He didn't do anything, Steve Jobs did it, Tim is just riding his coat tails.
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Apple Reports Q2 2018 Results: $13.8B Profit on $61.1B Revenue, 52.2M iPhones
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He didn't do anything, Steve Jobs did it, Tim is just riding his coat tails.
My guess is we'll see a similar trend to what we have seen over the last few years. Everyone thought the X wouldn't sell, it did. Now they plan on introducing an X like design at $799, a new X at $899, and a Plus at $999. Expect more growth from Apple, as always.
This was the first thing that caught my attention. While Services has grown (in its own right).
I remember when Cook used to brag if Mac were its own company, it would be a Fortune 100. You don't hear that kind of bragging any more. "Back to the Mac" is long gone.
Apple computers are still wildy successful, they may just not be the form factor you’re used to. If you’re holding on waiting for a Mac renaissance, it’s probably best to move on.
Ah the ever familiar but not accurate “riding the old coattails “ comments. iPhone 6 and up, Apple Watch, airpods, HomePod s, Face ID. But your right, all of these things were Steve’s inventions.
5.5% of revenue spent on R&D is pathetic.....
Gross margins were down slightly for the quarter (and the iPhone X was the best selling iPhone) so unless the margin reduction came from somewhere else (it's possible), it's likely iPhone X margins are lower than other iPhones.
"....The average selling price of an iPhone was $728 in the quarter, down from $796 last quarter and $655 in the year-ago quarter. Still, Apple CEO Tim Cook said "customers chose iPhone X more than any other iPhone each week in the March quarter, just as they did following its launch in the December quarter." .."
Looking at that curve, one would have to think that sales of Iphone X, raised the ASP of iphones, then the growth of those sales of Iphone x tailed off fairly quickly. So basically, that model is not going to do much more as a profit growth driver.
Which would be why the move to replace that flagship, alongside moves to slash the cost of the OLED screen from Samsung, which is the most expensive component that Apple buys externally in that phone.
Looking at that curve, one would have to think that sales of Iphone X, raised the ASP of iphones, then the growth of those sales of Iphone x tailed off fairly quickly. So basically, that model is not going to do much more as a profit growth driver.
Which would be why the move to replace that flagship, alongside moves to slash the cost of the OLED screen from Samsung, which is the most expensive component that Apple buys externally in that phone.
imagine how it would be if they updated all there computers on a regular basis , And made laptops that people would love to buy with keyboards that don' t suck or break down . Whats a computer is apples new slogan ...
Apple is just leveraging their brand name for maximum profit. If you don’t need to invest millions and millions into your products to sell them then it’s a waste of money. They own the most popular and trendy brand name in the tech world so increased marketing will have much better returns than an increased R&D budget.
Exactly this. The iPhone X estimates were ridiculous to begin with. Yet people who don’t like the X (or Apple) and want it to be a failure will believe supply chain noise/rumors over Tim Cook on an earnings call with investors.
I am of the opinion that an increased R&D budget will just result in diminishing returns anyways. Makes more sense to just return the excess money to the investors in the form of share buyback. Apple is literally making money faster than they can spend it!
If I make $1000, I can spend just 1% on R&D, and that is still more than somebody making $50 and spending 10% on its R&D.
Get it?
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Probably not much more.
How long is the upgrade cycle of a typical laptop/desktop? Compare that to the typical upgrade cycle of a smartphone.
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Really? Enough with the Jobs worshipping. Let him rest in peace.
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Are you sure Apple is not doing enough in R&D? The fact that they have arguably the fastest and most efficient mobile SoC on the planet, is not enough R&D for you?
What would be good R&D for you? Copying notches or making PC boxes?
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If that was true why do they bring out a new iphone every year?
In the all in one markets there are some real competitors from dell HP and even microsoft surface studio .
in laptop land its much the same thing . And dont get me started on mac pro and mac mini witch is so oud dated ... no one will buy them . don't forget apple has billions to spend , and yet the competition around them is so big that my next computer will not be a Imac .
Anecdotally small sample size is small.
I see plenty of them.
Which of our statements is reality?
"Other" probably means "Dongles"...
Not surprised about the steady line on mac sale... dropping PRO for Premium isn't the best keeping the "PRO" customers. A lot of people stick with old Macs... at least that's my observation. USB-C only isn't an innovation, especially with OSX still not supporting DisplayPort (MST). In 2018. Now Apple even managed to brick DisplayLink with their latest update. No 4K Screen on the 2000€+ devices either.
