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Weak iPhone 6S Performance Forcing Apple Into Drastic Action
Forbes ^ | January 5, 2015 20:56 UTC | Ewan Spence

Posted on 01/05/2016 4:37:24 PM PST by Up Yours Marxists

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To: ctdonath2
> ...abruptness of changes...

Duh, of course. Excellent!

21 posted on 01/05/2016 6:05:45 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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To: AlaskaErik

iphone 3GS still going strong after 6+ years


22 posted on 01/05/2016 6:06:12 PM PST by xp38
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To: dayglored

A thirty percent decline in sales will spook anybody, even he company in question. And, the investors and consumers.

Being dismissive of such a huge drop in sales, is not how one goes about acknowledging that, it could be the beginning of the end for the perception of perfect that came with the Apple logo.


23 posted on 01/05/2016 6:07:38 PM PST by adorno (w)
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To: Up Yours Marxists
iPhone = Greatest Product Ever

iPod = 2nd Greatest Product Ever

iPad = 3rd Greatest Product Ever

MacBook Pro = 5th Greatest Product Ever

24 posted on 01/05/2016 6:09:09 PM PST by SamAdams76
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To: adorno
> Yeah, there's a silver lining even for disasters.

Microsoft's Vista and Win8 teams are glad to hear that. :-)

The iPhone is a "disaster"? On what planet?

25 posted on 01/05/2016 6:10:16 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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To: dayglored
The iPhone is a "disaster"? On what planet?

You must've had reading comprehension problems starting from kindergarten.

The 'disaster' was referring to the huge drop in sales of the iPhone. The iPhone was never a disaster, but then, it wasn't/isn't that great either.
26 posted on 01/05/2016 6:19:31 PM PST by adorno (w)
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To: dayglored

Oh, btw, both Vista and Win8 had more sales than any version of iPhone. Windows still continues to outsell (number of copies) iPhones.


27 posted on 01/05/2016 6:23:52 PM PST by adorno (w)
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To: adorno; Swordmaker
> Being dismissive of such a huge drop in sales, is not how one goes about acknowledging that, it could be the beginning of the end for the perception of perfect that came with the Apple logo.

Not wanting to precipitate a pie-fight, but how does the drop in iPhone sales this far into the product lifecycle compare to the drop in sales of other Apple products over the past decade and a half? Don't they ALL do something like that, and Apple comes up with some Radical New Thing, or major twist on some existing thing, that gets the cycle started again?

(I imagine Swordmaker, keeper of all things Apple, can comment on the typical sales lifecycle of Apple's various products post-2000.)

In my observation, Apple has never stuck around after a product line starts to decline. That's for the folks who enjoy the Race To The Bottom. Apples stays ahead of that game, because they own the high end, not the low end.

Or at least, they have in the past. I personally believe they are at (or even a bit beyond) the point where they need to trot out the Next Big Thing, and it's gotta do well. Their record over the years is excellent, but past performance is not an indicator of future returns, as they say.

I look forward to Apple knocking everybody over this Spring or thereabouts.

Just like I look forward to Microsoft turning Windows 10 into a great OS product of a whole new type. It has that potential, and it's only at the beginning of its lifecycle.

28 posted on 01/05/2016 6:26:09 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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To: adorno
> both Vista and Win8 had more sales than any version of iPhone. Windows still continues to outsell (number of copies) iPhones.

I won't trouble you to explain that fascinating observation in detail, but could you shoot me a link to where that's from, so I can evaluate how it was computed? I have no reason to think it true, false, or merely a mixed comparison, and I want to give it (and you) the benefit of the doubt.

Thanks in advance.

29 posted on 01/05/2016 6:29:18 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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To: dayglored
Oh, right, I forgot... and they FORECAST well into the uncertain future,

Somebody at Apple apparently did the same thing, and miscalculated. Reports from other sources seem to indicate they were anticipating a lot better sales figures from China than they've gotten.

