Apple Lowers Revenue Guidance for Q1 2019 Citing 'Fewer iPhone Upgrades' Than Anticipated

[citysnaps]

Backtrack & cover your rear end all you want to but you stated thus:

And just wait till the latest trade tariffs come into play in March..

Insinuating that the previous tariffs had an impact on Apple’s bottom line.

Nope. Still wrong, still making stuff up. The current tariffs don’t apply to Apple products. They do, however, greatly contribute to the economic downturn in China. The tariffs coming in March will likely affect Apple directly.

Educate yourself. It does take a bit of time, but you’ll be much better informed.

 

[jjudson]

And what you call a “collapse” is what I’ve simply been calling on here and elsewhere for over a year now an overdue correction. This guidance revision is a noisy blip.

A blip certainly does not make a trend, but the downward trip from $232 to $143 since October is disturbing. I'm in with those who believe Apple has some systemic problems that need to be addressed -- those including quality control and probably more critical, new product development. There is nothing out today that wasn't either released or in planning when Steve Jobs died. I think that the lack of a visionary for this company will only compound their challenges in 2019.

It's time for Cook to go.

 

[turbineseaplane]

It's time for Cook to go.

Absolutely - He's essentially Sculley 2.0

We need a product visionary back at the helm again.
Those are hard to find, of course, and companies do tend to run their course eventually.

I hope we don't look back at now as "when Apple really began to die for good".
That'd be incredibly sad, especially given the nature of the rest of the tech landscape (mostly "yuck" & "meh")

 

[shinemoon]

Apart from the pricing which i think they have horribly gone with.. I see a very confusing product line in every segment.

You have 3 generation of iPhones, 2 gen of iPad, MacBooks..

It reminds of my Compaq Pressario days.. when we had to browse the compaq, dell & ibm website & were so confused on what to buy.

During Steves time before the keynote the store used to go down & came up refreshed with new products.. & the older product was discontinued.

I also think because Apple is carrying so many Generation of a particular product they are getting the pricing wrong & leaving the consumer confused.

 

[The-Real-Deal82]

the apple watch has made it Impossible for me to not have an iPhone...it's that good.

I’m in that position too but I have a Series 2 which is still awesome and an iPhone 8+ which is a powerful phone. Unfortunately for Apple these options mean I don’t need the most expensive products they offer to get this experience. When people are keeping devices longer and upgrading to older models it takes a bit off their overall profit. They still win by keeping your custom though even if I only spend £2 a month on their additional services .

 

[Radon87000]

It may have been true in 1995, but 27 years later things have changed significantly in every aspect of modern life.

Apple has been posting such massive profits that any down quarter their stock gets punished. Apple took several unusual steps to counter the old planned obsolescence meme by having inexpensive battery replace. IOS 12, which optimized the performance on all 64 bit devices. And may have contributed to device longevity at the expense of iphone sales. I did take the plunge and got a max, which I really enjoy using.

Everybody is going to believe what they want and have the opinions they have.

My opinion is apple is going to be just fine and apple has already been formulating their counter-strategy and is always ahead of the curve. What that is we will come to know.

P/O is not a meme. Cook flat out admitted battery replacements were slowing sales. Which means prior to this when sales were increasing it was due to Throttlegate.
[doublepost=1546545892][/doublepost]

As has been pointed out repeatedly by @john123 the margins have remained consistent since Jobs days. The components of today are more expensive, hence the higher prices.

Weren’t you saying those tear down costs are not reliable and they don’t account for r&d and other intangibles over a year ago?

 

[The-Real-Deal82]

Apart from the pricing which i think they have horribly gone with.. I see a very confusing product line in every segment.

You have 3 generation of iPhones, 2 gen of iPad, MacBooks..

It reminds of my Compaq Pressario days.. when we had to browse the compaq, dell & ibm website & were so confused on what to buy.

During Steves time before the keynote the store used to go down & came up refreshed with new products.. & the older product was discontinued.

