Apple shipped 11.4 million fewer iPhones last quarter: Strategy Analytics

Apple shipped 11.4 million fewer iPhones last quarter: Strategy Analytics
The 2018 iPhone series

While Apple did confirm earlier today that iPhone revenue was down a considerable 15% year-on-year during fiscal Q1 2019, the Silicon Valley giant didn’t disclose exact iPhone sales figures. But now some light has been shed on the matter.

According to new data shared by Strategy Analytics, Apple sold an estimated 65.9 million iPhones during the October to December quarter. If accurate, this figure represents a pretty large drop of 11.4 million units versus the 77.3 million iPhones that were sold a year prior.

As a result of this decline in iPhone sales, the revenue generated from the lineup of devices was down a whopping 15% or $9 billion during the period to $52 billion. It was this that led to Apple’s large dip in performance throughout the quarter – the company earnt $84.31 billion, down from the record $88 billion achieved twelve months earlier.

While the majority of the revenue shortfall was to weakness in the Chinese market, Apple’s CEO Tim Cook also admitted earlier today that the 2018 lineup’s pricing had played a role. Because of this, the Cupertino-based firm announced that it would be lowering iPhone prices in certain markets in the hope of boosting sales.

This move will likely eat into Apple’s short-term profits slightly but should prove largely beneficial in the long run. After all, the company’s future relies quite heavily on its growing Services business, which itself is built upon Apple’s active device base which included over 900 million iPhones as of December 2018.

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26 Comments

1. Atechguy0

Posts: 918; Member since: Aug 03, 2018

Strategy Analytics does research analysis, and predictive analysis as well. I will wait for Gartner and IDC reports instead.

6. Atechguy0

Posts: 918; Member since: Aug 03, 2018

Joshua there were other analyst that were saying that Apple might see as much as 25 million iPhone unit sales drop for the last quarter.

2. lyndon420

Posts: 6824; Member since: Jul 11, 2012

And Samsung/Huawei shipped how many million fewer phones last quarter?? Everyone is feeling the pinch right now...right?!

3. Atechguy0

Posts: 918; Member since: Aug 03, 2018

We will have to wait and see.

5. cncrim

Posts: 1588; Member since: Aug 15, 2011

Samsung will fewer, and you need prepare yourself Huawei will jump.

7. osterrich21

Posts: 186; Member since: Apr 14, 2017

Huawei CEO's plans to overtake Samsung by the end of the year.Huawei had the best quarter of history, equal to Redmi/Xiaomi

8. Finalflash

Posts: 4063; Member since: Jul 23, 2013

It won't be nearly this bad. They say that there is market weakness, but this is likely due completely to the battery issues. The planned obsolescence was part of their sales tactics for years. Their main tactic has now been removed and it likely lead to far fewer upgrades. They're blaming China but they never really had good sales in China. Strategy Analytics estimates that iPhone sales in China went down by about 4 million. The other over 7 million would be from western markets. This likely means that this battery problem needs to be replaced by a new "problem" to force upgrades. Let us see how they make it happen.

16. mootu

Posts: 1530; Member since: Mar 16, 2017

"They're blaming China but they never really had good sales in China." Apple had $52 billion in sales in China in the last fiscal year, hardly insignificant.

20. midan

Posts: 3010; Member since: Oct 09, 2017

"They're blaming China but they never really had good sales in China. " Rigghhtt.. Apple get average 8-10 million sales every q from China, china is very big and important market for Apple.

14. Vogue1985

Posts: 480; Member since: Jan 24, 2017

Apple smartphone portfolio is very limited, they only sale Premium smartphone and in limited markets. Huawei, Xiaomi, Samsung, Oppo/Vivo have phones in every price range, Lower end, affordable, Midrange and higher and in more countries. So in my opinion Apples figures would be lower and honestly that okay, as there phones are the more expensive /exclusive in merging markets etc which is part of the charm but it's got many cons because it means Apple prospective customers based is smaller than its competitors. Think today I buy Honor V10, future I'll buy the Huawei Pro 40 SV. Or Today Bmw 1 series later on (I have lore money) I'll buy the M3 or 750.

15. Dr.Phil

Posts: 2450; Member since: Feb 14, 2011

I expect Samsung to report lower sales too. Why? Because they thought it was smart to follow Apple with higher prices instead of companies like Huawei and Xiaomi and Oppo that compete with more competitive lower pricing.

26. Macready

Posts: 1824; Member since: Dec 08, 2014

Huawei prices have made a larger jump than both Apple's and Samsung's with their top model being priced similar to Samsung's now.

4. osterrich21

Posts: 186; Member since: Apr 14, 2017

Just one word:Apple is f**kd!

9. CreeDiddy

Posts: 2249; Member since: Nov 04, 2011

Not with $235 billion in liquid cash they aren’t...lol!

17. mootu

Posts: 1530; Member since: Mar 16, 2017

For the last time, Apple does not have $235 billion in liquid cash. Tim Cook himself stated 3 weeks ago that Apple has $128 billion in cash.

10. CreeDiddy

Posts: 2249; Member since: Nov 04, 2011

What Apple needs to do is stop creating the same product. If you think about the XR can do what the XS does at a cheaper price. They need to create an OS experience that combines Mac OSX flavor with Apple Pencil, etc...I would like Apple to create a 5” phone, 6” phone and 7.5” phone. There is no need for 5.8”, 6.1”, and 6.5”. Makes no sense. They need to spread the screen sizes more. This will solve an issue for users to lock in their screen size choice. They don’t need to make a budget phone as it will canalbilizes their sales. Start phone prices at $699 to $799 and $899. It’s that easy Apple. Stop with $1k XS prices.

11. Atechguy0

Posts: 918; Member since: Aug 03, 2018

If Apple makes a 7.5" iPhone, then that most definitely will cannibalize their iPad mini (8") sales. What Apple needs to do is change their iOS, period. Add split screen multitasking, allow users to change system wide defaults, allow more home screen changes, and lock screen changes. Oh, wait that is Android. So I guess you have to get an Android smartphone instead.

12. rouyal

Posts: 1583; Member since: Jan 05, 2018

What android needs to do is have the best mobile app store, better aftermarket support and accessories, 5 years of day one updates, the fastest chipsets, uniform UI, and better resale value. Oh, wait that is Apple products. At least you got icon packs and widgets, lol

13. OneLove123

Posts: 1189; Member since: Aug 28, 2018

Get that Apple out of your mouth before you choke on it.

18. mootu

Posts: 1530; Member since: Mar 16, 2017

And over 80% of the market.

19. mootu

Posts: 1530; Member since: Mar 16, 2017

And over 80% of the market.

24. rouyal

Posts: 1583; Member since: Jan 05, 2018

With less than 20% profits of the whole mobile sector, divided among all the different android manufacturers.

22. baldilocks

Posts: 1540; Member since: Dec 14, 2008

The App store sucks. Nothing is categorized and apps are now harder to find than ever. Apple needs to FIX their App Store.

23. midan

Posts: 3010; Member since: Oct 09, 2017

"Nothing is categorized and apps are now harder to find than ever." Sounds more like a user error to me :) my app store have categories

21. ZerosAndOnes

Posts: 84; Member since: Oct 12, 2018

1700-2000$ average price for an iPhone XS/Max in Europe. Are you freaking kidding me? The drop in sales is amazing. If I was Apple I would be opening champagnes that so many people spent 2000$ on a phone that is not better than a 800$ in any possible way.

25. JRPG_Guy

Posts: 146; Member since: Jan 13, 2019

If this ain't a wake up call I don't know what is

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