Apple Reports 4Q 2016 Results: $9B Profit on $46.9B Revenue, 45.5M iPhones

[El Cabong]

Come on the A10 is the fastest chip out now - it will matter not just for games but as more intensive apps come on line. Both the 6S and 7 have 3d touch (on the 7 much better apparently) which is a major innovation. OIS on both models of the 7 is a significant improvement and yes an optical zoom and better low light performance are great upgrades. Oh and a 256 GB model for those photo and video horders.

Yeah. None of these are major innovations. They are merely minor improvements.

A10 - It's a bare minimum requirement that a chip should improve between generations. What intensive apps are you referring to? Instagram?
3D touch - As you point out, this was already in the 6S. We're talking about the 7.
Camera - The dual system on the 7 Plus is nice, but, like the OIS, they should have put it in both phones to begin with. Again, for most consumers, this is an incremental upgrade (because most people don't understand camera technology). (Case in point: it's not a true optical zoom.)
Increased storage - Again, this is an incremental improvement, not an innovation.

We already know that the real innovations are being saved for next year's iPhone. Pretending that the 7 is something that it isn't doesn't change that.

 

[rGiskard]

iPad sales aren't so impressive, so it's a good thing they raised the price on the last update. That way they can sell fewer so sales will...er, wait, that doesn't work out right...

Well Mac sales are down but at least they haven't updated them in a while. That way sales are down for a good reason. Amirite?

Gosh, it's almost like Apple wanted sales and revenue to drop. So they achieved their goal FTW!
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I've stalled the purchase of an iPad endlessly in anticipation of the next improved version. I was credit-card-in-hand close to ordering the jumbo iPad Pro when it was first released, but it still felt somehow incomplete. After numerous times of using it side by side with its 9.7" sibling at the Apple Store, I left undecided still, and fed up with the wasteful dysfunctional experience of iOS 10. It's just not a good fit. It would be a no-brainer for the (12" especially) to use OS X (or a special variant) with a proper file system and real Pro apps. Why they haven't done that is beyond me. Should that happen, I'd preorder in a heartbeat.

So true. They just took the OS from a 3.5" phone and blew it up to fit a 13" tablet. It's stupid and lazy. They are coasting on the successes of the Jobs era.

The thing to remember is that it wasn't only Jobs that Apple lost. After his death Apple bled talent. Now the upper rank of management is populated by people who worked well with Jobs, a very domineering and controlling personality. They obviously don't work well without a genius arsehole breathing down their neck.

 

[Born Again]

iPhone 7 hasn't been shipping long enough to have a substantial impact on quarterly revenues, and since waves of phones are purchased during the holiday quarter and thus have holiday quarter update cycles, I would expect iPhone 7 to do well this season.

The iPhone 7 Plus camera instantly became an "I can't live without" item. New flash and 2x optical zoom. The A10 processor is INSANELY fast. Battery life is noticeably better. Screen color and clarity is remarkable. Lightning EarPods sound better. Speakers sound better. Waterproof. New pressure-sensitive home button that doesn't foul days or weeks after adding your fingerprint to TouchID. I've been recommending iPhone 7 to everyone-- I've never been so satisfied with the 7, and feel it's a larger upgrade than any previous generation.

Just what about it isn't different? Oh, the form factor. Well, there isn't a whole lot you can change in a mature device category like this. Edgeless displays? People complain of usability issues and case interference. No top/bottom bezel? No place to put the ear speaker and proximity sensors. Projector that no one would use? FM radio that can't get a decent signal in 90% of America?

okay well let's wait for the next quarter results where tim says differently about sales.

 

[rGiskard]

The iPhone 7 Plus camera instantly became an "I can't live without" item. New flash and 2x optical zoom.

Check the dxomark reviews, the new Google Pixel camera DESTROYS the iPhone's camera. The reason is rather simple: Google uses a far larger image sensor. Apple went cheap to preserve margins. There are also minor issues with iPhone's white balance that are due to poor engineering, easily corrected but annoying nevertheless.

 

[JGIGS]

There are a lot of other places you can live on that kind of scratch.


You can count me as one of each. I switched to Android and 4 months later switched back to Apple.

lol I'm in the same boat of flip flopping. Prefer the pure android experience (navigation/notifications/customization) but I give apple the edge hardware quality and ios seems to run more efficiently. Went back to my 5S after breaking my Nexus 6P.

 

[Benjamin Frost]

I've listen to other earnings calls where he's seen more engaged and gave more thoughtful answers. Today his answers were short and lacking anything meaningful. Might as will not have an earnings call and just put the numbers out there.

Indeed.

I have listened to every earnings call Tim Cook has spoken in, and he has never sounded anything like as lethargic and gloomy as he did in this call. It was also unusually uninformative. Something's up with him. R&D doubled; maybe they've just wasted a gargantuan amount of money on the car.
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iPad sales aren't so impressive, so it's a good thing they raised the price on the last update. That way they can sell fewer so sales will...er, wait, that doesn't work out right...

Well Mac sales are down but at least they haven't updated them in a while. That way sales are down for a good reason. Amirite?

Gosh, it's almost like Apple wanted sales and revenue to drop. So they achieved their goal FTW!
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So true. They just took the OS from a 3.5" phone and blew it up to fit a 13" tablet. It's stupid and lazy. They are coasting on the successes of the Jobs era.

The thing to remember is that it wasn't only Jobs that Apple lost. After his death Apple bled talent. Now the upper rank of management is populated by people who worked well with Jobs, a very domineering and controlling personality. They obviously don't work well without a genius arsehole breathing down their neck.

Perceptive comment.

 

[megadon]

The tech industry is cyclical. The cash reserves apple has will allow it to dominate the next wave. And regardless of how many phones they sell, their products are refined and better than what competitors have to offer. I don't see that trend changing anytime soon.

 

[zzLZHzz]

This is a two edged sword.
1) It is great for you so when it finally goes phuttt you are more than likely to buy another iPad
2) If it not so great for Apple that you are not thinking of replacing it for some considerable time to come

I have an iPhone 7. My iPhone 6 is now being used by someone who never had a smartphone before. She won't want to replace it for 2-3 years at best.
If these were android phones then the old one would not be long before the recycle bin. Again good and bad for me and Apple.

That's life and I hope that Apple are doing the sums with longer and longer replacement cycles before issuing guidance to Wall St.

totally agreed on the double edged sword. in fact i believe the mac has even a longer replacement cycles, 5 years on my mac was still working although old. eventually i passed it to someone else that need it and get a new one.

that also probably why apple is growing their services and that area is clearly growing.

 

[DEMinSoCAL]

totally agreed on the double edged sword. in fact i believe the mac has even a longer replacement cycles, 5 years on my mac was still working although old. eventually i passed it to someone else that need it and get a new one.

that also probably why apple is growing their services and that area is clearly growing.

The whole industry has figured out that they either need to convert their products to services or go out of business. Long gone are the days of upgrading your PC every year or so just to have the latest and greatest. Now, even for a PC, 3-5 years is normal. As software transitions to subscriptions, not only does it do away with piracy, it guarantees income. Smart move for businesses.