Sales of iPhones Have Slowed, Apple Says

Has the mighty iPhone reached its selling peak? If good sales, as opposed to outrageously great sales, are any indication, that could be. Apple said on Tuesday that it sold 74.8 million iPhones during its fiscal first quarter, which ended December 26.

That marks the slowest quarter of growth since the company began selling the smartphones in 2007. In the same period in 2014, Apple sold 74.5 million units were sold, meaning sales were basically flat. Analysts had expected the company to sell 76.3 million units in this year?EU?s first quarter, according to a poll by Fortune.

Apple CEO Tim Cook (pictured above) also predicted that total company revenue would slide in the second quarter and conceded that iPhone sales will probably hit their first slump ever. In a conference call with analysts, Cook blamed the stronger value of the U.S. dollar and global economic softness.

Cause For Worry

While the iPhone?EU?s sales figures might be great news for another manufacturer, they?EU?re a cause of worry for Apple since more than two-thirds of the company's revenue comes from the iPhone. The iPhone 6s and 6s Plus models, didn't sell in markets such as the U.S. and China as well as the company had hoped.

Cook didn?EU?t say whether iPhone sales will drop for the entire year, but he did say he doesn't think the market is saturated thanks to emerging markets where many citizens have yet to invest in smartphones.

We contacted independent tech analyst Jeff Kagan to ask his opinion on Apple's news. He told us that he?EU?s been expecting this story since the iPhone craze began.

"Nothing stays on the same growth track forever," he said. "Every company needs to update and create the next hot wave to grow on or else it will begin to crest, then fall. Apple does not have anything...

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Sales of iPhones Have Slowed, Apple Says

Has the mighty iPhone reached its selling peak? If good sales, as opposed to outrageously great sales, are any indication, that could be. Apple said on Tuesday that it sold 74.8 million iPhones during its fiscal first quarter, which ended December 26.

That marks the slowest quarter of growth since the company began selling the smartphones in 2007. In the same period in 2014, Apple sold 74.5 million units were sold, meaning sales were basically flat. Analysts had expected the company to sell 76.3 million units in this year?EU?s first quarter, according to a poll by Fortune.

Apple CEO Tim Cook (pictured above) also predicted that total company revenue would slide in the second quarter and conceded that iPhone sales will probably hit their first slump ever. In a conference call with analysts, Cook blamed the stronger value of the U.S. dollar and global economic softness.

Cause For Worry

While the iPhone?EU?s sales figures might be great news for another manufacturer, they?EU?re a cause of worry for Apple since more than two-thirds of the company's revenue comes from the iPhone. The iPhone 6s and 6s Plus models, didn't sell in markets such as the U.S. and China as well as the company had hoped.

Cook didn?EU?t say whether iPhone sales will drop for the entire year, but he did say he doesn't think the market is saturated thanks to emerging markets where many citizens have yet to invest in smartphones.

We contacted independent tech analyst Jeff Kagan to ask his opinion on Apple's news. He told us that he?EU?s been expecting this story since the iPhone craze began.

"Nothing stays on the same growth track forever," he said. "Every company needs to update and create the next hot wave to grow on or else it will begin to crest, then fall. Apple does not have anything...

Comments are closed.