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Falling demand is an indication of a product that "people actually want"? I see.

Yes but every car manufacturer does this while Apple keeps full prices until the day the the new models are announced.
 
Likely any impacted is already reflected in the guidance that was adjusted.

Again, this is a problem very specifically related to a slowdown in China.

The prices weren’t too high in markets like the US, Canada, Spain, Italy, Germany and Korea where records were set. Prices won’t be dropping there, but they might in China and already have.

Can you provide links to evidence that records were set in the US? I’m particularly interested in the number of phones sold.
 
Want me to upgrade from my 256gb iPhone 7? Here's how:

Make the next flagship the same physical size, same weight or lighter. NOT thinner necessarily, but lighter weight. Switch to USB-C. Same or better resolution as XS. At least 256gb or better, and $999 OR LESS. Then we'll talk.
 
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Go ask BMW or Chanel to see if they cut prices just because they make less money in a quarter.
When i was a kid Mercedes launched the baby Benz, the 190. People and magazines and printed articles were all "Can Mercedes offer a cheaper quality car? No way". Among many things it used to be the standard taxi car in my country. You easily found models beyond 1 or 2 million kms.
It is currently called the C class, nowadays under that they do the A, CLA, GLA classes.
So yes, they do cut prices. They just find clever ways to do that.
BMW always had the 3 series (BMW is a brand that come from the bottom, unlike Mercedes) but nowadays they also have the 1 series, the 2 series, the X2, the X1....
They don't need to cut the prices of their staple models, the 5 series costs more or less the same of the A6 or the E-class.
Apple should do some cuts on the XS line as it is quite ridiculous outside the USA but not that much, the brand needs to be protected.
But they need versioning as the market is maturing (yes you can find it in MBA books) ie they need decent mid range offers, not half baked stuff like the 5C or badly priced as the XR.
It is not rocket science, they do it in the Macintosh, they did it in the iPod.
 
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Wait...so apparently many people with lives to live and so many bills to pay don't want to spend a lot of money on a cell phone? Wow, that's surprising.
 
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Just FYI (because this concept seems lost on most people), the objective of a business is to turn a profit, not rule the headlines with market share stats. A 100% market share means nothing if you lose money on each sale.
But you forget all the services you can sell to every new customer you won. No iPhone - no entry. This means for Tim to also sell no Apple Music - no iCloud plan - no Apple TV maybe not even the cheapest Mac.
He is not supposed to give those iPhones away for free but he could have easily priced the XR 100$ below its actual retail price and no one would have said its to cheap or brand damaging. The XRs development was cheap in comparison. All they did take were left overs from the XS max and previous phones.
 
When i was a kid Mercedes launched the baby Benz, the 190, currently called the C class, nowadays under that they do the A, CLA, GLA classes.
So yes, they do cut prices. They just find clever ways to do that.
BMW always had the 3 series (BMW is a brand that come from the bottom, unlike Mercedes) but nowadys they also have the 1 series, the 2 series, the X2, the X1....
They don't need to cut the prices of their stable models, the 5 series costs more or less the same of the A6 or the E-class.
Apple should do some cuts on the XS line as it is quite ridiculous outside the USA but not that much, the brand needs to be protected.
But they need versioning as the market is maturing (yes you can find it in MBA books) ie they need decent mid range offers, not half baked stuff like the 5C or badly priced as the XR.
It is not rocket science, they do it in the Macintosh, they did it in the iPod.

Perfect!
[doublepost=1547826675][/doublepost]
Wait...so apparently many people with lives to live and so many bills to pay don't want to spend a lot of money on a cell phone? Wow, that's surprising.

I'd frame it differently.
People who can afford a smartphone at its full price still think it's overpriced, hence not worth the value.
 
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More-than-64-GB iPhone XR - US$799
More-than-64-GB iPhone XS Max - US$1249

That's a price premium of 56%, despite the fact they both show the same amount of data on screen, both have FaceID, both have the same CPU, and both have the same 1X camera. That's just crazy.

