- Apple is struggling with lack of interest in iPhones in the Chinese market
- The reason is said to be the absence of a flexible phone and a weak emphasis on artificial intelligence
- In addition, the reborn Huawei brand is growing rapidly in China
Analyst firms agree that Apple dethroned Samsung from the throne of the world’s largest smartphone manufacturers last year. The traditionally great last quarter of the year helped him to the top spot, although Apple has not officially published the numbers from it yet – we will see them only tonight. Regardless of pre-Christmas sales, the beginning of this year should be weaker in terms of iPhone sales. At least according to the analysis of whistleblower Ming-Chi Kuo.
Apple has reduced component orders for last year’s iPhones
Ming-Chi Kuo is known for his accurate sources from supply chains, which he also relies on in his current report. It shows that Apple reduced the supply of key components for the new iPhones by 10-15 percent in the first half of this year compared to last year. These are supposed to be parts not only for the current iPhone 15 generation, but also for the future iPhone 16.
Kuo predicts a decline in iPhone sales in two areas. The first is supposed to be the influence of the Chinese market, where users are increasingly giving preference to flexible smartphones, and in addition, they are buying phones from the reborn domestic brand Huawei in droves. The second area is artificial intelligence, in the use of which Apple is quite significantly on the train.
It is speculated that this year’s WWDC developer conference will already bring a bunch of AI news across all Apple products, at which we will allegedly see a significantly smarter Siri assistant. But Kuo is not so optimistic – according to him, new iPhones with more complex use of AI will not come until 2025, until then the dynamics of their sales will be damaged.
Samsung also bet on artificial intelligence with its current flagship Galaxy S24 series, and according to Kuo, it is paying off handsomely. Demand for the series’ phones has reportedly exceeded expectations, forcing Samsung to increase shipments by 5-10 percent.