Apple is grappling with its biggest challenge. Although it’s still popular, the iPhone is no longer reliably driving Apple’s profits the way it has for the past decade.
SAN JOSE, Calif. (AP) — Apple CEO Tim Cook kicked off a keynote Monday that previewed upcoming changes to the company’s phone and computer software, some intended to help it diversify to offset eroding sales of its bedrock product, the iPhone.
Many of the software updates are expected to be tailored for digital services such as video streaming that Apple is rolling out to lessen its iPhone dependence.
Cook began his keynote by recapping services Apple announced earlier this spring, including a news reading service and an arcade service for mobile games. He also previewed one of the original shows Apple is producing for its new video-streaming service, “For All Mankind,” set in an alternate history where the Soviets were first to land a man on the moon.
The software showcase is an annual rite. This year, however, Apple is grappling with its biggest challenge since its visionary co-founder, Steve Jobs, died nearly eight years ago.
Although still popular, the iPhone is no longer reliably driving Apple’s profits the way it has for the past decade. Sales have fallen sharply for the past two quarters, and could suffer another blow if China’s government targets the iPhone in retaliation for the trade war being waged by President Donald Trump.
