Apple Sales Falls
Apple’s stock has dropped a lot since the recent launch of their three new iPhones that came out in September. At the beginning of October, the company was doing exceedingly well, with a valuation higher than ever at $770 billion. When the company first started, with each new product the company would grow and gain more money. This was until 2016 when Apple launched the iPhone 6s. This growth stopped because some Apple users have switched to Androids, and fewer people have been wanting to swap out their current phone for a newer model. The company continued to be incredibly successful due to other products including apple music, app store purchases, icloud subscriptions, Apple watches, the HomePod and AirPods. The company had to cut production orders on the new phones due to the lack of sales. This was because there was less of a demand for the new iphones then there usually is around new Apple products. The prices have also gone up with each new phone, specifically the newest four. Apple wants to make more money, but they also cost more to make. Apple has to take everything into consideration when they make new models of a phone, and some things cost lots of money to change. The stock has dropped 4.0%, which although it seems like a small number is a big deal at apple and a lot of money lost. Other market leaders experienced the same low numbers in their stocks. These include Facebook, Netflix, Alphabet, and Google.
Information from:
The New York Times, Wall Street tumbles as Apple, Internet Stocks Swoon
https://www.nytimes.com/reuters/2018/11/19/business/19reuters-usa-stocks.html -by Reuters
The Guardian, Does Apple’s Sales Slump Mean the Firm has Finally Peaked?
https://www.theguardian.com/technology/2018/nov/16/does-apples-sales-slump-mean-the-company-has-finally-peaked -by Alex Hern
