iPhone sales decline year-on-year in Apple’s fiscal Q2

Apple has released its financial results for its fiscal second quarter, and the champagne is staying in the bottle today. The company made $10.5 billion in net income on $50.6 billion in revenue. Those numbers are down from the $13.6 billion in net income and $58 billion in revenue the company took in during the same quarter a year ago. Gross margin fell a bit to 39.4%, down from 40.8% a year ago.

They say all good things must come to an end, and Apple's long record of skyrocketing iPhone sales appears to have reached its peak. The company sold 51.2 million iPhones this quarter, down 16% from the year-ago quarter. Phone sales generated $32.8 billion in revenue, down 18% from this time last year.

The iPad didn't take up any of that slack. Apple sold 10.2 million iPads last quarter, down 36% sequentially and 19% year-over-year. The product line took in "just" $4.4 billion. Mac sales also experienced declines. Apple moved 4 million Macs last quarter, down 12% from a year ago. Macs generated $5.1 billion in revenue, a decline of 9% year-on-year.

The two bright spots in Apple's report are its services revenue and "Other Products" revenue, where the Apple Watch presumably records its results. The company's services generated $5.9 billion in revenue, up 20% from a year ago, while the $2.2 billion generated by "Other Products" is up 30%.

For the third quarter of its fiscal 2016, Apple expects revenue between $41 billion and $43 billion and a gross margin between 37.5% and 38%.

Comments closed
    • --k
    • 3 years ago

    For me apple, has been a experiment years in the making, and quickly sunsetting once the equipment is no longer useable. I used to be an avid PC/Android guy, but bought into Apple ecosystem for the last 3 years(macbook pro retina, ipad 4/air 2, iphone 6, plus 6s).

    While it’s nice not to have to worry about crashing/rebooting, I have to say that I’ve been bored out of my mind. There’s really no tinkering with iPhone the way Android, with AOSP/Cyanogen, running different Launchers, tweaking settings. Apple feels like an appliance, and not the personal device that I can customize to my liking. I haven’t bothered jail-breaking them, because that sort of defeats the purpose of buying into the walled garden.

    I still have my 4 year old DYI PC that runs decently with an SSD and Ram upgrade to 32GB.

    I might have stayed with Apple if they lowered their prices and sped up their release cycle, but instead they choose to sell them as premium product that have a very deliberate gestation period. This is tech, not some classic car that holds it value for decades.

    • jokinin
    • 3 years ago

    I’m not going to spend 700€ (or more) on a top end iphone 6 when my 120€ android phone is enough for what I use it for.

      • End User
      • 3 years ago

      I’m not going to spend 120€ on an Android phone when a 1.100 € iPhone 7 Plus 256 GB is what I need.

      Guess what? We are both right! Yay for options.

    • muxr
    • 3 years ago

    The growth is bound to stop at some point. Apple have been on an incredible run. Smartphones are reaching maturity and the upgrade cycle is going to widen. This is not just Apple’s problem, it’s the problem for the whole industry.

    • HisDivineOrder
    • 3 years ago

    Apple’s journey toward becoming the new Microsoft continues apace.

      • Krogoth
      • 3 years ago

      Not even remotely close.

      It is more like Apple is becoming the new “Standard Oil”.

    • Shouefref
    • 3 years ago

    When people grow up, they stop buying toys.

      • Neutronbeam
      • 3 years ago

      No, they don’t–instead they buy more of them and they spend more money on them. I was considering this earlier this week while looking at the late model Maserati convertible and at the Ferrari in the parking of of the Publix supermarket near my office.

        • Shouefref
        • 3 years ago

        Good answer, except that there might be a difference: statistics show that of people owning a smartphone and having a negative bank account, the big majority of them owns Apple devices.
        I admit I don’t have comparable figures for owners of supersports cars versus sports cars.

          • blastdoor
          • 3 years ago

          I don’t suppose you have a citation for that statistic?

          Here’s a link that is inconsistent with your claim, but does not conclusively refute it:

          [url<]https://www.comscore.com/Insights/Data-Mine/iPhone-Users-Earn-Higher-Income-Engage-More-on-Apps-than-Android-Users[/url<]

            • superjawes
            • 3 years ago

            I was gonna say…it’s the thrifty people using non-iOS devices to avoid the Apple tax. People with sound bank accounts are willing and able to pay that premium.