I also think because Apple is carrying so many Generation of a particular product they are getting the pricing wrong & leaving the consumer confused.

If Apple didn’t stock older devices then they’d lose even more money and on a massive scale. Just think how many people have been buying iPhone 7’s and 8’s over the last few months. It’s better to have those sales than push consumers to other platforms or to hold onto their devices even longer than they wanted to.

 

[The Game 161]

I’m in that position too but I have a Series 2 which is still awesome and an iPhone 8+ which is a powerful phone. Unfortunately for Apple these options mean I don’t need the most expensive products they offer to get this experience. When people are keeping devices longer and upgrading to older models it takes a bit off their overall profit. They still win by keeping your custom though even if I only spend £2 a month on their additional services .

This is the thing if anything it’s a credit to apple level of great products that more aren’t upgrading

Older android devices for example typically don’t last many years without slowing down over time which effects performance

So I know prices are bad Hense not as many upgrading but says a lot about the older products too

 

[Radon87000]

LG just unveiled an 88 inch 8k oled tv. Think you can get that for $500? TV tech goes into the old tech category very fast. Almost within a year. But if you add oled there will be a price premium. Oled has been around since 1989, seems it should have pushed lcd out the door.
[doublepost=1546526080][/doublepost]
There is also tech, such as oled that hasn’t been any phone. iPhone 1 also debuted at $699? In 11 years having the max start at $999 with all of the tech seems like a bargain.

Apple;s profit margins and all that stuff is irrelevant when the competition is selling equivalent phones at half price. I suspect Huawei is giving tough competition to Apple in China and they have been completely wiped out in India. If something costs too much to produce and the end result isn’t something revolutionary to the end customer and if it raises prices, not a smart move to implement it.
[doublepost=1546546496][/doublepost]

Throttling? As opposed to your android phone just “dying”. The “throttling”(aka power management) at least gives you a choice.

I don’t see any mass outrage on Android like he one on iOS so yes android phones don’t die.

 

[I7guy]

Apple;s profit margins and all that stuff is irrelevant when the competition is selling equivalent phones at half price. I suspect Huawei is giving tough competition to Apple in China and they have been completely wiped out in India. If something costs too much to produce and the end result isn’t something revolutionary to the end customer and if it raises prices, not a smart move to implement it.

Then buy a huawei phone. I don’t want one and out my money where it mouth is.

I don’t see any mass outrage on Android like he one on iOS so yes android phones don’t die.

I don’t see mass outrage on iOS. Only some vocal posters who make it seem like there is a lot of hubris. And android phones just die, I can provide links if necessary.
[doublepost=1546546894][/doublepost]

P/O is not a meme. Cook flat out admitted battery replacements were slowing sales. Which means prior to this when sales were increasing it was due to Throttle-gate

No he didn’t. You and I must have read different communications.

Weren’t you saying those tear down costs are not reliable and they don’t account for r&d and other intangibles over a year ago?

I did t cite any figures I cited someone who cited some figures. Big difference.

 

[LovingTeddy]

This is the thing if anything it’s a credit to apple level of great products that more aren’t upgrading

Older android devices for example typically don’t last many years without slowing down over time which effects performance

So I know prices are bad Hense not as many upgrading but says a lot about the older products too

Here is a deal. I rather wants to hangon a sub 500 dollars Android phone for 2 years and upgrade to other 500 dollars Android phone. I get newer phone with newer technology.

If Apple is charging 1000+ plus, they better make sure they support that expensive devices longer than typical lower cost Android. This is path Apple choose, they need deal with consumer holding their 1000+ dollars devices longer and maintain that support. Why else spend 1000 dollars when you can get else where for 500 dollars?

Apple fans always think how much longer iPhone last compare with Android. But majority of Android phone out here aren’t selling for top dollars. I and most people are happy changing their devices more often when cost is low.

