Sales down 13%, shares down 7% so they need to come up with something good.
But they're still immensely profitable and have a huge cash reserve. It's only shareholders who think that growth is infinite and eternal, that are selling
At some point you're going to saturate the market. Smartphones are at the point where you don't need to upgrade every year - the model from 2 years ago feels just as fast and capable as the most recent model. Apple isn't the only one that is experiencing this.
That's probably why they diversified a bit into watches, headphones, etc. There's also the much rumoured Apple TV (as in an actual TV set) and the Apple Car.
Apple's battery prices are quite reasonable though IMO - if you buy a genuine battery from Dell, Lenovo etc you'll be paying just as much. The only difference of course is that you can't change it youself. For my 2013 MBP it's £159, which I assume is labour + battery cost. That is quite good. It isn't that out of whack to buying a genuine Apple user-replaceable battery, e.g. £109 for an old 15 inch MacBook Pro
I guess it may depend on what "it" is. For an old iPad it probably isn't worth paying that sort of money, but a MacBook will generally have a lot of life left in it. I can't see a reason to upgrade mine, it feels extremely fast
I don't want to upgrade my MBA either, but the battery is becoming an issue. I need to do something, as I'll either need to always carry my charger or pay for a new battery - and that will then likely make me consider buying a new one (which obviously Apple wants).
On an old MacBook Pro I had around 2008, the battery failed after only a small number of charge cycles. The laptop was nearly always on mains power, so Apple agreed to replace it FOC even though it was out of warranty. A nice simple swap over that just isn't possible now.
Thing is, I am sure that even with the mouldable Lithium Polymer batteries in the new MacBooks, Jony Ive could come up with a design that allowed the battery to be removable, and still keep the metal body. If LG has come up with something for the G5, I am sure it isn't beyond Apple!
The downside is that it would make a lot of older devices last a lot longer, and that would reduce sales. It would also reduce landfill and the cost of recycling precious metals, though.
Nobody needs either of those things. That's why the iPhone does not and never has offered either.
Unless Apple decides otherwise, of course, in which case they do. And then consumers can admit that both are excellent ideas, but only because the technology has now fully matured.
Except an external card doesn't always solve capacity issues, even on android it's a half-ass solution. I've got a cheap Chinese dual sim handset at home with something like 1.1GB for user use and a separate 1GB for media (why separate? some idiot designer thought it was a good idea) and the majority of apps on the phone won't transfer to the SD card so I end up with an almost empty SD card and virtually full internal memory that can't accomadate any more apps...
I agree that some set ups are pretty poor. It's nice when you can combine a 200GB card with 16 or 32GB internal storage though.
For what it's worth, I just prefer people have a choice. My daily driver is a Nexus 6P with fixed battery and fixed storage (64GB). I do also have a 64GB flash drive with USB 3 and USB-C connectors.
But I also have other many choices, as do others. Like my G5 with card slot and changeable battery. Or my Huawei P9 with 200GB card, or a Honor 5X with card slot and two SIM slots...
All it takes is a bit of research before purchasing.
The problem is finding a genuine replacement battery.
I faced a similar problem with a Dell XPS laptop.Dell wanted £130 for a new battery.
I searched Amazon and got one for £60 having read the reviews first.
Seems its £99 to get Apple to replace the battery on 11" or 13" Macbook Air.
I'll believe it when I see it - that kind of inspiration came from Jobs, and I think they've used up the ideas he left behind now... (Shame as I did love what they did, and they do still have the advantage of being ahead of the game with payment methods, wifi calling, volte etc.)
Tim Cook's said similar over the past couple of years "we're so excited, our next announcement will blow you away!"
I've been blown away by how lacklustre recent events have been, although it's by no means isolated to Apple.
We've reached a point where tech has exceeded most consumer needs and we're just desperately trying to find things (and experiences) to justify buying a new phone.
When I hear about an Android phone with 6GB RAM my heart sinks, but some people will buy and convince themselves it's necessary.
Thing is, I am sure that even with the mouldable Lithium Polymer batteries in the new MacBooks, Jony Ive could come up with a design that allowed the battery to be removable, and still keep the metal body. If LG has come up with something for the G5, I am sure it isn't beyond Apple!