            • Ninjitsu
            • 3 years ago

            I know enough people with sound bank accounts without iDevices to know that yours is a weird comment.

            • superjawes
            • 3 years ago

            The existence of said people does not counter my point. People with more money than they know what to do with will pay more and get less. Apple’s business model is a bit more complicated than that, but value has long been an argument used against apple products.

            Conversely, people living closer to the line are going to need to buy smarter in order to get better value, so non-iOS devices are appealing because they tend to offer better values.

            And again, that doesn’t mean that there aren’t well-off Android users. It’s just that if you look at Apple customers, you’ll find a lot of white suburbanites–basically the class of people that define “more money than they know what to do with”.

            • blastdoor
            • 3 years ago

            There’s a big difference between people who have money because they earned it and people who have money because they inherited it. People who have money because they earned it are well aware of value, but the value they are most aware of is the value of their time. I believe Apple’s continued success depends on appealing to those consumers.

            • Shouefref
            • 3 years ago

            I think Apple is bought by nouveaux riches.

            • trackerben
            • 3 years ago

            You have an issue with those you disdain as nouveaux riche, not with Apple. How can we know this? Because if you were somehow right, then every third person seen riding on metros in San Francisco, Tokyo, or Singapore would be one.

            • Shouefref
            • 3 years ago

            Well, I know for sure that if you look for a smartphone owner with a negative bank account, you have more chances if you choose an iPhone owner then an Android owner. I think I got the figures from the BBC.

            • Deanjo
            • 3 years ago

            [quote<]I think I got the figures from the BBC.[/quote<] Pretty sure you got those figures from a lower body orifice.

            • trackerben
            • 3 years ago

            If you can’t be sure that a large minority of the transit population in these big cities are nouveaux riche, but are sure that UK iPhone owners are more likely to have negative bank balances, then just what have you discovered? Other than your own bias against richie-rich types who enjoy stuff you don’t?

            • End User
            • 3 years ago

            And here I was thinking I was a something from nothing sysadmin.

        • albundy
        • 3 years ago

        Cuz millionaires shop at stores that cater to the 99%? i think not.

      • Ifalna
      • 3 years ago

      *pets gaming computer* Nope.

      • wingless
      • 3 years ago

      When I grew up I could finally afford to buy all the nice toys.

      I HAVE A RACE CAR!

      • Krogoth
      • 3 years ago

      2/10

      Nice one

      But it is more likely that Apple has over-saturated the smartphone market and hasn’t done anything significant in that area in a while.

    • Star Brood
    • 3 years ago

    Too much forward thinking and not enough perfecting the older things which worked fine. The iPhone SE is a great step forward in that direction, but they should do the same with Mac. Make hardware more configurable so as to cater to enthusiasts, make software more compatible so as to cater to the professional market. They lost too many customers dropping Rosetta and lost the serious market with their sudden shift away from modular hardware.

    • Buzzard44
    • 3 years ago

    Oh, there’s a slowdown in iPhone and iPad sales…That would explain all the articles I’ve been seeing about the Chinese economic slowdown.

      • yogibbear
      • 3 years ago

      Global economic slowdown and a ridiculously long period of most markets having a near 0% cash rate (or negative cash rate in many european cases). Basically we didn’t let the market fail naturally in 2008 and now we’re paying for it with the slowest recovery ever. Honestly none of this is Apple’s fault (even as the Apple hater that I am) and is just a reflection of global growth being stagnant or backwards.

        • trackerben
        • 3 years ago

        Basically, Apple has become so big that they are now a bellwether of the global economy, and can serve as a trend proxy for global economic growth like the energy and retail sectors.

    • anotherengineer
    • 3 years ago

    Well I would fathom a guess as the market is starting to become saturated, AND with the rest of the world’s currency dropping by 30% or more against the greenback, people are cutting back on idevices.

      • Ninjitsu
      • 3 years ago

      Oh yeah, that’s an important factor too that people seemed to have missed (forex rates).

