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While iPhone sales remain stagnant, Apple services hit $10B in revenue

arstechnica.com

11–20 of 111 posts

Re: While iPhone sales remain stagnant, Apple services hit $10B in revenue

#11
post #6
post #2

Stagnant is not a fair way to describe selling 46.8 million iPhones.

If previous sales were about the same numbers, it's a perfectly fair way. Impressive, amazing numbers maybe, but still stagnant, if they didn't improve over the last ones.

Stagnant has a very negative meaning attached to it. The author could have used words like "constant" (neural) or "steady" (positive). He chose to use "stagnant" and deserves to be called for it.

Re: While iPhone sales remain stagnant, Apple services hit $10B in revenue

#12
The average sales priced for an iPhone increased nearly 30% from $618 to $793. Services now account for 16% of revenue. Apple is gradually shifting from a device maker to an ecosystem company that consumers pay a premium initial fee to enter and pay an additional recurring free to use.

Re: While iPhone sales remain stagnant, Apple services hit $10B in revenue

#14
post #7

Stagnant sales with a much more expensive smartphone, i don‘t think anybody wouldn‘t live to have the same „problem“.

Many analysts thought higher average selling prices were possible because of demand inelasticity at the forerunner iPhone.

Service revenues would get boosted by lower prices if units sold increase.

Cook is doing a fine balance of prices, sales, services. Very successful so far. Yet I'm afraid the only way is down from here.

Re: While iPhone sales remain stagnant, Apple services hit $10B in revenue

#16
post #11
post #6

Earlier quoted context omitted.

If previous sales were about the same numbers, it's a perfectly fair way. Impressive, amazing numbers maybe, but still stagnant, if they didn't improve over the last ones.

Stagnant has a very negative meaning attached to it. The author could have used words like "constant" (neural) or "steady" (positive). He chose to use "stagnant" and deserves to be called for it.

The use of stagnant is correct, as for negative the share price affect is immediate as it includes an expected growth.

Re: While iPhone sales remain stagnant, Apple services hit $10B in revenue

#17

The average sales priced for an iPhone increased nearly 30% from $618 to $793. Services now account for 16% of revenue. Apple is gradually shifting from a device maker to an ecosystem company that consumers pay a premium initial fee to enter and pay an additional recurring free to use.

Yet services would be better if units sold gets increased. So cheaper models are a must. So it's so far an excellent strategy milking the high end keeping the units sold not fall.

Re: While iPhone sales remain stagnant, Apple services hit $10B in revenue

#18
post #4
post #2

Stagnant is not a fair way to describe selling 46.8 million iPhones.

Stagnant implies it's not growing, not that it's not selling.

steady, level, imply the same thing but as a positive. I think it's just a matter of perspective whether Apple needs to grow its iPhone sales.

That said they must surely decline, the number of people who are going to continue to drop 1k+ on the new iPhone every few years is going to be limited by the resale value of last years phone, a market which (anecodtally) appears is droping precipitously.

Re: While iPhone sales remain stagnant, Apple services hit $10B in revenue

#19
post #10
post #8

I mean sure 'Stagnant' means that there was no growth, but it also implies that this is a bad thing, which in this case it obviously isn't. Clickbait title.

So it's a good thing that unit sales haven't risen?

is "unit sales" number the only number in the report?

Re: While iPhone sales remain stagnant, Apple services hit $10B in revenue

#20
post #7

Stagnant sales with a much more expensive smartphone, i don‘t think anybody wouldn‘t live to have the same „problem“.

Many analysts thought higher average selling prices were possible because of demand inelasticity at the forerunner iPhone. Service revenues would get boosted by lower prices if units sold increase. Cook is doing a fine balance of prices, sales, services. Very successful so far. Yet I'm afraid the only way is down from here.

You write that it can only goes down, but at the same time you hint that a lower priced devices would boost service revenues.

So isn't the next step a "cheaper" iphone ? (or a better second hand market 'certified by' Apple)

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