Apple’s iPhone slump is ending

“After a brutal third quarter, Apple suppliers like Skyworks Solutions and Qorvo are up — a lot,” Al Root reports for Barron’s. “The case is getting clearer that the worst of the iPhone sales decline is over.”

“Skyworks and Qorvo dropped 26% and 21%, respectively, in the fourth quarter of 2018 after both companies’ sales forecasts disappointed—and worried—Wall Street,” Root reports. “Wednesday was a different story. Skyworks stock was up 12% by midday. Qorvo shares jumped 5%.”

Root reports, “The next bit of data from Apple’s supplier network will come after the market closes on Thursday, when Qorvo reports numbers.”

Read more in the full article here.

MacDailyNews Take: Hopefully!

10 Comments

  1. If the folks at Apple truly believe that consumers are going to continue to pay 1, 2, or soon up to 3-grand for an iPhone all booked out that doesn’t do anything significantly more than a $100 iPhone 6… then something seriously needs to change in Cupertino, before shit really hits the fan.

  2. Let the witch hunt begin – who were the most egregious rumor-mongers. String ’em up!

    I’d love to see a PVI (Personal Verity Index) attached to each internet crier.

  3. It’s quite obvious all that Apple needed to do was cut prices to get additional iPhone sales. Consumers definitely believe iPhone prices are too high. Most consumers don’t think in terms of holding an iPhone for three years to offset that high initial price.

    I personally see no other solution but to drop iPhone prices in order to sell more units. There must be a specific level of price that consumers don’t want to go beyond and Apple has gone well beyond that price.

    Even with reduced iPhone prices, Apple needs to find some new revenue stream to boost overall revenue. They need to stop relying on that darn iPhone so much. The smartphone market is saturated and the only consumers left to buy smartphones are those in poorer countries. If Apple can’t offer a $200 smartphone then all those sales will be going to Android smartphone manufacturers.

    1. I agree, I think Apple could lower their prices just a little and probably sell a lot more iPhones. I would have like to seen at minimum the XS Max at $999, the XS at $899 and XR at either $649 or $699.

      I’m willing to pay a little more for Apple stuff but there is a threshold where I just no thanks

    2. If Apple forfeits their huge markup (not the cost) of memories, it would be a one way to bring their price down in somewhat more logical ways. For the Xs, for example, bumping the storage capacity from 64Gb to 128Gb cost you $150 and 128Gb to 512Gb at $200? And how many memories Apple sells this way?). The cost of the 64Gb memory is what? less than $10 for sure. 128Gb memory might be $20 or something? The memory market is at rock bottom and Apple surely buys them at incredibly low prices. Not just for iPhones, Apple is in a “memory retail business” at exorbitant markups.

  4. I can’t see any relevance between the MDN’s title of this topic (which is misleading) and the actual article. The article only shows some suppliers are making a lot of efforts to regain what they lost due to declining iPhone order by increasing their efforts to sell components to Samsung et al and up and coming Chinese phone makers.

  5. The idea that the competitors phones, Samsung, w Android are crap is insane, I’m no fan of anything other than iphones, but Samsung and Android have had many features prior to catch up Iphones, capturing the big screen market years in advance of Apple, let alone other features, and if you talk to those owners they feel they have the best and for less,

    Steve Jobs gave Cook a 5 year plan,, and those 5 years are gone.

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