    • albundy
    • 3 years ago

    I will send flowers…to google for a job well done.

    • NoOne ButMe
    • 3 years ago

    iPhone sales are pretty linearly upwards if you exclude the 6 release. That just had pent* up demand which meant a huge sale spike. The graph Arstechnica has tracking Apple’s lineups by # sold tells the story.
    [url<]http://arstechnica.com/apple/2016/04/slower-iphone-ipad-and-mac-sales-drive-apples-revenue-down-in-q2-2016/[/url<] Question is if it keeps growing next Q2 2017.

      • blastdoor
      • 3 years ago

      Yup.

      Apple’s growth depends on many factors, but in terms of looking to Q2 2017, I think the biggest *single* factor is the quality of the camera in the iPhone 7 relative to the competition. I don’t mean that’s more important than every other factor combined, just that it’s the biggest single factor.

      Longer term, though, I think the key to Apple’s growth is to be able to keep the *entire* product lineup competitive, not just a few products.

    • End User
    • 3 years ago

    My tips for Apple regarding their Mac lineup (to improve sales):

    Kill the MacBook Air
    Expand the MacBook line (reduce prices)
    Drop mini from the Mac mini name
    Give the new Mac a discrete GPU option
    Give the new Mac a decent desktop CPU option! (expand the case to handle the CPU cooler)
    USB-C and Thunderbolt 3 on all all Macs
    Refresh the MacBook Pro line to bring it in line with the MacBook
    Bring over Night Shift Mode from iOS
    Bring over the True Tone display from iOS
    Release an updated Thunderbolt 3 4K display

    And finally….

    …update the damn Mac Pro already!

      • iBend
      • 3 years ago

      Give OSX to iPad pro

        • End User
        • 3 years ago

        Good grief. Noooooooooooooooooooooo

        • End User
        • 3 years ago

        You can get OS X up and running on an iPad Pro using duet or Air Display but, as with the desktop mode of Windows 10, OS X is not designed for touch and the experience is not that great.

        [url<]http://i.imgur.com/F3vo7Cz.jpg[/url<]

      • blastdoor
      • 3 years ago

      All sounds good.

      I’d just say 5k rather than 4K.

      For the Mac Pro, I’d like to see a dual Xeon option. I’m fine south the existing for, factor, though.

        • End User
        • 3 years ago

        Ah, yes. 5K. Thunderbolt 3 supports 5K at 60Hz.

      • derFunkenstein
      • 3 years ago

      You’re asking Apple to build a run-of-the-mill PC there with a bigger size and a discrete GPU.

        • End User
        • 3 years ago

        A tall Mac mini is all they need.

          • derFunkenstein
          • 3 years ago

          They call that a Hackintosh.

            • blastdoor
            • 3 years ago

            I don’t think that’s right at all.

            A Hackintosh is a DIY’ers Mac. It doesn’t sound to me like he’s proposing something that is even remotely DIY. Note that “discrete GPU” does not mean “user-upgradeable”. It just means “not Intel integrated graphics”. The iMac and Mac Pro both have a “discrete GPU” and they are not Hackintoshes by any reasonable definition of that term.

            • Kurotetsu
            • 3 years ago

            I think stuffing a discrete mobile GPU into a Mac Mini is pretty reasonable (they can just reuse whatever is in the 15-inch Macbook Pro for that year), and shouldn’t increase its volume much at all. I highly doubt they’ll bother with a desktop GPU though.

            • blastdoor
            • 3 years ago

            I think that’s a good prediction.

            But I think they really also need to get a 4 core, 8 thread CPU back into the Mac Mini. That, plus the discrete GPU, might require a larger case.

            I guess one slight disagreement I have with End User is that I do think they could keep the current Mac Mini with its very slim form factor, and the machine End User proposes would be an addition to the line, not a replacement for the Mini.

            • End User
            • 3 years ago

            I agree with you regarding keeping the current Mac mini form factor. The taller chassis is in addition to the slim chassis. This is in line with what Apple has done with the 13″ and 15″ MacBook Pros.

            • End User
            • 3 years ago

            Bingo.

