Although Apple CEO Tim Cook skipped mentioning India directly during the company’s earnings call with analysts, he stressed that there are several factors why iPhone sales are not picking up in the emerging markets.
Apple has already begun reducing the price of the iPhone for third-party distributors in China and may follow the same in India where the iPhone is considered very expensive.
Although Apple CEO Tim Cook skipped mentioning India directly during the company’s earnings call with analysts, he stressed that there are several factors why iPhone sales are not picking up in the emerging markets.
“The customers are holding on to their older iPhones a bit longer than in the past.
“When you pair this with the macroeconomic factors, particularly in emerging markets, it resulted in iPhone revenue that was down 15% from last year,” Cook told analysts late Tuesday.
“One of those factors, weak macro-conditions in some emerging markets, was significantly more severe than we originally foresaw, especially in Greater China. That challenge was compounded by quarterly iPhone upgrades that were lower than we anticipated,” Cook explained.
Apple CEO said foreign exchange is another key factor behind the slow iPhone sales.