 

[The-Real-Deal82]

This is the thing if anything it’s a credit to apple level of great products that more aren’t upgrading

Older android devices for example typically don’t last many years without slowing down over time which effects performance

So I know prices are bad Hense not as many upgrading but says a lot about the older products too

It’s certainly a credit to the quality of the product and as iPhones become more expensive, the trend for keeping devices longer is only going to grow. Apple should expect this decline to increase somewhat in the coming years I would say. If I had paid £1000 for an XS then I’d likely want to keep it between 2 and 3 years. There’s no way I’d be losing money getting rid after a year.

 

[LovingTeddy]

Then buy a huawei phone. I don’t want one and out my money where it mouth is.


I don’t see mass outrage on iOS. Only some vocal posters who make it seem like there is a lot of hubris. And android phones just die, I can provide links if necessary.
[doublepost=1546546894][/doublepost]
No he didn’t. You and I must have read different communications.


I did t cite any figures I cited someone who cited some figures. Big difference.

Huawei already outsells iPhone. Huawei is competiting hard with Apple and I see more and more people carry Huawei in Canada.

 

[linkgx1]

I think it was this one.

Thanks!
[doublepost=1546548289][/doublepost]

WhatsApp is also very popular in Europe. iMessage is somewhat irrelevant.

Ah, just in my neck of the woods. I think the US is the odd one out then.

 

[appleofmyibook]

Give me then an iPhone Google Edition, where I can choose what will be my default apps for mail/browsing/messages and I will happily return as a customer. After ten years of owning iPhones, I recently switched to Android and am very happy with the performance and the flexibility of a device (Xiaomi A2) that costs a fifth of the iPhone XS and still delivers a great experience.

You’ll be back. Give it a few months ‘lag-time’ so to speak. You’ll start to feel the Android tax. It’s not in the form of money, but in the form of lag and blood pressure lol.
[doublepost=1546548904][/doublepost]

Such as what? Pricing is the only thing they can change to make people buy...

They might introduce a bundle into it. Buy an iPhone get a year of our new TV streaming service. Or they might start financing your phone themselves instead of your carrier.

 

[Gilligan's last elephant]

I don’t see any mass outrage on Android like he one on iOS so yes android phones don’t die.

Last 4 phones, Sony, Motorola Play, Lenovo P2 and Huawei P20 Pro. All worked normally down to 4% or 2% battery level, then had a controlled shutdown. No crashes. I also don't enable any of the low power options.
Edit: getting Lenovo P2 and Huawei P20 Pro below 20% at end of day was/ is unusual.

 

[KPOM]

The iMac was a game changer.

The clamshell iBook as well.

Everyone copied the look and the i-naming scheme from there on.

And built-in WiFi at a time when it was rare. With a base station that could dial up AOL or whoever and then serve that connection to everyone connected.

That’s exaggerating their impact. They were important computers but they didn’t fundamentally alter Apple’s customer base. They were competitive computers, but that’s like calling the iPad Pro a game-changer because it added useful features. They shored up Apple’s Mac line. The iMac was also important because Apple embraced USB early, though note that when Apple did the same with USB-C they got lots of complaints for “abandoning existing ports.”

However, the 2018 equivalent would be a new CEO coming in and making targeted improvements to the iPhone line that brought back sales growth. Important, but not game changing.

Game-changing would be something that expands into a new market that fundamentally changes the company.

 

[Naraxus]

Nope. Still wrong, still making stuff up. The current tariffs don’t apply to Apple products. They do, however, greatly contribute to the economic downturn in China. The tariffs coming in March will likely affect Apple directly.

Educate yourself. It does take a bit of time, but you’ll be much better informed.

So you're lying about what you said then. Got it.

 

[citysnaps]

So you're lying about what you said then. Got it.

Nope. Wrong. Yet. Again.

You're trying much too hard. Even after I correct you you're still trying to make it a "gotcha" moment.

