Apple iPhone sales stabilize in China
iPhone 16 with updated AI tools will be key for Apple to benefit from the recovery of the Chinese market!
The coming months of 2024 Increase in iPhone sales in ChinaAccording to a report by investment firm TD Cowen, it is one of the most important for Apple. Generally Stability outlook expected thanks to 4% growth in the Chinese smartphone market between 2024 and 2025. This situation is considered meaningful after successive periods of decline.
According to Apple’s financial results for the first quarter of 2024, Total iPhone sales in China were $20.82 billion. There is a decrease of 13% compared to the same period in 2023. Even so, these figures position the iPhone as “the fourth of the six best-selling smartphones in urban China,” according to CEO Tim Cook.
Apple is improving in China, but not enough
Despite growth expectations, TD Cowen stands by its previous prediction: Apple will sell 48 million iPhones by the end of the March quarter, but says this number will drop to 39 million by the June quarter.
TD Cowen still states: There are economic problems in China and also the current shipping numbers look better year on yearThe main reason for this was that the iPhone 14 series experienced production problems in 2022-2203. Although the iPhone 15 numbers seem stable, the investment firm is confident that the launch of the iPhone 16 series with AI-based features will increase demand.
When it comes to Android mobile phones, there is a clearer return to sales figures prior to the last two particularly difficult years. Samsung and Huawei are doing better, and TD Cowen said their “targets have increased modestly.”
Several reasons put Apple’s dominance in China at risk
This new situation will be the best opportunity to confirm or refute some of them. Reports suggest the decline in iPhone sales in China is due to the market’s lack of interest in Apple’s mobile devices.
An article published this week in the New York Times claims: iPhone sales fell 24% compared to the previous yearAccording to Counterpoint Research, which analyzes the smartphone market. During Sales of Huawei, one of Apple’s former Chinese rivals, increased by 64%.
The article quotes Linda Sui, senior director at market research firm TechInsightsHe summed up Apple’s future in one clear sentence:
“Apple’s golden age in China is over.”
One of the most important reasons Increasing tension between the US and China over trade and technologySui said. Unless there is a significant reduction in geopolitical tensions, it will be difficult for Apple to maintain its position.
Source: i Padizate
