Despite Apple managing stronger than expected sales of its iPhone 7 plus, it is not enough to offset a huge decline in iPhone sales, according to one telco bean-counter.
The Tame Apple Press is full of news about how Apple’s iPhone 7 is a sell out, pretty much like it normally is at this time of year. This has meant that Apple shares have gone up as investors think the outfit is going to see its cash cow mooing for another year.
But KGI analyst Ming-Chi Kuo said that the prophesied slump in iPhone sales is coming, and there is no stopping it. While he has indeed improved his estimates of the total sales for the iPhone 7 and iPhone 7 Plus, overall he predicts that the numbers will be lower than the iPhone 6s.
The analyst is basically saying that Apple has a lot to thank Samsung for. The recent fiasco surrounding exploding Galaxy Note 7
’s has helped increase confidence, outlook, and sales of the iPhone 7 and 7 Plus.He said that earlier reports of supply shortage for the iPhone 7 isn’t exactly because strong demand, believes Kuo. He said that the Jet Black color which is in high demand as well is actually harder to make. He still thinks that the production yield is estimated to be 60-70%.
While KGI raised its iPhone 7 shipment forecast from 60-65 million to 70-75 million, the numbers steal look bleak for this year’s generation as a whole, falling below that of the iPhone 6s. Even Apple itself has already predicted this, though it will naturally not share solid numbers.
Samsung has promised to re-launch its flagship Note7 smartphone across Europe well before year-end, but has warned that it might not be until next year that it fully recovered from the defective battery fiasco.
David Lowes, Samsung’s chief marketing officer in Europe, said he expected new Note7s to be available everywhere by the end of November and well before the end of the fourth quarter.
The outfit has pledged to sell no new models until it fully completes the exchange of existing Note7S with faulty batteries,. An estimated 2.5 million Note7s were sold before the battery flaws led Samsung to issue a global recall early this month.
Samsung plans to resume Note7 sales in South Korea on 28 September Sales are to resume in Australia and Singapore in October, according to the company, which has not yet said when they will be available in other regions.
“We are confident that we can start to make up any ground that we have lost and get that momentum back into our business… get that total momentum back as we exit 2016 and set ourselves up for a strong 2017,” he said.
The Note7 was recalled in 10 markets globally, including the United States and Samsung’s home market of South Korea. Most of the affected phones sold in Europe shipped to three markets: Britain, Germany and France, Lowes said.
Lowes thinks the entire recall could be done in two weeks, clearing the way for new phone sales, although he admits this might be a tad ambitious given the complexity of reaching consumers through its extensive chain of distributors and marketing partners.
“Our mindset is to be expediting this over that time period and not have it continuing and continuing. Lowes cautioned that this goal may prove ambitious in practice.
Lowes said there was still pent-up demand for its marquee phone product in Europe, which was still largely in the pre-order rather than mass roll-out phase, with Note7 not yet available in many markets after launching in August. Samsung has no plans to scale back on its original marketing plans, he said.
Despite a recall and well organised scare campaign by reporters loyal to Apple, Samsung can’t get owners to part with their Note 7.
For those who came in late, the Note 7 appeared to have battery problems which caused some of them to melt. Samsung started a recall procedure but not before the Tame Apple Press started printing stories of “exploding” phones and the US government took the unprecedented step of banning them on flights. The fact that US company Apple had just released its lack-lustre iPhone 7 had nothing to do with it. Honest.
Samsung has just announced that it has shipped 500,000 replacement Galaxy Note 7 devices to US retailers and carriers. They’ll be available beginning tomorrow to owners of the original, Note 7 for in-store exchanges.
This first batch of replenishment stock is intended exclusively for exchanges; Samsung hasn’t yet said when Note 7 retail sales will officially resume, probably in October.
But Samsung is having trouble getting people to part with their original phones. It says less than a quarter have been exchanged in the United States.
Samsung thinks that is an extraordinarily fast start toward achieving our goal of removing every single affected Note 7 from circulation. But given how much fear has been raised in the press, it does suggest that the company might have a few problems prising notes from the hands of users.
