Bloomberg enters the foray addressing Apples woes in a manner that is rubbing wound on Apple Inc’s wound caused by the not so great sale of its latest offering iPhone X. The weak demand continues for a Smartphone that had once been the most anticipated one and other vendors have however been scrambling to copy its looks and features.
The iPhone X’s weak sales has been what Bloomberg has pointed on and has also picked up statements from Samsung that show that shows the demand for the OLED panels used has dwindled.
Wrong inference from Samsung’s statements
Samsung however had stated that the weak demand and rising completion in the OLED segment is something that had led to decrease in the revenue, but it had been inferred that the suggestions were made that Samsung had stated that it is due to falling demand for iPhone X that its OLED sales had declined.
So rather than statements from Bloomberg that hint at the fact that the less revenue is due to the fact that the iPhone X which uses the OLED panels has low demands, Samsung had actually claimed that the high intensity competition that has led to the decrease in its sales and revenue. Bloomberg’s suggestion on the statements of Samsung are entirely vague given that it had assumed that iPhone X’s dip in sales had led to the weak revenue growth of Samsung’s OLED supplying unit.
Samsung in turn has also suggested that the way out to bring back its sales on track are to cut costs and improve the product mix, keeping a check on the oversupply and also the competition that persists. This in a way nullifies any statement based out of the facts that are just assumptions and misinterpretation of the actual statements.
Failures at Samsung hinted as inventing problems for Apple
The downsizing of the revenue at Samsung is not just for the failure of Apples’s iPhone X to live up to its expectations and such that even Samsung has faced the heat which is evident from the fact even after its flagship Smartphone Galaxy S9 were launched the sales figures show a meager increase of 11 percent. The sales of Samsung Smartphone are yet to grow in a manner that would show a favorable increase in the revenue.
The greatest reason for the decrease in revenue is due to the fact that the sales of the flagship Smartphone are quite stagnant and such can add up to the woes of any premium handset seller.
The greatest misleading data was that Bloomberg did not put up a mention of Samsung, the world’s largest Android Maker reporting stagnant sales and we demand of its own flagship offerings and instead hinting at iPhone X sales being a reason for the lowering of the revenue. Bloomberg’s statements hinting at plummeting sales of iPhone X sales being the sole reason for Samsung’s OLED sales issues suggests a lack of clear understanding of Bloomberg on Samsungs problems.
iPhone X marked a paradigm shift in Apples’s objective
Like previous times when the iPhone was introduced, the iPhone was not just a phone, but certainly a technological advancement and such is what an iPhone was meant to do, even if it is priced at a sky high $1000. Maybe the idea was laughed at that a phone priced such highly at $1000 would have takers and maybe such predictions did come through as the sales of iPhone were relatively less, yet the iPhone does have its takers who are more into trying out the technologies that are newly developed than taking into account the price asked for an iPhone.
Even so, the surprising fact still remains that in the quarter when the iPhone X was launched, the sales of iPhone X had outdone the sales of iPhone 8 and iPhone 8 Plus though eventually such sales had dwindled down.
The trend that Apple’s sales follow
Apple goes beyond convention when it comes to the pricing of its product given that its premium end phones are sold to a niche segment and its customers surely consider the brand name of Apple Inc and the technology inculcated to make the purchase decisions, but often the sales figures go down after the demand is duly satisfied.
But however the lower sales of iPhone is always an issue which the expects find needs to be addressed but then the entire decision lies with Apple to revamp its sales by getting a change in the decisions , but then the premiumness of its offerings have always been a lookout for Apple.