Why Apple may never have another product as successful as the iPhone

“Apple Inc. is dependent on the iPhone for more than half of its revenue,” Quentin Fottrell writes for MarketWatch. “But despite a hunger for the next big thing among consumers and investors, don’t expect another blockbuster anytime soon.”

“The Cupertino, Calif.-based company reported third-quarter revenue of $37.4 billion – 53% of which was attributed to iPhone sales alone. On the upside, sales of the iPhone grew 9% to $19.7 billion,” Fottrell reports. “On the downside, no other product comes close to generating those kinds of figures. iPad sales hit $5.9 billion in the latest quarter (accounting for 16% of sales), iMac sales were $5.5 billion (15% of sales), iPod sales were $442 million (just 1% of sales). The rest was accounted for by iTunes (12% of sales), plus accessories and services. ‘We doubt Apple will have another $90 billion-plus product any time soon,’ says Brian Colello, analyst at research firm Morningstar. For better or for worse, the iPhone will be the firm’s core business for quite some time, he says. ‘A communication device is simply more important than other types of consumer products – iPod for music in the past and iWatch for fitness in the future. Phones are typically one or more per person instead of one or more per family like PCs and tablets.’ People own more phones than any other gadget, he adds.”

“Neil Mawston, analyst at Strategy Analytics, says, ‘The days of truly revolutionary innovation may be over for Apple,'” Fottrell reports. “‘Apple today is monitored and copied too closely by the computing and media industries to produce surprise products,’ he adds.”

Read more in the full article here.

MacDailyNews Take: Just getting certain quotes on the record, so that we can refer to them in the future.

27 Comments

  1. I completely disagree that “The days of truly revolutionary innovation may be over for Apple”.

    But Apple won’t match the iPhone for a decade or two because mobile phones are the new hub of innovation. Early supercomputers, main frames, and personal computers each was an innovation hub for a couple decades. For many years to come, the iPhone will just keep getting MORE important as it does more and controls more.

    Maybe by 2024 technology will be ready to switch to another hub, like augmented/virtual reality contact lenses, and tiny implanted sensors for total body integration without any external hardware. Until then, the iPhone will reign.

  2. If Apple releases a product that can morph between the size of an iPhone into the size of an iPad it will be more successful than the iPhone. They have a few patents on this tech.

  3. Quentin’s creative abilities are now shown to be nill.

    There are obvious opportunities in making truly miniaturized or “micro” sized announcement and communication devices.

    Having to grab an iPhone to get a text message is often a pain.

    People have speculated on watches endlessly. I personally suspect that earpieces or those integrated with sun/glasses may be more useful, along with hearing correction ability.

    Micro sized devices are the next frontier.

  4. Asinine, typical old FUD mongering:

    Neil Mawston, analyst at Strategy Analytics, says, ‘The days of truly revolutionary innovation may be over for Apple

    Then let’s all give up on tech and go back to agriculture. There is NO ONE ELSE innovating in the consumer tech sector, IS THERE!

    TechTard AnalCysts are forever.

    Apple Death Knell Counter

  5. “‘Apple today is monitored and copied too closely by the computing and media industries to produce surprise products,’ he adds.”

    So who predicted 64-bit ARM, Mac pro, Swift? … Nobody, that’s who! False in part, false in the whole.

  6. Why do these come by lately, ass first into money, keep trying to even comprehend what it takes to come upon, by luck or by muck, a paradigm shaping product like Apples, Macs, iPod and the iPhone? By far my money was, is and for the foreseeable future, will be on companies like Apple, and anything Elon Musk comes up with. Apple for their window into the immediate future Elon for the mid to long term future.

  7. But here’s a thought: If there is a new tech. to be found, or an existing tech. needing to be done right, it will be Apple that does it.

    Idiots.

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