A series of difficulties are surrounding Apple
iPhone sales decreased . According to market research firm IDC , global iPhone sales in the first quarter decreased by 9.6% compared to the same period last year. This figure reflects Apple's difficult situation in China, and is worrying when the iPhone accounts for nearly half of the company's revenue. The next quarterly financial report will be announced by Apple on May 2, revenue is expected to decrease by 5% according to analyst predictions. Photo: Bloomberg .
Litigation with the US government . In March, the US Department of Justice and 16 lawyers filed a lawsuit against Apple, accusing the company of unfair competition, suppressing competitors and preventing users from switching to smartphones of other brands. Amid the whirlwind of litigation, Apple has made a number of moves such as allowing the release of streaming tools and game emulators on the App Store (pictured), and applying the RCS messaging standard for iMessage from the end of this year. Photo: MobileSyrup .
Pressure from the European Union (EU) . Effective from March, the EU's Digital Markets Act (DMA) requires large technology companies to comply with a series of regulations, such as allowing the installation of third-party app stores, creating conditions for users switch to rival platforms. Apple believes that these changes may affect the user experience, making the device less secure. However, Apple is still 'reluctant' to apply some changes in the EU to comply with regulations. Photo: Bloomberg .
Haven't caught up with AI trends yet . Apple seems to be losing steam before Google and Microsoft in the artificial intelligence (AI) race. To catch up with competitors, rumors say that Apple is negotiating to integrate Google's Gemini model onto the iPhone, discussing with OpenAI and Baidu for some AI features on iOS 18. The latest plans may be announced. company shared at the programmers conference (WWDC) taking place in June. Photo: Bloomberg .
Difficulties in China . According to Counterpoint Research , iPhone sales in China in the first 6 weeks of the year decreased by 24%. The rise of domestic brands and the ban on using foreign equipment in Chinese enterprises and state agencies put great pressure. This causes Apple to run promotions to boost sales, some retailers even sell iPhones for $180 less than the normal price. Photo: Bloomberg .
Apple Car is canceled . Apple's electric car development project was said to have ended in February. Although it brought a positive signal to investors, this meant that Apple lost a potential source of revenue. High production costs can cause the selling price of Apple's electric car to reach $100,000, potentially boosting revenue in the short term. However, the company is still actively looking for the next 'big product' when rumors of developing smart robots appeared a short time later. Photo: Vanarama .
Search for Vision Pro users . Apple's first 'spatial computing' device hit shelves on February 2, impressing a number of users and experts. However, the selling price of 3,500 USD and actual demand are still big barriers. Many reviews show that Vision Pro is too heavy to wear for a long time, and the number of supporting apps is not much. According to Bloomberg , some of the challenges for the company are to make Vision Pro comfortable, cheap and accessible to mainstream users, although this process may take years. Photo: Wired .
The tablet market is gloomy . More than 10 years after the iPad appeared, the tablet market is no longer as vibrant as before. According to IDC , total tablet sales in 2023 will drop to the lowest level since 2011. This is not a problem for Apple alone, but the iPad is a device with more than 40% market share. Many people tend to switch to large-screen smartphones or return to laptops. After a year of not launching tablets, Apple is expected to return with a number of devices such as the 12.9-inch iPad Air and the OLED iPad Pro. Photo: Bloomberg .
Legal trouble because of Apple Watch . In a rare move, Apple had to temporarily suspend sales of Apple Watch Series 9 and Ultra 2 in the US due to losing a lawsuit against medical device manufacturer Masimo, related to technology for measuring blood oxygen levels (SpO2). Smartwatches are at the heart of the wearables, accessories and smart home businesses. Even though Apple has disabled the feature to resell the models, it still has a big impact on the company's reputation, possibly affecting plans to add new features to smart watches in the future. Photo: Bloomberg .
'Blooding' of talent . Several key figures in the design department have left Apple, including senior industrial designers Bart Andre, Colin Burns, Shota Aoyagi and Peter Russell-Clarke. Currently, the industrial design and user interface teams are under the supervision of Director of Operations Jeff Williams. According to Bloomberg , the situation of leaders specializing in operations but overseeing the design and creative department makes some employees uncomfortable. Uncertainty increases when cost-cutting measures are applied. Photo: Cult of Mac .
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