“Greater China leapt past Europe to become Apple’s second largest market in revenue terms during the January-March quarter, and analysts say it won’t be long before the region surpasses the U.S. to become the tech giant’s top market,” Ansuya Harjani reports for CNBC.
“Apple’s second-quarter revenue from Greater China – defined as mainland China, Hong Kong and Taiwan – totaled $16.8 billion, a whopping 71 percent year-over-year jump,” Harjani reports. “This tops the revenue of $12.2 billion out of Europe, and closes in on the $21.3 billion made from the Americas.”
“David Garrity, principal at GVA Research, doesn’t see China’s love for Apple dying off anytime soon,” Harjani reports. “Chinese mobile users are in the midst of a ‘strong upgrade cycle,’ he said. ‘We are seeing a great move away from large, form factor phones [running on] Android operating systems to Apple.’ At the current pace, China should become ‘Apple’s largest geographic end market’ before the end of its next fiscal year, which runs through to September 2016, he said. Tom Kang, research director at Counterpoint Research, expects China could overtake the U.S. as its biggest sales market even sooner – by the January-March quarter of 2016.”
Read more in the full article here.
MacDailyNews Take: Yesterday, during their conference call with analysts, Apple said they are progressing well with their plans for retail store expansion in Greater China, where they added six new stores in the past quarter alone, bringing them to 21 stores in 11 cities. Apple stated they are on track to have 40 stores open in Greater China by the middle of next year.
[Thanks to MacDailyNews Reader “Dan K.” for the heads up.]
How many Gaagle stores are there in Greater China? Um … Yeah . Not many. How bout it T. Mole? Let’s GO! Get on it.
Heh. Don’t forget, there’s still India. Just a few potential customers there, too.
Business is business- who cares where it comes from
Apple makes its stuff in China and in the very near future Apple will sell most of its stuff in China.
So explain to me again why the US government thinks that it deserves a cut of Apple’s profits for sales in China?
Because it is incorporated in the U.S. and that is the existing law. Corporate tax law has clearly not kept up with the large, multinational companies. In the end, the govenrment needs tax revenue to fund its activities. If it is not getting those tax revenues from corporations, then it will get them from other sources, such as individual taxpayers. We simply need to decide the preferred method and distribution of those taxes. We also need to make taxes revenues match spending – raise taxes, cut spending, or a combination of the two. But cut out the borrowing.
Tim Cook went to Washington and almost begged for a tax break window to bring money back into the U.S. Later, Congress will be hollering because all Apples focal point will towards China. China is capitalism at its finest and has their welcome mat out to Apple bigtime.
China is capitalism at its finest… That was the best laugh I’ve had all week!
The Chinese economy is pretty fragile. I don’t like to see Apple depend on it so much.