Demand for Smartphones is Slowing, Says Apple Supplier TSMC

[44267547]

All smart phones have leverage with
only one thing in common, is carrier monthly payments. If it wasn’t for that, they’d never be able to sell these smart phones, because they’re becoming exponentially more expensive as the technology becomes more advanced.

But on the flip-side, Apples hardware is so good with their smart phones, they have very few problems, in addition to; five years of iOS updates is pretty significant that keeps consumers loyal to the same device.

I would say the only thing Apple really has on their side, is the ‘upgrade program’. Without that, I do feel that their sales would suffer even more, as carrier promotions just aren’t even that tempting.

Plus, now factor in inflation, smart phones (Or tech in general) are one of the last things consumers will upgrade if they don’t have to.

 

[You’re not me]

I upgrade annually for the new color.

 

[bushman4]

new hardware features helps sales iOS 16 can be had on at least 4 or 5 year old iPhones
And not everybody buys a new iPhone for Camera or Battery Life so other new features are needed

 

[Tagbert]

Largely because there is not really much innovation anymore
It’s incremental upgrades to existing feature sets, which is fine.

But as you said… it makes it pretty easy to get bored and not very interested in upgrading.

Phones are a mature product now. There are not that many useful changes to be made barring some significant technological advances. Incremental improvements are to be expected. that doesn’t seem to be a problem. If you are updating from a 3-4 year old phone, the changes add up.

 

[popdan]

should call it Shame Edition

 

[AndiG]

Even leakers are bored ?

I made it up to the 11 pro. It is fast, the camera quality is somewhere inbetween superb and good enough, depending on ligthning conditions and compared to the 12/13 series it feels small and lightweight. Last week of my Apple care it crashed face down and I got a new one, lucky me.

I really thought about the 14 Pro. But I don‘t want a fat and heavy brick in my pockets. And I‘m sure it neither has USb-C nor TouchID. What could be a reason for me to get it.

Apple Watch Series 7? Boring! I looked at in in the stores and had to ask if this is the ‚new‘ model. And even the Series 7 can not do stupid things like sharing hr frequency with my other devices.

The M1/M2 Macs are nice but niche products. Bad at standards, good at running Apple software. Couldn‘t care less.

Even Apples AR/VR headset will be a niche product - since most people don‘t want to wear goggles all the time.

 

[AndiG]

What would make a new phone exciting to you?
It’s hard to see what changes could be made.

Oh that is an easy one:

Take the iPhone SE:
- Add full screen covering display
- Add integrated TouchId
- Forget about FaceID (makes it cheaper)
- Add USB-C
- Keep it lightweight at 13x gramms

=> Awesome product, Apple isn‘t able to deliver

Try a harder question ?

 

[anthogag]

Demand for iPhone 14 Pro Max is growing.

 

[ajfahey]

Modern smartphones are so fast most people are happy to keep them for 3-4 years.

You got that right.

 

[ajfahey]

Oh that is an easy one:

Take the iPhone SE:
- Add full screen covering displ
- Add integrated TouchId
- Forget about FaceID (makes it cheaper)
- Add USB-C
- Keep it lightweight at 13x gramms

=> Awesome product, Apple isn‘t able to deliver

Try a harder question ?

True. They were once compelling compelling products every couple of years. Now very 3-5 years. Apple needs to get back to every couple of years with the iPhone. Is it possible? Yes. Once, Thomas Jefferson said there was no need for a US patent office because "everything that can be invented has been invented". Jefferson was obviously wrong. With the right people, Apple can pick up the scent again. If not, someone else will.

 

[gugy]

I still have my 7+. Honestly, works just fine. I’m upgrading for the 14 Pro Max and hopefully will keep as long. No reason to update every year. Just waste of money.

 

[Brien]

MR has always fed this culture with "are the changes enough to justify the upgrade?" articles. Why in the world would someone "upgrade" just to get the latest model? A phone is a phone. You buy it and use it until you need a new one. Then you buy the latest, and you'll find out all the new features it has. Just like a car, a TV, or any other commodity.

Except we live in a society that encourages rampant consumerism, so some people do upgrade their TV - or car - annually.

 

[return2sendai]

My home hub is my iMac. 8 years old and purring like a kitten on Mojave. No need to upgrade, hard or soft.

My SE2 is my first ever smartphone. I don’t see any need to upgrade until it dies.

My workhorse machines for the last decade have been my iPads. I live and work on iPads and need to upgrade every 3-4 years. My current 2021 12” Pro machine will go for 5 years easy.

My iPod Classic is a teenager, loaded up on the 80s synth of my teens.

 

[Harvey Zoltan]

Would be interesting to know how many people purchase a new phone not on a whim but because they've totally destroyed the one they have. I see people dropping their phones a lot.

 

[senttoschool]

True. They were once compelling compelling products every couple of years. Now very 3-5 years. Apple needs to get back to every couple of years with the iPhone. Is it possible? Yes. Once, Thomas Jefferson said there was no need for a US patent office because "everything that can be invented has been invented". Jefferson was obviously wrong. With the right people, Apple can pick up the scent again. If not, someone else will.