Apple, please:

1) Add a 2X lens to the XR.
2) Reduce the entry level price of the XS Max, or else make it 128 GB.
3) Reduce the mid and upper storage tier prices of the XS Max too.
4) Do the same for the XS.
5) Introduce a smaller LCD version of the XS. Right now the XR is the smaller LCD version of XS Max.

If you don't do something like this, I'll probably just keep my 7 Plus yet another year.
 
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This could be due to Trade War! Maybe manufacturing jobs are moving back...

Don't count on it. Labor is still WAY more expensive in the U.S. compared to China. The jobs will stay there. Anything coming back here is only coming here because it's been automated and the automation is cheaper than Chinese labor.
 
th
Just can't have bologna with out it.
 
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This moment was going to come sooner or later. The market is very near it’s saturation point. Just about everyone who wants a decent smart phone has one. And iPhones that are 3 or 4 years old still perform good enough. Those people will just get a new one when there’s gets super slow again or dies completely. There are still millions of us who prefer to upgrade ever 2-3 years so the iPhone isn’t going anywhere.

And to those saying there isn’t any innovation in the XS or XR are full of it. The problem is only partially pricing since the X was 999 last year and I see loads of them around in daily life. Even the XR is an amazing device. They could have released that last year at 749 and it would have stole the show completely and sold even better than the X did. It’s a mix of strategy and pricing along with market saturation. But it’s definitely not a lack of innovation. Face ID is amazing as are the cameras in these phones. I came from a 6S to an XR and was completely blown away especially by the cameras.

Its funny all yo apple ya sayers seem to have lost the sense of the word innovation, haha. There was no innovation since the 4s, not a single one. It was just refinement.
Could ya lock a 4s, yes ya could, called pin
Could ya take a foto, yes ma’am
Could ya have nice antenna design, yessir
Have a had nicely Retina display, yes my love = Liquid Retina already been!
 
When i was a kid Mercedes launched the baby Benz, the 190. People and magazines and printed articles were all "Can Mercedes offer a cheaper quality car? No way". Among many things it used to be the stable taxi car in my country. You easily found models beyond 1 or 2 million kms.
It is currently called the C class, nowadays under that they do the A, CLA, GLA classes.
So yes, they do cut prices. They just find clever ways to do that.
BMW always had the 3 series (BMW is a brand that come from the bottom, unlike Mercedes) but nowadays they also have the 1 series, the 2 series, the X2, the X1....
They don't need to cut the prices of their staple models, the 5 series costs more or less the same of the A6 or the E-class.
Apple should do some cuts on the XS line as it is quite ridiculous outside the USA but not that much, the brand needs to be protected.
But they need versioning as the market is maturing (yes you can find it in MBA books) ie they need decent mid range offers, not half baked stuff like the 5C or badly priced as the XR.
It is not rocket science, they do it in the Macintosh, they did it in the iPod.
If you actually read those MBA books, then you know about branding and customer segmentation.
And Apple does have mid-rangers. iPhone 7 starts at $450, and the A10 can mop the floor with mid-rangers chips from Qualcomm. In emerging markets, Apple is still selling the 6 and 6S for even less.
Apple's problem is their services. Right now, they rely on people buying new hardware all the time for revenue. With the upgrade cycle getting longer as people don't feel the need to upgrade their phones that often, Apple needs to put huge breakthroughs in their services. Right now, Apple is doing almost nothing to advertise iCloud services, and there are nothing major announced. Instead, they are chasing Netflix for no reason. Tim Cook really needs to put Eddie Cue to work.
 