        • blastdoor
        • 3 years ago

        I really disagree. He’s just asking for a better CPU, a better GPU, and acknowledges it would require a somewhat larger case. The somewhat larger case might be no larger than the old Mac Mini case.

      • NTMBK
      • 3 years ago

      My tips for Apple regarding their Mac lineup:

      -put a Zen APU with HBM2 in the Mac Mini

        • AJSB
        • 3 years ago

        Yeah…OTOH, in my Country, a Apple Mac Mini costs 500+ €…i can build a machine with similar size (22x20x5.6) with better performance (including in games), better specs (8GB @ 2400GHz, 1TB HDD) for 300-350 € :”)

        Granted, no SDXC card reader, no Thunderbolt and only 2 USB3, but OTOH, with an extra HDMI (IN), PS2 for Keyboard and Mouse, 4 extra USB2, SPDIF, etc.

        …and when we have at least Bristol Ridge, i can build similar machine with a AMD APU of 35W (4 cores 3.1GHz base, 3.6GHz Turbo, iGPU w/ 512 shaders @ 900MHz) in a 22x21x65 case that no longer have less USB3 connectors and will have a slim ODD drive or a second 2.5″ drive and no matter is one or two 2.5″ drives, they can be up to 15mm thick and this means drives up to 4TB each right now. In fact i can imagine such a machine with a Bristol Ridge 35w, 8GB DDR4 @ 2400MHz, ODD, custom cooling by me and a 2.5″ 4TB PMR HDD for 550-600 €.

        • blastdoor
        • 3 years ago

        Kinda hard to do that until it actually exists in the real world.

        And until it actually exists in the real world, it’s kinda hard to assess the merits of the suggestion relative to alternatives that will exist at the same time.

        So… I think your tip is premature.

      • rudimentary_lathe
      • 3 years ago

      How about updating the upgradeable 13″ MacBook Pro? As far as I know that offering is still rocking an Ivy Bridge CPU and crappy screen. How about a 1080p IPS screen with a Skylake i5 for the same (pretty high) price?

      There are some of us like and use OS X, but don’t want to pay Apple three times or more what RAM and storage is worth. The Retina machines are beautiful, but IMO ridiculously overpriced. I’d rather just buy a much cheaper UX305 or Dell XPS and put Ubuntu on it if I need it as a development machine.

        • End User
        • 3 years ago

        I love Ubuntu and I have my eye on the XPS 13 Developer Edition but when it comes to my day to day laptop it has to run OS X and it must have an Apple trackpad. I’ll pay anything to get that.

        • End User
        • 3 years ago

        Apple is not the only company that does the overpriced components thing. Lenovo will sell you an optional 512 GB SSD for $750 CDN.

      • w76
      • 3 years ago

      I disagree on reducing prices; if the product is well designed, history has shown people will pay up for it. There’s also an element of luxury brand status, like Prada, at play. No need to leave money on the table.

        • blastdoor
        • 3 years ago

        I’m sure there’s some reasonable exception somewhere, but I tend to agree that reducing prices isn’t the answer.

        There are actually a lot of people willing to pay a premium who are not currently being served by Apple. Apple should go after those people. Apple’s goal should be to utterly dominate the high-end of any given market. As a rough heuristic, they should seek to get 80% of the top 20% of any given market in which they compete (and 90% of the top 10%).

        As for the rest of the market…. I’m not suggesting that Apple cede it entirely. But Apple should be very targeted. Specifically, they should target people who one day might be in the top 20% of the market. So, as a rough heuristic, maybe they want 20% of the bottom 80% of the market.

        So overall, their total share of any given market would be about 20%, but it would be heavily skewed towards the top. They are falling short of those targets with both the iPhone and the Mac (I’m not as familiar with tablet marketshare numbers).

      • Kretschmer
      • 3 years ago

      Apple lives on fat margins. Why would they offer more bang for the buck?

      Besides, they’re a devices company more than a PC OEM.

      • blastdoor
      • 3 years ago

      Another idea that occurs to me:

      Create an iCloud Pro that provides cloud-based CPU/GPU resources for Pro users.

      If they could get the UI, price, and development tools right for such a resource, it could be a very compelling option for pro Mac users. Of course, those are huge “ifs”.