You can find these innovations on the Android side. Chinese and Korean phone makers have been putting out some crazy stuff like 120w charging, foldable screens, gaming-models, 240hz screens, etc.

 

[Sf844]

I wish I liked it more - just not for me
Tried the 12 Mini for a couple days -- just a touch too large

They are also heavier which I don't love -- I don't know..
Just bums me out they won't make a legit smaller phone again, especially after all that talk about "human hand size"

View attachment 1983837

They’re not going to release a new device for 4 chaps, 3 of whom will complain if it’s over 2xx dollars or so.

As we saw with the 12 mini, people who say they want a small phone usually mean they want a cheap phone more than anything else. I guess saying small sounds better.

Of course there are others who still live captive to 2012 Apple marketing and think a 5 inches device won’t fit in their pockets (presumably Lego characters).

 

[mrochester]

USB c.

Sad world we live in where that is exciting. Sounds pretty pathetic doesn’t it?

 

[Freeangel1]

NOT GOO NEWS for APPLE.

Since they kinda blew off the Mac to sell phones instead.

 

[Scoob Redux]

They’re not going to release a new device for 4 chaps, 3 of whom will complain if it’s over 2xx dollars or so.

As we saw with the 12 mini, people who say they want a small phone usually mean they want a cheap phone more than anything else. I guess saying small sounds better.

I want an iPhone 4-sized phone with Touch ID and the latest chip. $1000 would be a fine price point, but I'd go $1500 if necessary. Actually, I'd pay just about anything to be able to operate my iPhone with one hand again. The 12 Mini is a fail for me because it's too big. I couldn't care less about "cheap".

Of course there are others who still live captive to 2012 Apple marketing and think a 5 inches device won’t fit in their pockets (presumably Lego characters).

"Think"? No, I KNOW it doesn't fit in my front jeans pocket and allow me to sit down. But more importanty, it can't be operated with one hand.

 

[MacsRgr8]

The smartphone industry has changed many things in life...

• Instant news.
• Always in contact with everybody
• Takes pictures of everything
• Your favourite songs always with you
• Share your... <insert anything people do here>
• 24-7 work literally "anywhere"
• Small-screen gaming
• New form of status symbol
• People for ever looking downwards on their screens
• ...

... but it has also changed the need for extremely high-volume manufacturing, global explosive growth of transport, the urge to try to keep innovating by the manufacturers, etc.

Many good things of course.
But also many bad things, IMHO.
The manufacturing of it all.. so the transport of the raw materials needed and the final products to customers, etc. must have a huge impact on the environment and natural resources. I know companies like Apple are doing their best, but the sheer volume of these physical devices simply will do it's impact.

Now that the innovation in hardware and software has levelled off since a few years (i.e. only marginal improvements), more and more consumers see the need less to have a new smartphone each year.
And to me, that is a good thing.

I can imaging the "average" is now once in the 2 years (?), and that will go to 3 years. I hope.

 

[Wanted797]

MR has always fed this culture with "are the changes enough to justify the upgrade?" articles. Why in the world would someone "upgrade" just to get the latest model? A phone is a phone. You buy it and use it until you need a new one. Then you buy the latest, and you'll find out all the new features it has. Just like a car, a TV, or any other commodity.

Except me. Who got a 12 pro max and can’t wait to get smaller phone again.

 

[sudo-sandwich]

The reasoning is lockdowns... I thought nobody would be buying new smartphones (or Teslas!) during the 2020-2021 lockdowns in the US, but somehow they did.

 

[4jasontv]

They’re not going to release a new device for 4 chaps, 3 of whom will complain if it’s over 2xx dollars or so.

As we saw with the 12 mini, people who say they want a small phone usually mean they want a cheap phone more than anything else. I guess saying small sounds better.

Of course there are others who still live captive to 2012 Apple marketing and think a 5 inches device won’t fit in their pockets (presumably Lego characters).

The opposite, really. People asked for a flagship mini and got something more like an SE XL.

It’s all about one handed use. I should never have to admit my grip while using it. But that doesn’t mean I don’t what the best camera, chips, and features.

 

[amaze1499]

I wonder why people don't want the "new" SE... ?

I assume, it’s partially because there is nothing new to the looks of it. The internal updates are not perceived as valuable enough to ditch iPhones 6;7;8 etc. at the increased price of the SE. Trade in quotes were also lowered.

 

[Marbles1]

The most recent form factor is too chunky and a bit ugly for my tastes - still using an iPhone 11 Pro. It's fast and runs the latest iOS. I don't see a need to upgrade. I was one of the people that would queue up for the new iPhone - back in the iPhone 4 days. Each upgrade did seem like a big improvement but we've reached that point in tech where there are only incremental improvements. I'll probably wait it out for a high quality but smaller phone.