The theory is that the exchange rate will shoot up much quicker now that consumers can make a direct swap for Samsung’s latest batch of Note 7 shipments.
A Google initiative to install super-fast wifi hubs and tablets in New York City, is failing because the citizens of the Big Apple are using the kiosks to download porn and listen to rap music.
LinkNYC said it is suspending web browsing on all its tablets after eight months due to “inappropriate behaviour”. Some users have been monopolising the Link tablets and using them inappropriately, preventing others from being able to use them while frustrating the residents and businesses around them,” the company writes in a statement.
If they are not watching porn they are listening to “loud, explicit” music.
LinkNYC is working with city officials to come up with potential solutions, like time limits, so that it can allow users to browse the web once more. Until it sorts out a cunning plan people can only use the tablets to make calls and look at maps.
“The kiosks were never intended for anyone’s extended, personal use and we want to ensure that Links are accessible and a welcome addition to New York City neighborhoods. Starting today, we are removing web browsing on all Link tablets while we work with the City and community to explore potential solutions, like time limits. Other tablet features—free phone calls, maps, device charging, and access to 311 and 911—will continue to work as they did before, and nothing is changing about LinkNYC’s superfast Wi-Fi. As planned, we will continue to improve the Link experience and add new features for people to enjoy while they’re on the go.”
Samsung might be gearing up to back away from the Galaxy Note 7 as a tainted brand, even though the problem was a faulty battery.
Samsung has recalled the Galaxy Note 7 due to faulty batteries and stopped selling it. Sales are likely to remain suspended until it provides replacement inventory. Only then will Samsung resume sales and the company is yet to announce a timeframe for that, although it should be October.
It might have marketing blitz for the Galaxy Note 7 after to rebuild consumer confidence in its new phablet. But this would cost a lot of dosh.
Some analysts believe that this is going to force Samsung to advance the Galaxy S8 release next year so it can kill off the Note 7 early.
Analysts believe that launching a new flagship smartphone is going to be a more realistic solution to deal with this recall debacle. An early launch of the Galaxy S8 could help Samsung reduce sales impact from the recall.
Samsung has not talked about its Galaxy S8 yet – normally it would do that at the Mobile World Congress.
It is a bit of a disaster because the Galaxy Note 7 was far in advance of its rivals and slightly cheaper.
As far as fads go, Pokemon Go has to be one of the shortest lived ones we have seen.
While Pokémon GO has inspired a massive boost in merchandise and game sales, interest in the actual game is falling fast. The paying population of the game is now down by 79 percent from its mid-July peak. It’s still easily the most profitable mobile app in the US, but that is not really saying much.
According to analysts at Slice Intelligence, at its peak Pokémon GO inspired twice as many people as normal to spend money on mobile games, but that’s now returned to normal.
But Pokémon GO still accounts for 28 percent of all money spent on mobile games in America, bringing in six times more than nearest rival Candy Crush Saga.
It is not clear if Pokémon GO will continue to decline or if it follows Candy Crush Saga, it remains highly popular but just at a lower level than before. Our guess is that it will not.
Most analysts think that a cold winter will finish the game off completely. Wandering around the countryside is going to lose some of its appeal through snow drifts.
The dark satanic rumour mill suggests that Microsoft will be withdrawing the Lumia brand by the end of the year.
Vole has a cunning plan to replace it with a brand new Surface Phone and kick start its ailing smartphone business.
Lately Microsoft’s Lumia lineup has shrunk to just four models, and there’s nothing to indicate it’s working on a successor. Vole has removed the link to buy them from its US website. On the retail side, stores have started removing units from display, and are trying to shift remaining stock by offering steep discounts.
Laura Butler, engineering director at Microsoft also made the mistake of tweating the phrase “Surface iPhone. ;-)” on September 6, and “Surface Phone not NOT confirmed. :-)” on September 7.
Microsoft is expected to hold an event in October, where it’s believed it will announce a new Surface all-in-one. This could be when Microsoft announces its new Surface Phone, just in time for Christmas.