30 posted on 01/05/2016 6:33:34 PM PST by tacticalogic ("Oh bother!" said Pooh, as he chambered his last round.)
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To: dayglored

One big shift is that Apple is becoming predictable with their changes, to the point that (sweeping generalization) everyone who is going to buy or upgrade to the latest will do so immediately on availability, leaving a huge stampede on inventory followed by a precipitous decline as everyone who is going to get one got one.

There are only so many people on the planet. There’s a hard limit to market saturation.


31 posted on 01/05/2016 6:34:35 PM PST by ctdonath2 (History does not long entrust the care of freedom to the week or the timid. - Ike)
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To: tacticalogic
>> they FORECAST well into the uncertain future,

> Somebody at Apple apparently did the same thing, and miscalculated. Reports from other sources seem to indicate they were anticipating a lot better sales figures from China than they've gotten.

The tech writers whores don't get fired when they belch forth flawed prognostications.

Apple's sales forecasters are supposed to be better than that, else if they fail often enough, they should get canned.

Are you referring to iPhone sales forecasts made in investor calls, that turned out badly, or what? I don't follow Apple (or anyone -- no stock in any of them) so I'm kinda iggerant. Links to your "other sources" would help me get eggumacated. Thanks!

32 posted on 01/05/2016 6:38:44 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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To: ctdonath2
> There are only so many people on the planet. There’s a hard limit to market saturation.

What you say makes sense.

33 posted on 01/05/2016 6:45:18 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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To: adorno
> ...could you shoot me a link to where that's from...

Nevermind, it only took me a couple minutes to confirm your assertion.

Thanks!

34 posted on 01/05/2016 6:46:46 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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To: dayglored

Run a quick web search on iPhone 6s sales in China, and see what comes up.


35 posted on 01/05/2016 6:47:31 PM PST by tacticalogic ("Oh bother!" said Pooh, as he chambered his last round.)
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To: tacticalogic
Googilng "iPhone 6s sales in China" brought a 50/50 mix of good and bad headlines, all fairly recent (~Oct). Looks like a VERY mixed bag of interpretation.

So what you asserted is true but incomplete. Some people are disappointed with the numbers, but others are happy with the same numbers.

I don't know enough to call only the happy ones fools, as you appear to be doing.

36 posted on 01/05/2016 6:52:59 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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To: All

Crunching some numbers here, if we assume the 30% drop continues throughout the year, that means that, roughly:

$235B X .62 x .30 = $42B PROFIT LOSS

Is this a fair assumption, considering the iPhone is its most profitable product?


37 posted on 01/05/2016 7:01:51 PM PST by Up Yours Marxists
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To: dayglored
I'm just speculating, but it's apparent that somewhere along the way somebody predicted much better sales figures than they're seeing or they wouldn't be having to cut back on the production schedule. China has become their biggest market, but by all the accounts I've seen their economy is going through a period of contraction and I'd expect that to affect sales of what I'd think would be a substantial luxury item for the average Chinese.

Like I said, I'm just speculating and I'd be open to any other explanation that makes more sense.

38 posted on 01/05/2016 7:10:36 PM PST by tacticalogic ("Oh bother!" said Pooh, as he chambered his last round.)
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To: All

Ok my math is not right. That’s total lost revenue. Enough revenue to wipe out a company like Delta Airlines.


39 posted on 01/05/2016 7:12:19 PM PST by Up Yours Marxists
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To: tacticalogic
I think your speculation about China's contracting economy has merit, and I don't have a better description of the situation.

I do recall that in the past, Apple has been caught by unexpected large demand at a new product release, and their customers got disgruntled about it. Ramping production UP is harder and takes more time than cutting it DOWN. Finding component sources and assembly facilities takes months; slowing build rates can be done in days.

So perhaps -- perhaps -- Apple decided to get ahead of the bulge and have production high enough that they could, for once, cut back and relax rather than have to scramble and hustle with hair on fire. One wouldn't want to lose the opportunity to deliver product to a China-size market if it's there. If it doesn't materialize, one can back off with relatively little pain (by comparison).

But of course, that slowdown action is interpreted as The Sky Is Falling by those who make money when Apple sneezes.

Who knows what's really going down... not I.

40 posted on 01/05/2016 7:29:23 PM PST by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government.")
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