plus you're NEVER going to find a guy that puts his heart into the company the way the guy that built the company did.

That's very true. They may not be able to find a person who's exactly like Jobs but may be close in quality.

When MS promoted Nadella to CEO, Apple should have removed Cook right away to keep up with the shift in thinking and progress. Their biggest mistake was letting Cook stay on board. Nadella may not a Steve Jobs but the man is sharp and understands what is needed to keep Microsoft going and competitive.

I think the difference is that Nadella has the balls to delve into projects such as HoloLens to make a difference and explore new ways while Cook played it safe. You can also feel Tim's personality reflected off the Apple products that seemed "off".

It's his lack of taste and design sense that's hurting Apple, including Jony who is apparently "checked out". I'm a creative myself and I can smell his sense of being burnt out, staying stale.

Jony should have left Apple and gone independent with his work. That way, he could approach any project he wants to get his hands on. Going independent will broaden his horizon while staying in Apple cripples it.

They need to also not let Williams take over as CEO. I sense something going on between him and Cook as if he's hand picked to continue the " Cook Agenda ". Can you smell it? It's almost as if they have secret lives together.

 

[bpeeps]

I can't tell if this is a joke or not

Definitely a joke poking fun at people who don't understand how economics work.

 

[aaronhead14]

Well, maybe this will help Apple realize that we want our good products back!

• Mac Pro Towers, not the shizzy trashcan crap. We want our professional stuff to be user-upgradable like before!
• No soldered RAM on Macs. Do I even need to explain why? It's such a stab in the back to consumers. Apple, we like companies that treat us with respect! And we know that you don't have to solder it on there!
• Thunderbolt 3 on ALL Macs! What's with the new 2016 MacBook only having USB-C? There's no excuse for it to not have Thunderbolt 3.
• Speaking of the new MacBook--Make a version that's actually good! One port is unacceptable--Nobody wants an Octopus-like dongle of cables in order to plug in all their stuff. It defeats the purpose of the computer's ultra-portability.
• USB-C on all iOS devices. Get rid of that Lighting crap. We're done living in 2011.
• Skylake Macs. Whats the deal?! Seriously, Intel is about to release even NEWER CPUs! Why wait so long to upgrade! You're making us feel like you're neglecting the Mac altogether! Not a good business tactic! (And yeah, the new thin MacBook is Skylake, whatever. It doesn't count though since it's garbage).
• No 16GB iPhones. Apple, you know this. Make the 32GB version be the price of the 16GB.

Apple, when you make your customers feel like they've been abandoned and/or taken advantage of, of COURSE your sales are going to go down! We love you, but you need to get back in the game!

 

[kapolani]

I've been reading this stuff since 2008. I just keep buing AAPL on the dips.

This company has enough cash reserves to go on for a decade plus even without 'innovating.'

So, please drive the stock price down. Cheaper shares for me.

 

[RedOrchestra]

I think you have totally ms-read Apple sir. They base their entire marketing strategy on their snobiness, they rely on their fans being equally snobby, the media treats Apple EXACTLY as they want them to.

As is said about a now defamed cyclist

"His greatest talent “has been his knack for granting his admirers permission to think highly of themselves for thinking highly of him.”

 

[Razeus]

Absolutely mind-boggling post from someone who obviously won't be investing in the stock.

I've been investing in AAPL for years. It's probably the stock I've held for the longest. Too bad it wasn't much.

 

[Dave245]

This quarter is never supposed to wow anyone with its numbers. Product launches in it are rare, it's between the holiday and summer seasons, and also far from Apple's best quarter which is always going to be the one that sees new iPhones launch.

I think sometimes people forget this, Apple normally release products around September and October (iPhones in September and Mac's and iPad's in October) it's only recently (last year) that Apple started hosting an even in March/April time. WWDC had usually been software with the odd Mac update and the very rare iPhone update (iPhone 4 I believe).

 

[bpeeps]

FRIGGIN AMEN TO THAT! ....Geez. I was beginning to think I was the only person that felt like this guy was a joke.5 .I think Steve may have put him in place to destroy the company .lol..

Welcome to the forums, guy.

 

[American Hero]

They need to also not let Williams take over as CEO. I sense something going on between him and Cook as if he's hand picked to continue the " Cook Agenda ". Can you smell it? It's almost as if they have secret lives together.

