iPhone X Apple is losing its mainstream, non-fan core with the X

[44267547]

I’ve been saying for months the smartphone market is shrinking and I’m pleased to see this emphasised in the official articles. Thirty eight million less people are buying flagship smartphones compared to two years ago. That’s the biggest decline since 2010 and it’ll continue. It just goes to show Apple and Samsung can’t rely solely on high end pricing to remain competitive, especially not Apple who unlike Samsung rely on their smartphones for most of their revenue. Interesting times and I’m pleased to see what I’ve been saying for quite some time come true.

Where I think Apple is doing really well is actually services. Their services generated revenue was actually up with AppleCare, iTunes, App Store, Apple Pay, etc. And hardware is obviously a large market for Apple, but their services is something they need to continually focus on and is a huge impact for Apple, even if hardware sales were to decline.

Aside from services, it's not just about the iPhone X, it's about Apple having an iPhone in their lineup for a price point and option for something for everybody. That's something I think Apple has executed well with their expanded iPhone lineup all the way from iPhone SE starting at $350 and all the way up to the $1000 iPhone X.

 

[The-Real-Deal82]

Where I think Apple is doing really well is actually services. Their services generated revenue was actually up with AppleCare, iTunes, App Store, Apple Pay, etc. And hardware is obviously a large market for Apple, but their services is something they need to continually focus on and is a huge impact for Apple, even if hardware sales were to decline.

Aside from services, it's not just about the iPhone X, it's about Apple having an iPhone in their lineup for a price point and option for something for everybody. That's something I think Apple has executed well with their expanded iPhone lineup all the way from iPhone SE starting at $350 and all the way up to the $1000 iPhone X.

Apple need to concentrate on improving iOS after the dismal effort that was iOS 11. I hope the bugs are being worked on for iOS 12.

It’s true Apple have a good number of phones over many price points, but it’s also not going unnoticed that all the effort seems to be going into the X. Those of us upgrading below that tier are not really getting anything different and this means the need to upgrade is getting lesser every year. They need more focus on mid tier devices as that is what their core users are interested in. Price is fine on those devices, but an iPhone 8 is a slightly faster version of my iPhone 6S. That’s what bores me.

 

[44267547]

Apple need to concentrate on improving iOS after the dismal effort that was iOS 11. I hope the bugs are being worked on for iOS 12.

I'm fairly neutral with iOS 11. I don't have a lot of concerns with it and those who I know who have iOS 11 have not made any comments about it either. I'm not saying it's Apples most stellar version, but I also filter a lot of what I read on a tech forum about iOS 11 coming to the Understanding the "Problems" can be Over exacerbated.

It’s true Apple have a good number of phones over many price points, but it’s also not going unnoticed that all the effort seems to be going into the X. Those of us upgrading below that tier are not really getting anything different and this means the need to upgrade is getting lesser every year. They need more focus on mid tier devices as that is what their core users are interested in. Price is fine on those devices, but an iPhone 8 is a slightly faster version of my iPhone 6S. That’s what bores me.

Rightfully so Apple has been advocating the iPhone X, being it is their newest and latest device, which their marketing has targeted. But through carriers and retailers, there are a lot of discounts for older model iPhones that are still doing fairly well, which leads To Apples iPhone line being expanded in its success to other model iPhones.

I do hope the iPhone SE receives an update this year. That will be interesting to see.

 

[The-Real-Deal82]

I'm fairly neutral with iOS 11. I don't have a lot of concerns with it and those who I know who have iOS 11 have not made any comments about it either. I'm not saying it's Apples most stellar version, but I also filter a lot of what I read on a tech forum about iOS 11 coming to the Understanding the "Problems" can be Over exacerbated.

I’ve lived through the problems so I’ve never had to exaggerate. When I spent 3 months watching my battery plummet to 15% by 2pm each day, it gets frustrating. They fixed that finally but there are still plenty of bugs they really should have addressed by now.

Rightfully so Apple has been advocating the iPhone X, being it is their newest and latest device, which their marketing has targeted. But through carriers and retailers, there are a lot of discounts for older model iPhones that are still doing fairly well, which leads To Apples iPhone line being expanded.

I do hope the iPhone SE receives an update this year. That will be interesting to see.

I wasn’t saying they shouldn’t focus on the X, I was saying they could do the same with lower tier models too. It’s not much to ask from a company the size of Apple.

I understand they want to pigeonhole as many as possible into spending as much money as possible but that leaves the vast majority of their customers using old tech. It could be argued the iPhone 8 is an X with a less shined case but the fact remains Apple are pushing far too many people towards older devices. It’s no wonder the X is so rare.

I hope the SE gets an update this year too. My wife would buy a larger phone and I doubt her current SE is going to last another 2 years.

 

[cyb3rdud3]

I wasn’t saying they shouldn’t focus on the X, I was saying they could do the same with lower tier models too. It’s not much to ask from a company the size of Apple.

I understand they want to pigeonhole as many as possible into spending as much money as possible but that leaves the vast majority of their customers using old tech. It could be argued the iPhone 8 is an X with a less shined case but the fact remains Apple are pushing far too many people towards older devices. It’s no wonder the X is so rare.

I hope the SE gets an update this year too. My wife would buy a larger phone and I doubt her current SE is going to last another 2 years.

So what is the 8 then? That is a significant update from the 7 with lots of features of the X, but in a cheaper package...

