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Those china phone are so cheap, I could have buy a few of that for the price of 1 iPhone, obviously Apple can't beat those raw numbers. But per device revenue, iPhone is still one of the top.

Could get those china phone as burner-phone and throw away if damaged.

Exactly. Apple is never going to have the volumes of $100 phones.
Why is this even news?
 
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Is it really too much to ask that a site that's been covering Apple for many years — as MacRumors has — show some understanding that marketshare is truly a second order consideration for any business? To say that "Apple has fallen to fifth place" and then compare their shipments to those of companies that are losing money and have been for years shows a profound lack of business sense. Running your competition into the ground is the opposite of losing.

https://techcrunch.com/2016/11/25/xiaomi-admits-it-doesnt-make-money-on-smartphone-hardware-sales/
Note that Apple makes money selling the phone and from multiple after purchase revenue streams.
You just stated why market share is important in your own post. After purchase revenue streams.
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And what OS do you think these other phones come with???
The fact is that you don't need to store your password anywhere to have it stolen. Simply typing it on an Android phone (in an app or a browser) can be enough. https://en.wikipedia.org/wiki/Keystroke_logging This is where a walled garden becomes important.
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Since the others are highly insecure, color-oversaturated play things, the best iPhone is the best phone.
Fanboy much?
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My username and password is stored on the phone! I'd never consider storing any password in Android. It's unbelievable to me that you would think you have any chance of being secure using using that OS! If you haven't had your identity stolen already, it's because criminals just haven't gotten to you yet.
Millions of people feel differently.
 
Not all the China phones are cheap. There are higher-end phones that are full spec phones with all the features you want. The difference? They aren't selling them at 50% profit margin, and those companies don't maintain billions of dollars cash made off their high profit margins. Apple COULD beat those numbers if their phones weren't upwards of $1000 USD.
Look around and see what some of these Chinese companies are offering for a couple hundred bucks. Phones with features that you'll not find even in Apple phones. It's actually pretty amazing what you can get for a few hundred dollars.

As an expat living in Mainland China I very much agree, the iPhone simply does not differentiate enough versus the local providers. I see more and more switching to Huawei, iOPPO, Xiaomi etc. There are are also many others, nor are these phones cheap junk as some would like to portray, with the high end models being very decent smartphones. I have a Huawei P9 myself and have zero complaint.

Apple want's to improve it's numbers. it needs to work on both value & features, or the trend will continue. Another aspect is the software image, the Chinese companies are providing phones with the software that works for the indigenous population, with some only catering for the Chinese market, some a little like Japan they reserve the best for the domestic market. Hence Apple's interest in India...

Q-6
 
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Who cares, and how profitable is Xiaomi? Apple laughs all the way to the bank.

Trust me, Apple is not laughing at losing 30% of it's sales from last year.
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Exactly. Apple is never going to have the volumes of $100 phones.
Why is this even news?

It's news because the share dropping has led to a sales dropping by 30% in China from 2015. That is news isn't it?
 
It looks like a few years ago China was trying to crack down on telecom subsidies. https://www.bloomberg.com/news/arti...bile-taking-steps-to-cut-smartphone-subsidies So that's probably a big reason why the sales aren't so great. If you took away subsidized plans here in America, there would be tons of people who couldn't afford an iPhone.
That's already the case for a lot of customers. I pay full price for my iphones now; and I buy the directly from apple.
 
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...
Reminds me of the de-badged Chevy Malibu ads where "customers" think it's a BMW or Audi with it's sleek styling and array of amenities. Either they were paid off to say that, i.e., actors, or they don't really understand what makes a BMW or Audi a BMW or Audi and those cars are not in their market in the first place -- Chevy Malibu is.
It is a dangerous to assume that the competition remains still, while in reality the hardware gap is narrowing, significantly.

We have seen this effect with a number of industries lost to foreign countries:
  1. TVs used to be American made (Zenith, Westinghouse, Emerson, Silvania, et al), no more.
  2. Professional cameras used to be German (Leica) and Swedish (Hasselblad), no more.
  3. "White" appliances used to be American made (GE, Maytag, Whirlpool, et al), no more.
And, using your car analogy, do not underestimate the inexorable progress made by Korean and Japanese brands against the like of German brands.

Apple is facing that narrowing, hardware-gap reality.

Personally (this is just me) I would not consider the Pacific-rim cars to provide proper aesthetic substitutes, exterior and interior, but the quality of their hardware has already narrowed. (The Korean and Japanese brands, even including Lexus, have yet to assimilate exterior design language that stands the proof of time, like a Porsche 911, Audi TT, BMW 8 series, ... but that is not a market they are vying to.)

Apple's linchpin product, in terms of hardware, is facing partial parity in both features and quality, which is priced lower to their own. The only remaining gap is on the services.

So, software and services is where Apple must continue to excel in geometric, not just incremental, terms to this competition as to retain their real/perceived value.

If not, they will face a similar fate to the other industries I listed above.
 
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It is a dangerous to assume that the competition remains still, while in reality the hardware gap is narrowing, significantly...
It's also dangerous to assume, apple will stand still. They are the best chip designers in the business, have a huge services infrastructure in place; provide top notch-support.

It's true over the last 60 years, some things have changed significantly where america has given away their stronghold in various industries, it is also true, some great work is being done US. How this all plays out is anybodies guess.
 
No, I'm an end user who realises that a health Apple translates to a healthy ecosystem that has great software and hardware to choose from; a thriving iOS ecosystem benefits me which benefits Apple just as a thriving macOS ecosystem benefits me and Apple. Honestly, you'd sooner have the situation of Microsoft where they have 90% of the marketplace and their partners are about as excited about Windows future as one about the idea of contracting gonorrhoea?



