Just like Pixar, Apple’s iPhone had an amazing winning streak, but it was bound to stumble eventually. Well, it appears that it is beginning to happen now. Apple recently revealed this week that it had managed to sell 74.8 million units of its iPhone devices during the final quarter of 2015 (ended December 26th). While that number may seem impressive to some, it is actually disappointing by Apple’s standards -- not only did it fail to meet expectations set by Wall Street, but also represents the slowest growth for the iPhone since the device was first released by the tech giant back in 2007.
According to a survey conducted by Fortune, industry watchers had expected Apple to sell 76.3 million units of its iPhone devices during the last quarter of 2015, but the 74.8 million posted by the company falls behind by nearly a couple of million units. Plus, when compared to the numbers posted during the final quarter of 2014 (74.5 million units sold), 2015’s figures were basically flat. And it does not help that Apple also made a forecast that its total company earnings will dip by the next quarter this year, which means that two months from now, it is likely that the tech giant will report its first ever slump for the iPhone.
As far as global brands go, Apple was as reliable as any in terms of healthy sales numbers and market share. So what gives? According to Tim Cook, the chief executive officer of Apple, it was a combination of weakening global economics and the stronger value of the US dollar. The unfortunate marriage of these conditions is most responsible for the disappointing sales of iPhone devices in the last quarter, Cook says.
Or is it iPhone fatigue? Everybody knows that the iPhone is Apple’s biggest cash cow, making up over two thirds of the tech giant’s total earnings. But the most recent iPhone models -- the iPhone 6s and the iPhone 6s Plus -- did not offer enough to convince mobile users to go purchase the latest models, or at least that is what several industry watchers are saying. Plus, even though Apple introduced two really cool things with the Apple Watch (the company’s first ever wearable device) and the iPad Pro (Apple’s biggest iPad offering yet), they did not exactly have consumers queuing up in Apple Stores for hours.
Still, if there is anybody who could manufacture a comeback after a slump, it would be Apple. The company after all is supposedly planning to unveil a new 4 inch iPhone aka the iPhone 5se (rumored to feature the ultra fast A9 processor) in March of this year. This could liven things up a bit, at least until Apple announces its new generation iPhone 7 during the second half of this year. By then, it could be business as usual for Apple.