Nobody can compete with Google Docs, not even Microsoft. Google is purely cloud solution, and they are way ahead to the point I don't see anybody can catch up for a purely cloud based suite. Apple did have iWorks in the cloud, but we haven't heard anything else after the beta announcement way back when.
Apple will face better chance competing with Office 365. Both rely on traditional desktop apps. Apple can leverage their consumer friendliness and Apple ecosystem integration over Microsoft.
They also have a steep hill to climb there. iWorks is just too lacking in basic functionality.
If you are doing full desktop apps they need to show it to be worth it over cloud apps.
A bit like email clients, how many people bother nowadays to use desktop clients?
If you actually read those MBA books, then you know about branding and customer segmentation.
And Apple does have mid-rangers. iPhone 7 starts at $450, and the A10 can mop the floor with mid-rangers chips from Qualcomm. In emerging markets, Apple is still selling the 6 and 6S for even less.
Apple's problem is their services. Right now, they rely on people buying new hardware all the time for revenue. With the upgrade cycle getting longer as people don't feel the need to upgrade their phones that often, Apple needs to put huge breakthroughs in their services. Right now, Apple is doing almost nothing to advertise iCloud services, and there are nothing major announced. Instead, they are chasing Netflix for no reason. Tim Cook really needs to put Eddie Cue to work.
I doubt the iPhone 7 can make Apple a lot of money because it was designed as a top of the line, no compromises device. And as the years go by a lot of stuff in it doesn't impress any more, the screen for example. The Touch ID speed. The cell modem. I could go on. Fit and finish will always be great but the rest ages fast.
The A10 is a singularity because of this specific advantage Apple currently has, that is it's super SoC design team. Even that... 450 buys you SD 800 devices. Not 600 which is their mid range SoC.
 
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If you actually read those MBA books, then you know about branding and customer segmentation.
And Apple does have mid-rangers. iPhone 7 starts at $450, and the A10 can mop the floor with mid-rangers chips from Qualcomm. In emerging markets, Apple is still selling the 6 and 6S for even less.
Apple's problem is their services. Right now, they rely on people buying new hardware all the time for revenue. With the upgrade cycle getting longer as people don't feel the need to upgrade their phones that often, Apple needs to put huge breakthroughs in their services. Right now, Apple is doing almost nothing to advertise iCloud services, and there are nothing major announced. Instead, they are chasing Netflix for no reason. Tim Cook really needs to put Eddie Cue to work.
The way they are pushing and implementing their services is really p!ssing me off. They screwed up cloud support for Live Photos, so that people were losing their photos or else were losing the Live part of their Live Photos. Apple Music's interface is a total mess. The App Store is full of bloatware with in-app purchases... where as the good software is taking their subscription registration off the App Store completely because the App Store otherwise would demand a cut of it.

Meanwhile, they are pricing their hardware so high that they are discouraging people from buying new hardware. It's not just that devices are lasting longer. It's that Apple is pricing things so high, that people are encouraged to keep their hardware longer.
 
I'm part of the problem. Still rocking my SE because giant phones don't appeal to me ¯\_(ツ)_/¯

You’re not ‘Part Of the problem’ per se. Not only because you don’t like the larger smart phones, you’re just not the target demographic for larger smart phones when you prefer a smaller phone regardless. What Apple is facing, is those who do have iPhones in the 6s/7 range who are not upgrading, is because their iPhone does everything they need it to, and they don’t see the value in a $1000 smart phone when an older generation phone meets their ‘everyday’ expectations.
 
Expected given the price and lack of innovation

You've conveniently forgot to mention reduced Chinese sales due to a variety of reasons. And, industry-wide, smartphone sales in general are down because people are holding onto them much longer.

Facts matter.
 
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Yeah when the model year is nearly over and mostly on base trims and stuff they have in stock. They don’t cut prices on the cars people actually want.

Here’s a quote I just did now on a brand new 540i bmw with tonnes of options. This certainly isn’t a base spec car.
 

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That was a special circumstance. I’m sure Lexus was losing money to gain market share with their first LS. It was priced ridiculously low. Near S Class quality for under E class prices.
Or the Germans were way over priced? AC was optional on a luxury car!

Can't you say the same special circumstances for phone now? You can get near iPhone XS Max quality for under iPhone XR price?
 
Expected given the price and lack of innovation


You can ignore the facts, but that doesn't change them. The biggest impact is from the the macro (general economic) factors in China. This is evidenced by the fact that Samsung had a much larger decline in China that they ascribed to the macro conditions as well, as did other large tech companies.
 
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