True but there are a lot of things at play that I believe Apple cannot control so we'll have to see how things play out because I honestly believe even if they magically made the iPhone cheaper you'd still be dealing with the 'hyper nationalism' of Chinese consumers akin to what one observes in Korea - very much insular societies but then again that is very similar to American consumers being less open to Chinese, Korean and Japanese mobile phone brands.

"Apple translates to a healthy ecosystem"

Err.... what? Tim Cook is destroying the ecosystem, neglected product by neglected product.
 
5 years ago in Hong Kong MTR (subway) literally EVERYONE was playing the iPhone. Nowadays it's not such a common sight anymore. But hey, maybe if they make it thinner, no ports, and more expensive, Apple will gain market again?
 
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This post pretty much sums up Apple software under Tim Cook - a mountain of cash and completely unwilling to spend it to improve product quality.

The iPhone/iOS is rubbish in China.

Apple doesn't seem to have people smart enough to inquire about and fix bugs every single Chinese iPhone user has to face on daily basis.

Apple Mail uses up 30% battery if one happens to dare have a gmail account. Apart from that one gets asked for the gmail password every single day.

QQ mail (one of the biggest email providers in China) is not supported properly. Mails older than a month simply vanish from the inbox. IMAP folders, Spam folder don't show up. What a mess.

The iOS weather app doesn't recognise cities like Manchester or basically any UK or German, French etc. cities apart from the capitals.

Apple maps doesn't find reliably locations written in Chinese or pinyin.

WeChat doesn't work properly with the Apple Watch. Messages don't get sent out in 50% of the cases. No feedback that something went wrong. The message just vanishes.

App Store often not accessible without a VPN.

I could go on for hours.

Some of these problems have been around for years.

Apple doesn't care.

I've been to a few Apple Stores in China and sometimes tried to ask if there were a way for the store employees to let Apple know about problems, Chinese iPhone users have to deal with.
Unfortunately the guys from the Genius Bar have no way of telling anyone in Cupertino about all this. There doesn't seem to be any connection between Chinese Genius Bar employees and engineers in Cali.

Ridiculous.
 
It's also dangerous to assume, apple will stand still. They are the best chip designers in the business, have a huge services infrastructure in place; provide top notch-support.

It's true over the last 60 years, some things have changed significantly where america has given away their stronghold in various industries, it is also true, some great work is being done US. How this all plays out is anybodies guess.

Agree absolutely, I7guy. On both counts:
  1. Apple leads with in-house, custom/bespoke chip design
  2. Apple leads with built-in, app services and in-store support
Looking back, I blame the relative erosion of Apple's hardware standing, entirely on Google/Alphabet. Google remains Apple's nemesis. Why?

Without Google's free-to-all Android software, and cloud-services, the competition would be lost, unable to compete. Google has made it possible for the competition to dedicate themselves to hardware, relying on Google to provide soft "intelligence".

This is why items (1) and (2) are essential for Apple to maintain leadership. Agree totally.
 
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As far as I know People in China rather buy Chinese products. Apple will loose this market.
Who are the owners of these Chinese companies ?
Apple didn't have China in the beginning.
Those Chinese phones are cheap and practically disposable.
It may not one the whole country, but there still are lots of people who prefer to buy an iPhone over any other phone.
Even a 10% of the market brings a lot of revenue to Apple.

No doubt, China has phone for every taste and budget. That's why it's China. :D
 
Are you sure?



Donald J. Trump‏ @realDonaldTrump

I use both iPhone & Samsung. If Apple doesn't give info to authorities on the terrorists I'll only be using Samsung until they give info.

https://mobile.twitter.com/realdonaldtrump/status/700795170023825408?lang=en
Since he can't seem to utter a word without lying, no, I'm not sure. I do know that the Secret Service wouldn't let Obama use Android for security reasons. I believe he was stuck with a modified Blackberry for quite a while, but at some point they relented and gave him an iPhone.
https://mobile.twitter.com/SidBeers/status/700795280959082496
Trump may be allowed to use anything he likes if they consider him to be already compromised. They are holding back sensitive information from him, so there's little risk on that front.
 
Since he can't seem to utter a word without lying, no, I'm not sure...

Trump may be allowed to use anything he likes if they consider him to be already compromised. They are holding back sensitive information from him, so there's little risk on that front.
LOL!

Totally. No need for secrecy with this numpty-elect.

As sure as sunrise, he will blast on Twitter, akin to a 13-year old teen, using upper case and bold signs, random and raw thoughts without introspection -- all to the charm of his flock.

Now, let us hear back from his protective flock, striking back, in 1, 2, 3...
 
I own an OPPO Blu-ray that is feature rich. However, I would never buy a phone or computer designed and built by a Chinese company.
 
I know when I go out ot buy any product, the first thing i Look for is a item that provides as much profit back to the company as possible. It doesnt matter if the production cost is the same, I spend more just for the benefit of providing profit to the company.
Sadly, that's apparently how some of these people think. They like to trot out that profit like it's something that impacts them. And isn't market share shrinking? Less product sold, less profit but some of these guys think market share means nothing.
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LOL!

Totally. No need for secrecy with this numpty-elect.

As sure as sunrise, he will blast on Twitter, akin to a 13-year old teen, using upper case and bold signs, random and raw thoughts without introspection -- all to the charm of his flock.

Now, let us hear back from his protective flock, striking back, in 1, 2, 3...
You mean like Hillary supporters are doing? Except, they are actually you know, assaulting people, destroying things but hey, let's trash Trump. You people are ridiculous.
 
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