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  • Newsletter Issue #867: The Endless Obsession with Apple’s Sales Growth

    July 11th, 2016

    Although mostly in line with expectations, Wall Street freaked for a time when it was announced that iPhone sales dropped in the March quarter. It was the first time since Apple’s smartphone debuted in 2007. After a steady pace of growth, a pace that few competitors could match, the tide had turned. To some, it was the beginning of the end of Apple’s rise to the top, that reality was setting in.

    In essence, predictions that Google’s Android platform would grind iOS into niche status only grew. Of course, it’s hard to call a platform niche when tens of millions of units are sold. That’s true even if sales are lower than historic levels. With regular declines in iPad sales, and lower sales reported for the Mac, where’s Apple’s next growth segment?

    Some speculate it might be the Apple Watch, which continues to expand and remains the number one smartwatch on the planet by a huge margin. Of course, critics try to squeeze it into the same “wearables” category as the less expensive Fitbit, which still outsells Apple. But putting the Fitbit in the same space as an Apple Watch would be similar to comparing an iPod, at its peak, with the iPhone. This scheme might also be similar to the decision, by some, to deprive the iPad of a PC label, thus reducing Apple’s apparent overall sales in that category.

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