      • Buub
      • 3 years ago

      And stop soldering the the memory to the motherboard. Make it user upgradable like it used to be.

        • muxr
        • 3 years ago

        Heh fat chance. Memory is only going to go from the PCB onto an Interposer. Apple does it for compactness, wait till they see HBM (they probably already have).

      • Concupiscence
      • 3 years ago

      Invest money into bringing long-standing OS X issues up to par, too.

      * The OpenGL implementation’s far enough behind the curve that the Mesa X11 drivers have surpassed it in feature set and speed. Driver glitches aren’t getting fixed, performance isn’t improving over time, and it’s starting to be a real sticking point for porting software to the platform. Also: while Metal is nice on its own merits, it’s not a substitute for Vulkan. Keep the sniffy not-invented-here mindset in the past where it firmly belongs.

      * The filesystem being stuck on HFS+ is also [u<]really[/u<] embarrassing by now. Everybody else can manage concurrent filesystem access by multiple processes; as SSDs gain popularity, this performance liability only gets worse. I didn't realize this before heading to Wikipedia, but did you know that in addition to not supporting checksumming, [b<]all metadata must be byteswapped on modern Macs[/b<]? This obstinacy isn't doing you favors now, Apple: please look to the OSS community, lend your expertise to a worthy OSS project, and let the rising tide raise all boats and earn you some serious brownie points in the process. You're the biggest consumer brand in the world, and you should do better. I like the user experience, general day to day use, and your dev environment (aside from the bits that are older than Debian Stable's), but focus and prioritize. Leaving hunks of your software poorly maintained has ripple effects for your business as a whole.

        • End User
        • 3 years ago

        Vulkan was late to the party. Khronos launched the Vulkan 1.0 specification on February 16th, 2016. Metal was rolled out to developers back in June of 2014 (iOS). My guess is that Apple saw no other option but to go with their own API at that time. As iOS is based OS X it made sense for Apple to transition Metal over to OS X in 2015.

        Regarding HFS+. Are you [url=http://arstechnica.com/staff/2006/08/4995/<]John Siracusa[/url<]? I have high hopes for MacOS 1.0

          • Concupiscence
          • 3 years ago

          Vulkan: That’s true. Vulkan was developed at a rapid pace by Khronos standards, but didn’t make it into the wild in time for El Capitan. Still, an announcement of support plans would be welcome.

          HFS+: Nah, but I’m enough of a tech codger to remember what a breath of fresh air BeFS felt like compared to HFS+ 16 years ago. They owe it to themselves and their users to move things forward.

          Fist bump – I want MacOS 1.0 to be good, too. What do you suppose they’ll call it? Golden Gate? Hearst Castle? Petco Park? *ducks*

    • brucethemoose
    • 3 years ago

    I wonder if we’ll see the same sales drop from the major Android OEMs.

    • End User
    • 3 years ago

    Apples outlook for the next quarter does not look good if you compare it to the same quarter a year ago:

    “Apple is providing the following guidance for its fiscal 2016 third quarter:
    revenue between $41 billion and $43 billion”

    Q3 2015 revenue was $56.1 billion

    • End User
    • 3 years ago

    To put it in perspective Apples profit this quarter was more than 5x that of Intel in its most recent quarter.

      • brucethemoose
      • 3 years ago

      Looks like declining sales in China was a significant factor.

      Also, that’s a great website.

      Edit: wrong reply :/

    • End User
    • 3 years ago

    Six Colors does a nice job of painting a clear picture:

    [url<]https://sixcolors.com/post/2016/04/apple-q2-2016-results-going-down/#more[/url<]

    • f0d
    • 3 years ago

    to me it seems almost the exact same issue as the pc market

    sure sales are falling but thats because people have realized they dont need the latest iphone all the time and the last generation and the generation before that has no problems doing the things they need to do

    the numbers may be dropping but they are still selling 50 million of them a quarter so its not like nobody is buying them

    sound just like the pc market to anyone else?

      • Ninjitsu
      • 3 years ago

      Happens with all mature tech, which is why ipad sales have been slower for some time too.

      • End User
      • 3 years ago

      The PC market would die for 10 billion in profit.

