Apple Inc., the tech behemoth known for revolutionizing the mobile industry with its iconic iPhone, seems to be hitting a roadblock. According to a report by reputable news outlet, the [Wall Street Journal](http://www.wsj.com/article_email/apple-scales-back-orders-for-its-iphones-1452049390-lMyQjAxMTA2NjAyNjkwNjY0Wj), the company is now curtailing orders from its components manufacturers. This news circles back to the internet just weeks after a [report](https://www.techbooky.com/post-title/could-iphone-sales-peak-in-2015-well-these-big-names-think-so/) speculated that the demand for iPhones may have reached its zenith back in 2015.
Market analysts ascribe this trend to two critical phenomena:
1. The exponential hike in iPhone prices in global markets, and
2. The maturation of the smartphone market, particularly in developed economies.
This pair of culprits is chiefly accountable for the dwindling demand for Apple’s latest offerings, specifically the iPhone 6s and 6s Plus models.
In a world where the smartphone market is brimming with choices, iPhones have been experiencing a dip in demand. This is especially evident in developing markets where contract deals, that typically buoy sales in developed economies, are rarely available.
Consider the African market, for instance, where it is projected there will be over 350 million smartphones by 2017. To possess an iPhone there, you’d have to cough up a significant sum for an unlocked version. Compounded with the difficulty in locating authentic iPhone accessories, the cost and inconvenience factors can be a major deterrent for consumers. A counterfeit screen replacement, cast as an innocuous accessory, could inflict significant damage on your iPhone, dissuading many potential users.
The Wall Street Journal report further highlights the growing concerns over declining iPhone sales. It mentions Foxconn Technology Group, the firm that assembles iPhones, receiving over $12 million in subsidies from a Chinese provincial capital. The objective was to mitigate the fallout from layoffs, which had started earlier than usual due to the Chinese Lunar New Year Break.
So, was 2015 the summit of iPhone sales? With the current shifts in the marketplace, we can only wait and observe the trajectory of Apple’s flagship product.
Discover more from TechBooky
Subscribe to get the latest posts sent to your email.