I'd like a new 12" MacBook with Touchbar. Apple still not delivers on that. Not sure what Cook's vision is... same for the iPad Mini. Still no successor. If Apple drops the Mini size iPads they'll lose customers... large iPads don't fit any pocket...
Not surprised about the steady line on mac sale... dropping PRO for Premium isn't the best keeping the "PRO" customers. A lot of people stick with old Macs... at least that's my observation. USB-C only isn't an innovation, especially with OSX still not supporting DisplayPort (MST). In 2018. Now Apple even managed to brick DisplayLink with their latest update. No 4K Screen on the 2000€+ devices either.
I'd like a new 12" MacBook with Touchbar. Apple still not delivers on that. Not sure what Cook's vision is... same for the iPad Mini. Still no successor. If Apple drops the Mini size iPads they'll lose customers... large iPads don't fit any pocket...
Put another way, the iPhone X sold quite a bit less as a percentage of total sales during the March quarter than it did during the December quarter when it was only available for less than two months. That would support the idea the iPhone X sales are heavily weighted toward the initial period of availability and started dropping off fairly quickly.
Also, a lot of people are making the mistake of assuming the current Apple results are mutually exclusive from the other suppliers' drop in orders. It is certainly possible Apple ordered many more units of the X than they needed and have sufficient quantity on hand to meet consumers' needs through the end of the current cycle.
If you assume 25% of Q1 sales and 20% of Q2 sales are the X then you have a total of only 30 million units sold through the first half of the year. Initial indications were Apple anticipated 80 million units for the entire year and eventually cut that estimate to 50 million units. It is quite likely if suppliers initially were working on an 80 million unit order they already produced enough components to last the full year and the order cuts are real even though Apple's results are still good.
I think even Apple expected a supercycle this year. Tim Cook's comments in Q2 last year blaming the YoY drop in units sold on customer's expectations of a new phone later in the year support that. I don't think Apple expected a fourth consecutive year of stagnant unit sales after the introduction of their most advanced device ever. Apple is on track to sell 215 million phones this year which is almost the same as last year and 15 million less than the high-water mark in FY15.
Go review Apple's R&D budget. It is a line item in their financial statements. It was $11.5 billion last fiscal year. They increase it every year and by a lot. More than 10% every year. But research and innovation is not just a service that you buy by simply pumping more money in it.
You do realize Apple has never made more money from the Mac line, right? It IS the size of a Fortune 100, but their other businesses are so big, the Mac biz seems small.
You know JUST the wearables biz alone is a Fortune 300 now?
Apple just made more profit in 90 days than most of the Fortune 100 do in 1-2 years.
Apple's new $100B buyback is bigger than the entire size of most of the Fortune 100.
They don’t necessarily have to raise the flagship price to raise the average cost per unit sold.
Thing is, I'd rather see Apple split itself in Apple Inc. and another division.
E.g: Apple Computer, fully focused on macOS and mac machines.
A fool's dream.
Do you love every sports team? I have my favorites, maybe when you go to a ballgame you hope both teams win.
I have no problems with made in China. Do you? Do you think Google’s server farms are 100% built in America?
I hope either team wins depending on my parlay / spread / hedge bets
I have no problems with made in China either.
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They're both real. Maybe he lives somewhere where Apple products aren't as prevalent? When I was in Suwon, Korea, there were probably < 1% iPhones and > 99% Android.
In my day to day in NYC south of 14th, I probably see 60% iphones 40% android. Of the 60% iphones, about 50% are iPhone X's now. This morning, I saw a woman with the Studio Beats X and an iPhone X playing music loudly and kind of dancing as she was walking. Reminds me of the target profiling that the commercials were doing.
Incredible.
Always talk of Apple's demise and then results come out and...
Always talk of Apple's demise and then results come out and...
That's because products like the Mac Pro and Mac Mini drive corporate profit about as well as the Airport and iPod products did toward the end of their lives. They are dead end products in the post PC era. When products aren't making much money there is no point in keeping them around. Apple is slowly getting rid of the stuff that is just a distraction. iPod (other then the Touch which I'd guess will be EOLed soon) and the Airport have both been cut. I can't help, but think the Mac Mini will follow those products soon. The only desktops that Apple needs to produce at this point is the iMac and iMac Pro. Both probably don't have much to offer to Apple's bottom line, however having one desktop is probably complementary to their laptop line.