We’ve reached Peak Apple. You can tell because all the anti-Apple critics and market prognosticators say so; and you can’t put it on the interwebs if it isn’t true, right? Oh, just one thing; what constitutes a peak?
Numbers are important but it’s people who count numbers and it would be easy to say we’ve reached peak Apple. Why? Revenue is down, profits basically flat, and a future recession can only make things worse. iPhone accounts for over 60-percent of the company, yet both iPad and Mac and Watch and Services grew in the last quarter, so maybe those peaks kinda sorta mostly go up and down from time to time.
You know. Like the stock market. Stick a fork in it. Apple must be done because iPhone. Danny Paez:
Apple reported no profit growth for its most recent quarter during its Tuesday earnings call
Did you catch it. Apple reported enormous profit for the last quarter. It was the second best quarter ever. But revenue went down, iPhone sales went down, profits didn’t go anywhere.
Don’t you love it when financial analysts finally catch up to news that is a few years old?
The takeaway from the letter and the call is pretty clear. Economic headwinds aside, the smartphone that has defined Apple for so many years is no longer a growing market
It’s been awhile since the smartphone industry grew much, and even then, the growth was mostly in unit sales from developing nations. Unit sales and marketshare are not good indicators or metrics of a company’s health.
iPhone sales declined; both units and revenue, and likely profits, too. Apple no longer publishes unit sales so we have to rely on the gymnastics of paid guesstimators.
The golden age of the iPhone is over. Today Apple reported the first holiday sales decline since 2001, the year it first launched the iPod.
So, let’s define Golden Age? Is it from 2007 to 2018? Is it just growth? iPhone sales fell, but the rest of Apple helped pick up some of the slack; yet overall revenue dipped, too, so are we back to Peak Apple again?
Is there anything new under the Apple sun?
The company reported a nearly 50 percent increase in sales for its wearables products, like the Apple Watch Series and AirPods. The AirPods have been a consistent winner for the company, and are due for a refresh.
Remember, Apple co-founder Steve Jobs was the king of market disruptions. Apple CEO Tim Cook is the king of iPhone accessories. Hey, it’s a crown. Wear it with pride.
The problem with labels like peak iPhone and peak Apple is the misunderstanding of how the universe works. What goes up, must come down. Oh, and, things change. The original iPod was Mac only. Watch is iPhone only. What if that changes for, uh, well– some good reasons that would affect non-Apple toting people?
Upcoming Apple products have been rumored to come with even more health features. Patents and reports about the upcoming AirPods 2 have already stated that the earbuds will come with biometric sensors and health applications.
I would bet on a pair of AirPods with health aspects before I would bet on Apple Car. I would bet on Apple Glasses before I would bet on Apple Car. Stick a blood sugar sensor into Watch and Apple could sell tens of millions all over the world.
We may have reached peak Apple, but if it’s the biggest and tallest peak on planet earth, is that so bad?