        • f0d
        • 3 years ago

        i wouldnt be suprised if the pc market is making 10billion in profit but its split up between so many different things and companys that its going to be impossible to know
        things like
        laptops
        prebuilts
        custom computers
        screens
        gpus
        gaming peripherals
        motherboards
        cpu’s
        hard drives
        ssd’s

        and a bunch more things i probably forgot im sure there is plenty of profit

          • End User
          • 3 years ago

          Intels most recent quarter saw profit of $2 billion. Both HP and Lenovo showed a profit of $300 million in their most recent quarters. Nvidia had a profit of $207 million. I’ll let you find the remaining $7.7 billion swishing around the PC industry this quarter.

          And holy crap! Apples profit was more than 5x that of Intel.

            • f0d
            • 3 years ago

            you forgot a whole bunch of pc players there
            like
            microsoft
            asus
            gigabyte
            msi
            samsung
            acer
            logitech
            corsair
            LG
            razer
            asrock
            evga
            thermaltake
            +a whole bunch more i couldnt think of right now

            but as i said its impossible to know exactly how much profit these companys are making in the pc space as some of them make money in non pc areas

            • Ninjitsu
            • 3 years ago

            I suppose Apple PCs count as PC space profits too. 😉

            • f0d
            • 3 years ago

            yes as they are personal computers too 🙂

            but i think they term nowdays means an x86 style computer no matter how wrong that is

            • Ninjitsu
            • 3 years ago

            But macs are x86/IBM-PC style now! 😀

            (i hadn’t meant PC as in “personal computers”)

            • f0d
            • 3 years ago

            oh thats true for sure
            i worded my comment badly but my intent was more in regards to iphones which really can be considered “personal computers” by the original meaning also even though they dont have x86 processors in them

            the term “PC” is kind of outdated imo as the original term “personal computer” can mean just about any computing device nowdays

            even x86 computer isnt really a good description as apples have them in their macs and you cant really say “wintel” anymore as you have to consider amd processors and linux box’s also

            there needs to be a new more accurate name for it

      • NoOne ButMe
      • 3 years ago

      Sales fell YoY because last year was when everyone was still moving to the new form factor of the iPhone. The demand for a larger screen was largely met and the linear pattern previous to that was continued.

      Rather than this quarter being exceptionally low for iPhones last year it was exceptionally high.
      [url<]http://cdn.arstechnica.net/wp-content/uploads/2016/04/Apple-earnings-Q2-2016-2.001.png[/url<]

      • travbrad
      • 3 years ago

      Yep it won’t help their stock price since the stock market wants to see infinite growth, but Apple is doing just fine. They are still going to be one of the most profitable companies in the world (if not THE most) for awhile. Microsoft is also one of the most profitable companies, despite the “death of the PC”.

    • blastdoor
    • 3 years ago

    My take is that the easy growth is done and Apple has to work a lot harder from here on out if they want to grow. It’s no longer about new product categories, it’s about incremental improvement. I think that means essentially three things:

    1. Every hardware product they sell needs to be updated regularly and “best in class”. Right now the Mac Pro is one of the worst examples of a product where this isn’t happening (but there are many other examples).

    2. They should expand existing hardware and software product lines to serve markets that are being ignored or poorly served, but are markets where Apple currently operates. One very small example: I’d love to see Apple sell a line of external thunderbolt fusion drives for Macs.

    3. Software and services need improvement across the board. For example, a lot of inelegance has crept into the UIs of many Apple products — this needs fixing.

    Bottom line — be a better Apple.

    • superjawes
    • 3 years ago

    I wonder if this is part of the reason they released the iPhone SE? It will be interesting to see how their results shape up after a full quarter with the SE on the market.

      • derFunkenstein
      • 3 years ago

      Yeah, maybe…I mean, designs take time so there’s no way it’s just a response to a down quarter. I think you’re saying the SE is mostly something Apple wants to use to reach markets where iPhones aren’t currently saturated, and I think you might be right. Still, it’s priced way too high for developing markets.

        • superjawes
        • 3 years ago

        Well, that and the fact that the 6 family seems noticeably larger than the 5 family (and the SE is a 5/5S with better guts). With the phase in of bigger phones, I wonder if some people just held off upgrading their 5/5S until a slimmer model arrived.