Relax, chill a bit. Learn something new. Knowledge is your friend.

 

[Mainsail]

Disagree. The cannibalization would potentially be catastrophic.

Yeah, you are probably right, but it seems like Apple needs to have a portfolio of entry level devices to prime the pump for future folks to enter the ecosystem:

• new iPhone SE2: $499
• Base iPad: $329....which is one of the things they have done
• entry level Laptop: $999....might be able to drop the 12 rMB by $200 to $1099 be reducing storage from 256GB to 128GB
• new base iMac: $999

 

[Michael Goff]

P/O is not a meme. Cook flat out admitted battery replacements were slowing sales. Which means prior to this when sales were increasing it was due to Throttlegate.
[doublepost=1546545892][/doublepost]
Weren’t you saying those tear down costs are not reliable and they don’t account for r&d and other intangibles over a year ago?

That sure is one way of looking at it.

 

[golftime]

Apple did state in unequivocal terms during the earnings call that sales would in fact be down for the quarter. There was no "burying" of any problem, which would in fact be illegal if it did occur.

Moreover, no other phone manufacturer breaks down unit sales. Not Samsung, not Nokia, and not Google. In fact, you'd have a hard time finding any electronics maker breaking down sales by product line.

And in case you missed it, the Chinese economy is not faring well.

https://www.cnbc.com/2018/10/19/china-q3-gdp-china-posts-economic-data-amid-trade-war-with-us.html

But go ahead and keep spewing that contrived nonsense.

Maybe I can use some smaller words to explain this a bit better. Apple has historically provided sales figures by individual product line, forever. Several months ago they decided to stop this long term method of reporting sales. This change was clearly designed to disguise disappointing iPhone sales. To think otherwise is both naive and defies common sense given the clear failure to meet expected sales. The stock market saw through this and Apple stock has been in a decline since. I know fanboys like you are blind to the mistakes of Tim Cook, but the truth is Apple has lost $300 billion in value over the past few months. Yes, that is billion with a "b".

You can argue the trade war with China is a factor, but it clearly cannot explain this drastic a drop. Apple price increases have way, way out paced inflation, for products where the technology gains have been limited. Apple is still a wealthy company with lots of cash, but the real issue is the decline in both performance and overall value.

 

[I7guy]

Maybe I can use some smaller words to explain this a bit better. Apple has historically provided sales figures by individual product line, forever. Several months ago they decided to stop this long term method of reporting sales. This change was clearly designed to disguise disappointing iPhone sales. To think otherwise is both naive and defies common sense given the clear failure to meet expected sales. The stock market saw through this and Apple stock has been in a decline since. I know fanboys like you are blind to the mistakes of Tim Cook, but the truth is Apple has lost $300 billion in value over the past few months. Yes, that is billion with a "b".

You can argue the trade war with China is a factor, but it clearly cannot explain this drastic a drop. Apple price increases have way, way out paced inflation, for products where the technology gains have been limited. Apple is still a wealthy company with lots of cash, but the real issue is the decline in both performance and overall value.

Apple has gained more than it lost. If cook made mistakes he also had successes and it must be critics are blind to those successes.

 

[john123]

A blip certainly does not make a trend, but the downward trip from $232 to $143 since October is disturbing. I'm in with those who believe Apple has some systemic problems that need to be addressed -- those including quality control and probably more critical, new product development. There is nothing out today that wasn't either released or in planning when Steve Jobs died. I think that the lack of a visionary for this company will only compound their challenges in 2019.

It's time for Cook to go.

Stop blaming the CEO for a company having frothy equity valuations. That’s the epitome of having the tail wag the dog.

 

[Naraxus]

Nope. Wrong. Yet. Again.

You're trying much too hard. Even after I correct you you're still trying to make it a "gotcha" moment.

Relax, chill a bit. Learn something new. Knowledge is your friend.

You haven't corrected anything. You've just been lying through your teeth about what you said.