The downside is that it would make a lot of older devices last a lot longer, and that would reduce sales. It would also reduce landfill and the cost of recycling precious metals, though.
Fixed batteries also tries to stop the flood of unsafe fakes that then explode or catch fire and injure the owner. May also be the cause of plane crashes etc.
I thought that and reliability is the reason behind the Samsung going fixed batteries and the new MS surface book etc.
Apple are due another good product. Every six years or so they release something good and then it's downhill from there.
Apple don't invent anything. They reinvent some things and make them successful. However, they are running out of things to reinvent and I think it's clear that consumers are starting to see that Apple really can't justify it's massive price tag anymore.
Fixed batteries also tries to stop the flood of unsafe fakes that then explode or catch fire and injure the owner. May also be the cause of plane crashes etc.
I thought that and reliability is the reason behind the Samsung going fixed batteries and the new MS surface book etc.
Faulty chargers are a main problem, espcecally if the cable gets frayed. Apple even recalled their one of their own accessories, the smartphone charger with an EU socket.
They seem to have a knack with marketing to make it look like they invented it....its as if their ads go out on a higher frequency that only sheep can hear and believe it.
Zzzzz.
Except that it's always people like you posting something like that who seem to be the ones thinking that Apple invented something.
It could just be that people like and appreciate how well whatever Apple have done and works compared to earlier equivalents.
But if it makes you happy, and you think you are being funny and insightful you just keep blethering on about sheep.
Sales down 13%, shares down 7% so they need to come up with something good.
Or, it could just be that sales are down compared to last year because the 6 had such unusually high sales, presumably due to the pent up demand for iPhones with larger screens.
I'm amazed so called expert analysts seem to be missing that when it seems so obvious.
If the drop continues for a few years and becomes an actual trend, that would be different.
Or, it could just be that sales are down compared to last year because the 6 had such unusually high sales, presumably due to the pent up demand for iPhones with larger screens.
I'm amazed so called expert analysts seem to be missing that when it seems so obvious.
If the drop continues for a few years and becomes an actual trend, that would be different.
Or more reasonably - I would expect that a large percentage of phones are bought on contract, and typically contracts are 2 years - so customers cannot keep up with the launches (way worse for Android devices), and the latest generation of iPhones haven't offered anything truly new or interesting (the same goes for most Android devices too).
2 year contracts aren't new though - that's always been the case.
I still think the single biggest differentiating factor between this year, and any other year, is that it is the year immediately following an unusually large sales spike from the 6.
The factor is that there is very little new in the 6s when compared to the 6.
Samsung releases a whole new phone with lots of things added/fixed and as a result they sell millions. The market is there, just not for Apple anymore.
Hopefully this is going to force Apple to really innovate again as, like I say, they always release a great product after falling for many years.
Faulty chargers are a main problem, espcecally if the cable gets frayed. Apple even recalled their one of their own accessories, the smartphone charger with an EU socket.
Apple has also had more than its fair share of battery recalls over the years (not recently mind). A colleague had a recall on an iPod and her MacBook.
I've had bulging batteries on some Nokia phones, which were replaced easily (as they were removable) and a Harmony remote control - where the whole unit was replaced FOC.
2 year contracts aren't new though - that's always been the case.
I still think the single biggest differentiating factor between this year, and any other year, is that it is the year immediately following an unusually large sales spike from the 6.
When I sold phones it was 12 months, but 18 months was becoming a thing. I am surprised 24 months has become the norm (as in consumers allowed it to happen and didn't kick off), even if some networks still sell 12 month contracts but don't actively advertise them.
Ofcom requires 12 month contracts to be offered, but that usually means a network just offers it on SIM only contracts.
I agree that there would have been a huge spike in sales as Apple finally offered larger screened phones, which I'd say that even people who once laughed at large screens are now embracing. People now want to look at the quality photos they can take, and watch movies on a train, plane or even in bed or on the sofa.
And sales are falling in lots of markets because we're at saturation point. Irrespective of the contract length, most people don't see a need to upgrade at a regular interval - rather when the phone stops working.