        And of course we can’t forget that the larger phones also came with the bendghazi scandal, which could have driven fear of the larger models.

        So yeah, still speculation, but I am curious as to how the SE fits into the market strategy wrt financial results.

        • localhostrulez
        • 3 years ago

        Yeah, if you want a smaller phone or simply won’t spend $650 off contract for an up to date phone, then the SE is perfect. I can easily see it being popular among teens/cheaper adults. Heck, after years of buying $400 Android phones that were slightly buggy/higher maintenance, I caved and ordered an SE. They’re sold out everywhere for a reason.

          • Topinio
          • 3 years ago

          Yeah, it’s not just the cheap customers, there’s practical and an aesthetic drivers too. I ordered a 64 GB SE on launch day, regretting only the lack of a 128 GB model and an option to order to store before launch. If it’d been the size of my 4S or smaller, price would’ve been essentially no object.

            • localhostrulez
            • 3 years ago

            Yeah, my dad’s one of those people – same size as me (5’10” male), but hates large phones. He replaced his 64GB 4S with an SE on launch day, and I followed soon after (mine hasn’t arrived yet). I’m coming from 4.7″-5.2″ Android phones, but I think it’ll be fine (and nice for the gym).

            Granted, I mainly got the SE because I’m cheap (and because I wanted more space anyway; I juggle between my main 16GB phone and a cheapo with SD for music in the car), but I really like that boxy, not as thin, relatively tough design over the 6’s rounded style (seen that on Android; I kinda hate it).

            • derFunkenstein
            • 3 years ago

            I kinda wish I’d gone with something smaller than the 6S Plus, but after using my Galaxy S4 for two years I couldn’t really get myself to consider the 5S (at the time). I erred on the size of the bigger screen but the bigger phone is a bit much. So, without owning one, I still think the standard-sized 6S is probably the best of the bunch. But that’s what’s cool about the “new” Apple – Steve would have never stood for multiple sizes like this, but giving consumers a choice is totally rad.

            • superjawes
            • 3 years ago

            To get real about the business, options cost money. They basically create a balancing act between market coverage and complexity costs. Strictly speaking, offering the One and Only iPhone is probably the best way to maximize profit per unit.

            But again…that comes at the expense of market coverage.

            And yeah, I think the 6S is probably the best of the bunch right now, and possibly my next phone (due for an upgrade this fall, so that could change). My wife got a 6 Plus (possibly 6S?) for work, and I think I like some of the general upgrades from my 6S, but you’re right about the size. It just seems…huge, especially for someone who has always carried his phone in his pocket.

    • Chrispy_
    • 3 years ago

    Apple is so filthy rich that they could suffer several catastrophic financial years before looking as bad as the next company at their best.

    Since Apple has already “recovered from the brink” in its history, I doubt they’re naive enough to become the next Blackberry any time soon.

      • chuckula
      • 3 years ago

      Apple isn’t about to go all Blackberry, but the RDF has suffered a breakdown.

        • End User
        • 3 years ago

        Apple predicted this 3 months ago:

        “Apple is providing the following guidance for its fiscal 2016 second quarter:
        revenue between $50 billion (USD) and $53 billion (USD)”

      • chµck
      • 3 years ago

      I don’t think apple’s survival is in question, it’s the solvency of their share/option holders that is.
      $41B in market cap wiped out after hours.

      • Concupiscence
      • 3 years ago

      They aren’t in danger of becoming the next Blackberry, but given enough bad quarters – and especially if the response isn’t a disciplined, targeted effort to invest in new product categories and even a whiff of desperation becomes palpable – they could risk losing their cultural cachet. And that would be a crisis, because Apple sells a culture tied to their brand that’s arguably even more visible and appealing to customers than the products themselves.

        • End User
        • 3 years ago

        Ya, totally. 10.5 billion in profit this quarter. So bad. Apple is doomed!

          • Concupiscence
          • 3 years ago

          I’m not proclaiming doom. I’m saying that there are cracks in the facade that could turn ugly in a mid- to long-term view. They’re drowning in scrilla now, but under the weight of years and a string of bad to lackluster decisions, even Apple wouldn’t be invincible.