Someone who doesn't have the mindset of a business man would be nice. How about someone who is actually passionate and knowledgeable about products and doesn't rely just on the people below him.

 

[mantan]

To the people that say Apple is "lackluster"...

They don't hit it out of the park EVERY year with EVERY release. I think people have just gotten so comfortable and so entitled. Innovating isn't as easy as one would think. No matter what Apple comes out with there are always going to be companies that do something similar.

Apple isn't always first to the party, but they usually do a damn good job. A lot of your expectations are way too high.

Doesn't have to be each and every release. How about a single release?

I'm trying to think of the last 'home run' that Apple hit? The iPhone 6? Where the selling point was finally getting larger screens like the competition? I can list the 'outs' they've had-

Just products bigger/smaller (see iPad Pro)
MacBook
stripped down Mac Mini
stripped down iMac
Apple Watch

That doesn't include gimmicky things that are outperformed by the competition (Apple Pay<Samsung Pay), relatively useless (3d touch/Live photos) or neglected (MBA, MB Pro).

At this point innovating may be asking too much. How about getting back to the point where their products are clearly superior to the competition. Stuff that 'just works' and where you feel like you purchased a premium product, not a compromise.

I'm sure some people who profess to be Apple fans would say 'go buy something else'. But blindly supporting a complacent Apple is worse than being critical.

 

[Razeus]

That's very true. They may not be able to find a person who's exactly like Jobs but may be close in quality.

When MS promoted Nadella to CEO, Apple should have removed Cook right away to keep up with the shift in thinking and progress. Their biggest mistake was letting Cook stay on board. Nadella may not a Steve Jobs but the man is sharp and understands what is needed to keep Microsoft going and competitive.

I think the difference is that Nadella has the balls to delve into projects such as HoloLens to make a difference and explore new ways while Cook played it safe. You can also feel Tim's personality reflected off the Apple products that seemed "off".

It's his lack of taste and design sense that's hurting Apple, including Jony who is apparently "checked out". I'm a creative myself and I can smell his sense of being burnt out, staying stale.

Jony should have left Apple and gone independent with his work. That way, he could approach any project he wants to get his hands on. Going independent will broaden his horizon while staying in Apple cripples it.

They need to also not let Williams take over as CEO. I sense something going on between him and Cook as if he's hand picked to continue the " Cook Agenda ". Can you smell it? It's almost as if they have secret lives together.

Yep. Tim Cook should have been the transition CEO. How Apple's board didn't recognize they need a visionary at the helm is beyond me. I'm pretty sure Tim Cook isn't not going to make the design team go through 50 shades green for their low cost iPhone or what have you. I'm pretty sure Tim let's Jony call all the shots. Hence why we have the ugly looking 6 and 6S. Steve wouldn't have allowed that. Tim probably couldn't tell you how a CPU even works. Tim soley relies on everyone below him, while Steve could have talked about how a CPU, design, apps, etc. etc. work.

 

[bpeeps]

This post is the perfect crescendo after reading pages of complaints about Apple not innovating.

Thanks for highlighting the beautiful irony. I had a good chuckle.

 

[apolloa]

An analogy to a now defamed cyclist

"His greatest talent “has been his knack for granting his admirers permission to think highly of themselves for thinking highly of him.”

haha yeah, pretty much hit the nail on the head.

As for those complaining about Cook, I do believe it was Steve Jobs himself who put Tim Cook in charge! So Jobs was hardly the 'visionary' you say he is when he makes a choice of Cook to run the business.

 

[Pilgrim1099]

Yep. Tim Cook should have been the transition CEO. How Apple's board didn't recognize they need a visionary at the helm is beyond me. I'm pretty sure Tim Cook isn't not going to make the design team go through 50 shades green for their low cost iPhone or what have you. I'm pretty sure Tim let's Jony call all the shots. Hence why we have the ugly looking 6 and 6S. Steve wouldn't have allowed that.

I think Tim is afraid to control Jony's vision and I think he doesn't understand how creatives think. He's the CEO and should have had the guts to keep Jony under restraint. It's pretty bad that he made Jony the Chief Creative Officer so he can run rampant with his work.

The other thing is the CEO needs to tell Marketing to back off and let him decide. Not the other way around. Steve hammered the marketing guys and said " this is my decision and we go this way. Not yours ".

Tim is too timid and appears to rely on Marketing for ideas. This is exactly what I think has been going on. Among other things.

