Apple Stock Falls As Company Admits Demand Is Down
Mike Sanders / 9 months ago
Apple Admits Demand Is Down
It has been a matter of much speculation in recent years that the demand for Apple products was starting to hit a bit of a slump. For example, when the iPhone 8 released in 2017, it marked the first time in recent memory in which there was practically no hype (at least from the public) for the release. This led to practically no one queuing up to get the phone on launch date.
In fact, demand for that phone was so poor that Apple actually halved the amount of iPhone 8s it was producing. They even saw the embarrassment a month later that the iPhone 7 was outselling their latest model.
The release of the X did something to help rally a bit more positivity around the company. As the above shows you though, there’s hardly been much to get excited about. It seems, however, that this may have finally translated into some actual real problems for the company.
In a report via The Star, Apple CEO Tim Cook has admitted that the company ‘got it wrong’ by completely underestimating the lack of current demand for their iPhones.
Stock Price Falls
This announcement has already seen the Apple stock price take a small hit. The thing is though, I personally can’t see anything that’s going to change this trend in the near future. One of the biggest criticisms against Apple for the last 5 years is that the company forgot how to be innovative. Think about it, what’s the last truly groundbreaking product the company released? Even their iPhones for at least the last 5 generations have largely remained the same. We’ve only really seen improvements to the existing technology.
Apple has attempted to make China a form of scapegoat for this. In a separate report via the BBC, they have cited that lower than expected sales in the country have been a driving factor in this downturn. This, in no small part, due to the number of new manufacturers in the country. Manufacturers who are arguably producing products ‘nearly’ as good for a lot less money.
For once though, the future of Apple is not looking particularly bright.
What do you think? – Let us know in the comments!