Look back at the phones that came out before smartphones. You had different form factors, different features, different colours.. and so you could really pick and choose from all sorts of things. Now you buy a phone that might come in different colours but is still pretty much a flat slate that's mostly screen. The screen is what you want, and on that screen you want access to content and apps.
If it still does that tomorrow, why change?
Apple will have to adapt just like everyone else. Of course it needs to continue releasing new phones, but I doubt we'll see the mass hysteria over a new phone launch repeated in the coming years - for ANY company.
When I sold phones it was 12 months, but 18 months was becoming a thing. I am surprised 24 months has become the norm (as in consumers allowed it to happen and didn't kick off), even if some networks still sell 12 month contracts but don't actively advertise them. ...
Yep, two year contracts haven't always been the case - like Jon says, 12 months was once the norm. When did 2 year contracts come on the market? For that matter, when was the first SIM-only contract offered?
I've been SIM-only for a long time now (and quite happy to sign up for 12 month contract for the extra savings it offers), and am always happy to recommend it to others.
...
I agree that there would have been a huge spike in sales as Apple finally offered larger screened phones, which I'd say that even people who once laughed at large screens are now embracing. People now want to look at the quality photos they can take, and watch movies on a train, plane or even in bed or on the sofa. ...
I've said this before, but I'll say it again... some people want to watch movies or tv on their smartphone, but by no means all. A film on a small smartphone screen (however large it might be, it's still small) is something of an anathema to me and I suspect a good number of other people - ideally a film should be seen on a big screen (and home projectors are great if you can fit one in!).
Likewise, not everyone wants to watch tv the whole time.
Comments
But they're still immensely profitable and have a huge cash reserve. It's only shareholders who think that growth is infinite and eternal, that are selling
At some point you're going to saturate the market. Smartphones are at the point where you don't need to upgrade every year - the model from 2 years ago feels just as fast and capable as the most recent model. Apple isn't the only one that is experiencing this.
That's probably why they diversified a bit into watches, headphones, etc. There's also the much rumoured Apple TV (as in an actual TV set) and the Apple Car.
I don't want to upgrade my MBA either, but the battery is becoming an issue. I need to do something, as I'll either need to always carry my charger or pay for a new battery - and that will then likely make me consider buying a new one (which obviously Apple wants).
On an old MacBook Pro I had around 2008, the battery failed after only a small number of charge cycles. The laptop was nearly always on mains power, so Apple agreed to replace it FOC even though it was out of warranty. A nice simple swap over that just isn't possible now.
Thing is, I am sure that even with the mouldable Lithium Polymer batteries in the new MacBooks, Jony Ive could come up with a design that allowed the battery to be removable, and still keep the metal body. If LG has come up with something for the G5, I am sure it isn't beyond Apple!
The downside is that it would make a lot of older devices last a lot longer, and that would reduce sales. It would also reduce landfill and the cost of recycling precious metals, though.
Increase the price to make it more exclusive, and also boost the profit margins to compensate for lower sales?
"The new iPhone 7. 165% more expensive. 200% more exclusive."
Apple likes percentages.
Except an external card doesn't always solve capacity issues, even on android it's a half-ass solution. I've got a cheap Chinese dual sim handset at home with something like 1.1GB for user use and a separate 1GB for media (why separate? some idiot designer thought it was a good idea) and the majority of apps on the phone won't transfer to the SD card so I end up with an almost empty SD card and virtually full internal memory that can't accomadate any more apps...
For what it's worth, I just prefer people have a choice. My daily driver is a Nexus 6P with fixed battery and fixed storage (64GB). I do also have a 64GB flash drive with USB 3 and USB-C connectors.
But I also have other many choices, as do others. Like my G5 with card slot and changeable battery. Or my Huawei P9 with 200GB card, or a Honor 5X with card slot and two SIM slots...
All it takes is a bit of research before purchasing.
https://www.youtube.com/watch?v=rV_69cwrl2Y
The problem is finding a genuine replacement battery.
I faced a similar problem with a Dell XPS laptop.Dell wanted £130 for a new battery.
I searched Amazon and got one for £60 having read the reviews first.
Seems its £99 to get Apple to replace the battery on 11" or 13" Macbook Air.
Or is Apple going to invent wireless charging?
If Apple is the retailer they already do ;-).
