johnjohnstone

tzeshan said:

The iPhone is not the best smartphone.  Several Samsung models are selling at higher prices than iPhones on AT&T. 

LOL. You are clueless. Those same Samsung models are on BOGO deals. And since when does a higher price = better quality?

ireland said:

Watch people scramble to still argue why Apple aren't going to make a car.

Watch people scramble to say the car market is saturated and we've reached peak car.

benjamin frost said:

I'm not flabbergasted that Samsung reported weak profits. 

Smartphones are are becoming a commodity, I'm afraid, and that means that something has to give: either Apple's margins or Apple's sales. My feeling is that people like me will keep buying iPhones, but less frequently. Others will switch to Android. If Apple were to accommodate the whole market as they did for the iPod, then they would be able to enjoy a 60%+ market share. Alas, I fear that Tim Cook doesn't have the nous to follow in Steve Jobs' footsteps and make the bold decision to sell the iPhone at all price points. 

I do like the idea of bringing out 4" iPhone models for the Western first world in the Spring, and saving the phablets for the third world in the autumn. This will help to even out iPhone sales and ease shortages. 

Except Average selling price and unit sales of iPhones have been up 6 straight YoY quarters.

People are buying more iPhones at higher prices than ever before. Seems like your 'theory' is totally false.

Smartphones are the most important item in a persons life after their home and car. Do you seriously think people will give up a high quality iPhone to save $5 a month to get an Android? Get real. A smartphone is a mission critical devices for work and home and social. With the new iPhone lease plans people can pay $25 a month for an iPhone with zero down. I would believe your theory if people were forced to pay for the entire phone at $700-$900. But with leasing much of the high price tag is offset by Apple's high resale value and low lease payments.

People use their phone every day for hours a day. No way people will be willing to use a 2nd class phone to save $5 a month. People don't think twice to spend $5 on a cup of coffee every day. No way on earth will they compromise on something they use everyday to save a few pennies a day.

I do agree that Apple needs to lower prices in countries that don't have lease plans like in the USA. A prime example is in India where Apple dropped the price of the 5s 30%-40%.  But if you are expecting Apple to start selling $150 phones like Samsung don't hold your breath. Like Cook said they will never sell junk. 

rogifan_old said:

Pacific Crest just put out a research note essentially accusing Tim Cook of lying:

Management’s confidence now looks highly likely to be misplaced, which suggests that it was either ignorant of the challenges it faced or deliberately overstating underlying trends. The former seems unlikely, which suggests that management has taken a much more aggressive tone as growth in the high-end smartphone market has slowed. This reduces our confidence in Apple’s commentary going forward.

This ass clown regularly calls and asks questions to Tim Cook during earnings calls.

Tim Cook should chew him out and spit him out if he dares calling again. Unreal that this clown has the nerve to call Cook and Apple liars.

And the hits keep coming.

Get your pocketbooks ready to buy Apple shares at $80 in a few weeks.

Slowing 6s sales won't show up till March and June quarter. Dec quarter iPhone 6s sales should match or beat 6 sales. All the supply chain reports are for phones sold in 2016.

I think its time for people just to admit that iPhone units can't go up forever. We are at or very near peak iPhone. At max we have another 3-5 year of iPhone growth, unless Apple sells phones for a much lower price point.  So Apple really has only 2 choices if it wants to keep growing revenue. Either they need to lower the price of iPhones or they need to sell more services or do both.

basjhj said:

It never occurred to you that the supply chain reports may be indicative of problems with other smartphone vendors, rather than Apple? It was Samsung that reported tough times ahead, wasn't it?
If we take history as our guide here, the people 'in the know' about 'supply chains' are more likely wrong than right.

Samsung may be selling less units but other Android makers are taking up the slack.

I would believe it if it was just one supplier that is reporting weak revenue for March quarter. But there have been half a dozen that have already warned about weak outlook. Why else would Tim Cook not say anything? Its probably because its true.  I expect iPhone units to decline YoY for the March quarter.

Stock is now at $96. 
It has lost over $215,000,000,000 in value in 6 months.
Google will probably be worth more than Apple in a few days with 1/3 the profit and 1/4 the revenue.

The sooner people realize we will see $80 the better.