The Tame Apple Press is rubbishing the Surface even before it is launched so we expect that any Microsoft attempts to revive its smartphones are doomed before they start. It is a pity really, the windows based operating system powering the phones is rather useful.
Apple founder, and all round good bloke, Steve Woz has hinted that he is abandoning his Tesla for the new Chevy Bolt.
Woz posted a picture of himself, smiling, next to a new, white Chevy Bolt. General Motors gave Woz the fully electric sedan for an extended test drive. He liked it.
“I expect to be switching cars soon!” Woz wrote in a photo caption.
The Bolt is due for release late this year. The four-door hatchback has an advertised range of 200 miles per charge, with a sticker price around $37,500. The EV will compete head-to-head with the Tesla Model 3.
The Tesla entry-level sedan, expect to start at $35,000, will be released late next year. Analysts expect full production to gear up in 2018. But that hasn’t stopped about 370,000 fans from placing $1,000 deposits for the EV.
The move will see Tesla’s making a big step from luxury vehicles to a broader market. But it looks like GM will have at least a year’s head start on the Model 3.
Woz’s approval for GM might indicate that there will be some major competition in the EV sedan market.
After seeing the interior and user interface, Woz wrote, “Tesla will have a difficult time selling me a Model 3. A lot of things wrong with the Tesla model S are done correctly (my opinion) in this car. But it’s still missing a place to put your sunglasses.”
The experience left the Los Gatos resident impressed with the design and function. “I was surprised and blown away. I had passed on the Volt when it came out but this one hits my sweet spot,” Woz said.
It seems that the fruity tax dodger, Apple cocked up when it did its research into the name of its iPhone 7.
If it had wanted to win the hearts and minds of Hong Kong’s population it should really have thought of a better name as calling it the “seven” which means “penis” in Mandarin slang.
The character for “seven,” pronounced tsat, is frequently used in slang not only for “penis” but to mean “goofy” or “dorky,” as in “You’re so seven”.
It has not helped that Apple has done some odd translations to Taiwanese and Mandarin as well, having the slogans read “Exactly is 7” and “7, is here.”
The jokes have been spreading widely around Hong Kong, with one person posting to Facebook, “Without a 3.5mm earbud jack, this is exactly penis.”
Apple is having trouble selling its “dick” in mainland China. Hong Kong should have been a safer port in a storm.
The fruity tax dodger Apple is so terrified that its iPhone 7 will tank it is refusing to release sales numbers for the new launch.
Jobs’ Mob has always used the first weekend of sales to confirm to the world that its marketing has paid off and the phone is a success. Lately it has inflated those sales by adding in those from China and pre-orders. All this is used to make this version of the phone appear like it is selling better than the last one.
However now Apple has said it won’t provide opening weekend sales numbers for new iPhone launches. Apple said Thursday in a statement that it won’t continue the practice because it’s “now at a point where we know before taking the first customer pre-order that we will sell out of iPhone 7.”
Apple said that “initial sales will be governed by supply, not demand,” leading the company to determine that opening weekend numbers are “no longer a representative metric for our investors and customers.”
The only reason for withholding the numbers is that it is hoping to create another marketing illusion. We already know that it has ordered less iPhone 7s from its suppliers. It will run out of sales on the first weekend and create the illusion of scarcity and popularity. If market watchers don’t know the numbers no one will know that the phone is not selling well at all, simply that it has just sold out.
The Tame Apple Press can be guaranteed to say the iPhone 7 is a selling out and report scarcity. In fact if sales are as poor as expected the Apple can even blame them on supply issues.
The iPhone 7 and iPhone 7 Plus become available for pre-order on Friday, while Apple and carrier retail stores will begin selling the phones 16 September. The new models are basically the same is the iPhone 6, with a slightly better chip and the inconvenience of having a terrible wireless speaker system.
Apple’s forecast for the quarter ending in September hasn’t changed, the company said in the statement. Apple on 26 July 26 projected fiscal fourth quarter revenue from $45.5 billion to $47.5 billion. Apple reported sales of $51.5 billion and more than 48 million iPhones sold in the same quarter last year.