“Apple Inc. could be on the verge of announcing record-breaking iPhone sales — and it might be due to the Apple Watch,” Louis Bedigian reports for Benzinga. “The Cupertino, California-based tech giant will report its June quarter results on Tuesday, July 21 after the close. Apple is not expected to talk about Apple Watch sales unless sales meet or beat analyst expectations, but its impact could still be felt this quarter.”
“‘The iPhone is very strong,’ Global Equities Research analyst Trip Chowdhry told Benzinga. ‘And the strength is coming from two dimensions. First and foremost our research indicated people are switching from Android to Apple at the expiration of [their cellular service] contract. The catalyst for the switch is the Apple Watch,'” Bedigian reports. “Chowdhry said Apple’s smartwatch is a ‘trigger’ for consumers to adopt the iOS ecosystem. ‘If these people go with Android and [another] contract, they would be devoid of using Apple Watch,’ Chowdhry explained. ‘That is one reason why iPhone sales are going to skyrocket. These guys want to buy Apple Watch in the near future and it only works with iPhone.'”
Read more in the full article here.
MacDailyNews Take: If even Trippy Chowderhead can see it…
SEE ALSO:
Apple debuts four new TV commercials for Apple Watch – July 16, 2015
Horace Dediu: ‘There is no reliable information on Apple Watch sales’ – July 16, 2015
Apple could announce 10 million Apple Watches sold when it reports earnings next Tuesday – July 15, 2015
Apple Watch sales are off to an all-time record start – July 15, 2015
Reports of Apple Watch’s death have been greatly exaggerated – July 14, 2015
Apple Watch volumes are much better than Slice Intelligence figures suggest – July 13, 2015
Apple Watch naysayers in a baseless feeding frenzy – July 13, 2015
Why Apple must sell one Apple Watch for every 20 iPhones or something – July 13, 2015
Apple Watch online sales in the U.S. estimated at 3 million through first 3 months – July 13, 2015
The Apple Watch demand FUD is out of control – July 9, 2015
MarketWatch hack claims ‘Apple Watch sales plunge 90%’ – July 7, 2015
Apple to release Q315 earnings, webcast live conference call on July 21st – June 29, 2015
Apple to hide Apple Watch sales info from competitors inside ‘other products’ – October 21, 2014
Putting could, would, should or a question mark in a headline seems to be bad for Apple. Could is from Trippy after all.
“…unless Apple Watch sales meet or beat analyst expectations.” What are these so-called analyst expectations, anyway? From what I’ve seen, well, let’s take a line from Jesus Just Left Chicago: “workin’ from one to end to the other, and all points in between. Heyrrr hey!”
I question the hypothesis: that “the Apple Watch is the catalyst for Android switchers.”
There has been a steady, and even increasing, drum beat of articles, reports, and stories about (a) how vulnerable Android is to viruses, and (b) how little Google and others care about protecting people’s privacy. It has also become clearer that (c) Samsung and their ilk are brazen IP thieves with no real ability to innovate and deliver superior products at fair prices. I think many consumers are just getting smarter. They are increasingly able to sort the wheat from the chaff. All this is why they are buying iPhones instead of Androids. Consumers are voting for Apple, its products, its business practices, and its integrity.
Additionally, others have pointed out long ago the difference in professed switching rates between Apple and Android owners, which clearly favors Apple. So the result we now see is the result of a process that has been in play for a while.
This is not as glamorous as assigning all the switching to the Apple Watch. But I think it is more realistic.
I agree. It does not take all Android users wanting Apple Watch to have a significant impact on iPhone sales. It does not even take 50%. Or 20%. If just 10% of current Android users want Apple Watch, and switches to iPhone when their current contract expires to get Apple Watch, that would have a significant impact on iPhone sales. 10% of Android users is more than 10% of existing compatible iPhone owners.
The primary goal of Apple Watch is not to sell watches. It is to sell more iPhones. 🙂