 

[unobtainium]

I hope the irony is not lost.

There's no contradiction in what I said. I really don't think Jobs would have approved the Apple Watch in its current form. More than anything, the UI is just way too complex.

On the other hand, I have no idea whether he could have prevented a year-over-year decline.

There's no contradiction in my statements.

 

[aquadevil2002]

Forecasted????? Someone needs lesson in English grammar

 

[bpeeps]

There's no contradiction in what I said. I really don't think Jobs would have approved the Apple Watch in its current form. More than anything, the UI is just way too complex.

On the other hand, I have no idea whether he could have prevented a year-over-year decline.

There's no contradiction in my statements.

What's true here is you have no idea what Steve Jobs would or wouldn't do. Opinions and speculation.

 

[Art Mark]

This decline has nothing to do with anything you just said.
[doublepost=1461675021][/doublepost]
This decline would have happened even if Steve Jobs were still alive and running Apple. No product can grow forever.

Exactly. All Things Must Pass. For Wallstreet types this may mean something because they are always looking for the easy ride to profits on undervalued stock. But as a profitable company and one still doing great work it's not a huge deal. But they aren't going to build their profits per quarter much more than they have. I mean, what other company even comes close?

 

[DakotaGuy]

You will never change the perception of anyone who believes in this ridiculous meme. It's like the facts that they make billions, and outsell competitors, in all their other product categories don't exist.

Take away the iPhone and see what remains? Without the iPhone Apple would be a tiny shell of it's former self. This is fact. Argue all you want that the Mac or Apple Watch or Apple Music are the big revenue makers for Apple and you'd be wrong. Between the iPhone and (to a lesser extent) the iPad combined are about 80% of Apple's revenue. 80% isn't a lot? Heck it's almost the whole company in 2 product lines.

 

[Tinmania]

Sure is. The iPhone 6 was innovation for Apple, since then the iPhone line has been dry and boring.

No. The original iPhone was innovation for Apple. The iPhone 4 was innovation for Apple. Everything since has been incremental, or in the case of the iPhone 6, a reaction to other products already in the market.


Mike

 

[jamezr]

Apple is a victim of its own success. The iPhone 6/6 Plus in 2014 filled a lot of pent up demand. It's not just a tough compare, it's an impossible compare. Wall Street and bloggers alike are interpretting this as the end for the iPhone. That couldn't be further from the truth.

I don't think anyone is predicting the end of the iPhone. When what 68% of your net profits are from the iphone and then sales slow down. Profits are going to follow quickly. Then throw in rumors of iphone 7 being a not very big an upgrade BUT the iphone 8 will be a BIG upgrade...then sales and profits will decline for a while.
But make no mistake.....if Apple comes out with a great iphone 8....sales and profits will soar again.
It is not doom and gloom for Apple at all.

 

[147798]

How 'bout that Tim Cook! (and the death of Apple innovation

OK, so I think I'm buying a 2012 Macbook pro, and waiting out another 3-4 years, and see where everything is at that point.

btw -- I don't think Jony Ive is the answer, either. He was a good foil to Steve, but not the lead.

But Tim just doesn't seem to get it -- watch bands, colors, more sizes, more model proliferation. Sheesh.

 

[I7guy]

Yep. Tim Cook should have been the transition CEO. How Apple's board didn't recognize they need a visionary at the helm is beyond me. I'm pretty sure Tim Cook isn't not going to make the design team go through 50 shades green for their low cost iPhone or what have you. I'm pretty sure Tim let's Jony call all the shots. Hence why we have the ugly looking 6 and 6S. Steve wouldn't have allowed that. Tim probably couldn't tell you how a CPU even works. Tim soley relies on everyone below him, while Steve could have talked about how a CPU, design, apps, etc. etc. work.

There may be an opening in the company, applications now being accepted.

is that why in 2nd quarter Apple broke records?

 

[linuxcooldude]

Take away the iPhone and see what remains? Without the iPhone Apple would be a tiny shell of it's former self. This is fact. Argue all you want that the Mac or Apple Watch or Apple Music are the big revenue makers for Apple and you'd be wrong. Between the iPhone and (to a lesser extent) the iPad combined are about 80% of Apple's revenue. 80% isn't a lot? Heck it's almost the whole company in 2 product lines.

Because most consumers moved beyond desktop PC's. Focus is now on smart phones and tablets. We will always have a need for desktops, but in a limited capacity.