Tim Cook's said similar over the past couple of years "we're so excited, our next announcement will blow you away!"
We've reached a point where tech has exceeded most consumer needs and we're just desperately trying to find things (and experiences) to justify buying a new phone.
When I hear about an Android phone with 6GB RAM my heart sinks, but some people will buy and convince themselves it's necessary.
I want 8GB RAM and an i5 processor on my next phone
Fixed batteries also tries to stop the flood of unsafe fakes that then explode or catch fire and injure the owner. May also be the cause of plane crashes etc.
I thought that and reliability is the reason behind the Samsung going fixed batteries and the new MS surface book etc.
Apple don't invent anything. They reinvent some things and make them successful. However, they are running out of things to reinvent and I think it's clear that consumers are starting to see that Apple really can't justify it's massive price tag anymore.
Faulty chargers are a main problem, espcecally if the cable gets frayed. Apple even recalled their one of their own accessories, the smartphone charger with an EU socket.
Zzzzz.
Except that it's always people like you posting something like that who seem to be the ones thinking that Apple invented something.
It could just be that people like and appreciate how well whatever Apple have done and works compared to earlier equivalents.
But if it makes you happy, and you think you are being funny and insightful you just keep blethering on about sheep.
Or, it could just be that sales are down compared to last year because the 6 had such unusually high sales, presumably due to the pent up demand for iPhones with larger screens.
I'm amazed so called expert analysts seem to be missing that when it seems so obvious.
If the drop continues for a few years and becomes an actual trend, that would be different.
Or more reasonably - I would expect that a large percentage of phones are bought on contract, and typically contracts are 2 years - so customers cannot keep up with the launches (way worse for Android devices), and the latest generation of iPhones haven't offered anything truly new or interesting (the same goes for most Android devices too).
I still think the single biggest differentiating factor between this year, and any other year, is that it is the year immediately following an unusually large sales spike from the 6.
Samsung releases a whole new phone with lots of things added/fixed and as a result they sell millions. The market is there, just not for Apple anymore.
Hopefully this is going to force Apple to really innovate again as, like I say, they always release a great product after falling for many years.
Apple has also had more than its fair share of battery recalls over the years (not recently mind). A colleague had a recall on an iPod and her MacBook.
I've had bulging batteries on some Nokia phones, which were replaced easily (as they were removable) and a Harmony remote control - where the whole unit was replaced FOC.
When I sold phones it was 12 months, but 18 months was becoming a thing. I am surprised 24 months has become the norm (as in consumers allowed it to happen and didn't kick off), even if some networks still sell 12 month contracts but don't actively advertise them.
Ofcom requires 12 month contracts to be offered, but that usually means a network just offers it on SIM only contracts.
I agree that there would have been a huge spike in sales as Apple finally offered larger screened phones, which I'd say that even people who once laughed at large screens are now embracing. People now want to look at the quality photos they can take, and watch movies on a train, plane or even in bed or on the sofa.
And sales are falling in lots of markets because we're at saturation point. Irrespective of the contract length, most people don't see a need to upgrade at a regular interval - rather when the phone stops working.
Look back at the phones that came out before smartphones. You had different form factors, different features, different colours.. and so you could really pick and choose from all sorts of things. Now you buy a phone that might come in different colours but is still pretty much a flat slate that's mostly screen. The screen is what you want, and on that screen you want access to content and apps.
If it still does that tomorrow, why change?
Apple will have to adapt just like everyone else. Of course it needs to continue releasing new phones, but I doubt we'll see the mass hysteria over a new phone launch repeated in the coming years - for ANY company.
Yep, two year contracts haven't always been the case - like Jon says, 12 months was once the norm. When did 2 year contracts come on the market? For that matter, when was the first SIM-only contract offered?
I've been SIM-only for a long time now (and quite happy to sign up for 12 month contract for the extra savings it offers), and am always happy to recommend it to others.
I've said this before, but I'll say it again... some people want to watch movies or tv on their smartphone, but by no means all. A film on a small smartphone screen (however large it might be, it's still small) is something of an anathema to me and I suspect a good number of other people - ideally a film should be seen on a big screen (and home projectors are great if you can fit one in!).
Likewise, not everyone wants to watch tv the whole time.