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Bad News For Apple... Future of iPhone?

"Falling Sales..."

Apple is facing bad news everywhere around the globe. Recently, Apple has faced a sluggish sales volume, a ban on sales in China, defects, and an iPhone XS advertising image.

Market atmosphere is not good either. Guo Mingchi TF International analysts, who are called Apple experts, have touched down the iPhone sales volume this year and first quarter of next year. Guo Mingch analysts predicted that iPhone sales in the first quarter of next year would drop 20% from 47 million to 52 million to 38 million to 42 million.

This year, iPhone sales volume has been revised from 210 million units to 205 million units. The company predicted that it would be about 10% smaller than its sales volume next year and could stay at 190 million units, which is less than 200 million units.

"Stock Price Effected"

Apple shares fell to the $ 165 level on Tuesday. Apple has not fallen below $ 170 a week for about seven months. In October, it hit $ 232.07, but it fell below the $ 200 mark for the first time in three months and is now hard to defend against the $ 165 mark.

The market is still turning to Apple, although there is still many sales at the end of the year, with sales up to a record high, including Black Friday and Cyber Monday, where smartphone sales are surging. Issues such as following issues and sluggish sales volume are affecting share prices. As a result, the market cap of $ 1 trillion has already collapsed and has not reached $ 785.3 billion.

Apple's latest strategy Smartphone iPhone XS · XS Max XR sales volume is the reason. In particular, due to sluggish sales of iPhone XR, Apple has also started selling discounts in Japan by subsidizing it. It is unusual for Apple to go for a discount in the first month.

A crisis from China has also come. Chinese courts have ruled out the sale of seven models, including the iPhone X, in violation of the Qualcomm patent. It means that the sale or import of the product in China is prohibited. Apple has appealed, but Qualcomm has filed a lawsuit against the iPhone, not just the iPhone, but the latest iPhone XS series.

If the actual sale is discontinued, it is a direct hit on the iPhone. Canadian RBC Capital Markets predicts that iPhone sales will decline by 40% and Apple's annual sales by 4%.

Parts suppliers are also hit. Taiwan's Foxconn, which commissioned and assembled the iPhone due to reduced production, announced a restructuring, including a 10 percent cut in non-technical staff. LumenTerm HOLDINGS, Japan Display, AMS AG, and others have also been considering changes.

According to earnings reports released last month, sales of Apple products decreased, but shipments showed profits due to the increase. Apple decided not to disclose future sales figures. It is interpreted as a way to account for the sluggish sales.

Meanwhile, according to a major foreign source on Thursday, Apple sued consumers for the iPhone XS advertising image. It is alleged that it intentionally concealed the notched periphery, causing the iPhone XS and XS Max to believe that it had created a notch-free screen, and then led to the sale.



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