      • TheJack
      • 3 years ago

      Being rich is not going to help them. So many chinese companies are selling top phones for a fraction of the price of an iphone, which is slowly but surely losing it’s sex appeal. So prepare for worse!

      Someone is taking pleasure in downvoting everything I say. Glad to be of service.

        • Beelzebubba9
        • 3 years ago

        So these Chinese companies are willing to sell iPhones for less than Apple sells iPhones for?

        I understand nerds buy phones to a spec, but virtually no one else does and Apple has the massive market penetration they do because they sell a unique and widely regarded product their competition is not able to duplicate.

      • anotherengineer
      • 3 years ago

      lol Catastrophic year?? What’s that 35 billion in profit??

      If they had quarters and years like AMD I would call that catastrophic.

        • Chrispy_
        • 3 years ago

        Who’s calling Apple’s last year catastrophic? Read again, it wasn’t me.

    • chuckula
    • 3 years ago

    Here’s the bad news: Mac sales down 12%.
    Here’s the worse news: That was the good news compared to the larger drops in iPhone & iPad sales.

    The iPhone was kind of like a star quarterback on an otherwise so-so football team: While he remains healthy, he can paper over a multitude of sins. However, once he gets injured or suspended for four games due to some underinflation scandal, the multitude of sins start to show up big time.

      • derFunkenstein
      • 3 years ago

      Here’s where Apple’s long support cycle, combined with carriers selling phones separately from service fees, is going to bite Apple where it doesn’t necessarily bite Samsung. Folks that bought an iPhone 5S at launch from a carrier that brought in payment plans at the same time (Verizon launched EDGE and AT&T launched Next in that timeframe, barely a month after I signed a two-year contract with Verizon) now have bills that have gone down thanks to having a phone that’s paid off, and it’s still fine. It’s fast and it still runs the latest OS.

        • localhostrulez
        • 3 years ago

        But on the flip side, for those of us who buy phones outright and don’t do contracts (increasingly the trend), long support cycles are a selling point.

          • derFunkenstein
          • 3 years ago

          Also a detriment to Apple.

            • localhostrulez
            • 3 years ago

            Hard to say. I bought Android phones for years because I could get a decent one for $400. Apple got $0 from that (except patents, et al). Then Apple came out with the SE, and that being cheap for a flagship iPhone, combined with their long support cycles and respect for user privacy, net them a sale from me (previously on Android). And my dad (upgraded from 4S). And my sister wants to be next (previously on Android). Bam, 3 sales right there, 2 of them that likely would’ve been Android otherwise.

            Edit: Oh, I forgot another one – my mom got a 5S a while back over an Android phone, at my recommendation (due to their long support cycles). She’s quite happy with it. So 4 sales in our family thanks to their support cycles/quality, 3 of which were previously on Android. All of us moved over to iOS (mostly from Android), thanks to them supporting their products well over the long haul (and getting fed up with Android glitches/bugginess).

            • derFunkenstein
            • 3 years ago

            Anything we can cite is anecdotal evidence. I pushed my mom towards the 5S right after the 6 came out, so the price had dropped. We shall see if the SE has a big impact at the $400 mark, but in many countries I think the price is still too high. China, India, all over Africa and the Middle East. That’s where the growth is right now and it seems like Apple is still ~30% more than what those markets will bear.

        • End User
        • 3 years ago

        I doubt a 5s is “fast” if it is running iOS 9.x.

      • Beelzebubba9
      • 3 years ago

      With the exception of the MacBook and iMac, most of Apple’s line is due for a refresh in the next quarter or two so it makes sense sales would be lower at the end of their lives. The MacBook Pros have traditionally been Apple’s best selling PCs and haven’t seen substantial upgrades in their chassis since 2012 and core hardware since Haswell in 2013. New Skylake rMBPs are due out in June and I expect those to boost Mac sales quite a bit.

      • albundy
      • 3 years ago

      why is that bad news? its a sign that they company needs to get out of its comfort zone and restructure.

    • tsk
    • 3 years ago

    There’s going to be a lot of speculation below.

      • oldog
      • 3 years ago

      Vide supra.

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