Amaya Toman Apple today - slightly contrary to its habits - she published re-evaluation of its assumptions of financial results for the first quarter of this year. It lowered the expected revenue from the original 89-93 billion dollars to 84 billion dollars. Tim Cook provided the station a little later CNBC further details.
Cook devoted a significant part of the interview to interpreting the content of the letter to investors. Apple's CEO explained that the lack of iPhone sales and the unfavorable business situation in China were largely to blame. Cook described the slowdown of the economy in the local market as understandable given the growing tension between China and the United States. According to Cook, iPhone sales were further negatively affected by, for example, foreign exchange policy, but also – perhaps a little surprisingly for some – the program for discounted battery replacement in iPhones. It took place worldwide, for a limited time and under significantly more favorable financial conditions.
It could be interest you
David Hanak During the announcement of financial results for Q1 2018 in March last year, Tim Cook said that Apple did not consider its possible effects on iPhone sales when implementing the program. According to Cook, Apple considered the program to be the best that could be done for customers, and the possible negative effect on the frequency of switching to new models was not taken into account when making a decision. It is interesting, however, that on this topic Cook expressed as early as February of last year, when he stated that Apple does not mind if the battery replacement program causes lower sales of new iPhones.
As other factors that negatively contributed to the current situation, Cook identified macroeconomic ones. At the same time, he added that Apple does not intend to make excuses for him, just as it does not intend to wait for these conditions to improve, but instead will focus strongly on factors that it can influence.
The interview also discussed Apple's decision to stop publishing detailed data on the number of iPhones, iPads and Macs sold. Tim Cook explained that from Apple's point of view there is virtually no reason to report this data, due to the huge price difference between each model. He added that this move does not mean that Apple will never comment on the number of units sold. At the end of the interview, Cook pointed out that Apple will begin to publicly report gross margins from its services, saying that profit in this area has been growing at a dizzying speed recently, and for the most recent quarter it is more than $10,8 billion.
This does not look like healthy self-reflection and catharsis on Kuk's part. Too bad, maybe next year. Everyone's choice whether to give €1700 for an Apple phone to keep Kuk and the shareholders happy, or for something else.
The bet on a single product and a trendy hottie strategy didn't pay off. And mocked Huawei just laughs.
He laughs at how cheaply he copied everything, he is really good at financing the demise of his own civilization. Communism forward!
I'd rather be silent about the iPhone battery :(
Cook just doesn't understand his job. He shrunk and overpriced the Mac portfolio and now continues with iPhones. The latest iPhones simply denied an interesting year-old strategy:
– small SE
– classic series 6 to 8
– premium iPhone X
It was simple and understandable for everyone. By the way, Jobs already did something similar with the first iMacs - when he sold the iMac DV as a premium model. Instead of continuing this successful strategy, Cook screwed it up:
– SE canceled
– left the classic series on ice (only old models are sold)
– and the premium iPhone X suddenly became the iPhone Xs (ok, that's fine) and, quite inexplicably, the iPhone Xr, which has nothing to do with premiumness at all.
Result? A premium line. Confusion. Who would want an iPhone Xr? By his actions, he systematically denies that he was Jobs's closest collaborator. Either they fire him so that Apple has a chance to be Apple again.
If I woke up at 5:30 every morning like Kook, I wouldn't make good decisions either...
Well, don't let Cook get angry, but I just won't pay 25k for a phone. For me, it completely incomprehensible killed the SE series. Which is a great phone at a reasonable price plus in a pocketable package. The SE is my 3rd iPhone and if the pricing policy doesn't change, it will be my last.