I agree on the SE but that is the only model where it possible makes sense. It would be awesome if they updated an SE model with the inner working of an 8. But surely you would agree that that only makes sense to do say, 6-9 months after you release an 8, not at the same time.

I only bought an SE last September for my youngest daughter as she started secondary school and her hands are still so small. It is still a very capable device compatible with all current applications (and games).

I'm definitely getting older, as I am finding it difficult to read the screen and type on the keyboard. Yes I've had the 4, 5, 5S...So it doesn't make logical sense...

 

[The-Real-Deal82]

So what is the 8 then? That is a significant update from the 7 with lots of features of the X, but in a cheaper package...

I agree on the SE but that is the only model where it possible makes sense. It would be awesome if they updated an SE model with the inner working of an 8. But surely you would agree that that only makes sense to do say, 6-9 months after you release an 8, not at the same time.

I only bought an SE last September for my youngest daughter as she started secondary school and her hands are still so small. It is still a very capable device compatible with all current applications (and games).

I'm definitely getting older, as I am finding it difficult to read the screen and type on the keyboard. Yes I've had the 4, 5, 5S...So it doesn't make logical sense...

My wife hated her iPhone 6 for the whole 2 years she owned it and the SE filled the void as she loved the iPhone 5. Using one handed is fundamental as a mother carrying children or anybody for that matter. There’s a big market for smaller devices and I hope Apple don’t forget about that.

My wife still has a sealed iPhone 6S Plus issued to her from her employer sat in her desk drawer which has been there since 2015. Apple need to address the tastes of a wide user-base in this day and age. The SE is popular in my circles I’d say, especially among women and teens.

 

[cyb3rdud3]

My wife hated her iPhone 6 for the whole 2 years she owned it and the SE filled the void as she loved the iPhone 5. Using one handed is fundamental as a mother carrying children or anybody for that matter. There’s a big market for smaller devices and I hope Apple don’t forget about that.

My wife still has a sealed iPhone 6S Plus issued to her from her employer sat in her desk drawer which has been there since 2015. Apple need to address the tastes of a wide user-base in this day and age. The SE is popular in my circles I’d say, especially among women and teens.

There is nothing wrong with the current SE....An upgrade with the 8 inerts would be great though

Not sure I agree with a mother carrying a child to have a fundamental need to need to use a mobile phone one handedly. We seem to have managed just fine the last 15 minutes to not look at facebook and carry at the same time. To not answer that phone call and carry right here and now and get back later. Etc...I'm sorry but that to me comes across like people not having their priorities right.

 

[The-Real-Deal82]

There is nothing wrong with the current SE....An upgrade with the 8 inerts would be great though

Not sure I agree with a mother carrying a child to have a fundamental need to need to use a mobile phone one handedly. We seem to have managed just fine the last 15 minutes to not look at facebook and carry at the same time. To not answer that phone call and carry right here and now and get back later. Etc...I'm sorry but that to me comes across like people not having their priorities right.

My wife does not ignore our children while carrying them being glued to social media. Your perception is very wrong and I found it quite insulting the way you worded that. A pleasant discussion hits a brick wall once again.

 

[cyb3rdud3]

My wife does not ignore our children while carrying them being glued to social media. Your perception is very wrong and I found it quite insulting the way you worded that. A pleasant discussion hits a brick wall once again.

You have a choice, you can choose to take it personal and feel insulted. Me personally find it impossible to think of a single use case where the phone is more important that the child I'm carrying. By the sounds of it your mileage varies, but please be not under the illusion that I insulted you, you choose to be insulted by it.

 

[The-Real-Deal82]

You have a choice, you can choose to take it personal and feel insulted. Me personally find it impossible to think of a single use case where the phone is more important that the child I'm carrying. By the sounds of it your mileage varies, but please be not under the illusion that I insulted you, you choose to be insulted by it.

There are plenty of occasions where one handed use is needed and we both encounter it daily. I gave just one example and our priorities are firmly on our children. If this type of use doesn’t apply to you then great, but it does for some of us which is why large phones are never an option.

 

[cyb3rdud3]

There are plenty of occasions where one handed use is needed and we both encounter it daily. I gave just one example and our priorities are firmly on our children. If this type of use doesn’t apply to you then great, but it does for some of us which is why large phones are never an option.

I agree that there are plenty of cases where one handed use is required, I just don't see it when carrying a child what is so important that you need to answer your phone opposed to getting the child in a safe position first and then answering/dealing with something that is not there with you.

Please do educate me as I am clearly not getting it.

 

[The-Real-Deal82]

I agree that there are plenty of cases where one handed use is required, I just don't see it when carrying a child what is so important that you need to answer your phone opposed to getting the child in a safe position first and then answering/dealing with something that is not there with you.

Please do educate me as I am clearly not getting it.

I can assure you I don’t hold a child in dangerous situations to use a phone. This seems to be pitching towards potential extremes now rather than everyday situations. You’ll see plenty of parents texting, looking at shopping lists etc while having a perfectly safe and happy child on their hip. You’re clearly a fantastic parent and better than I could ever hope to be, but my use case if evidently different to yours.

I can’t see any point discussing this further as I doubt either of us have anything more to add.

 

[boltjames]

On another note, this tidbit is very interesting:

“Research firm IDC said Friday that Apple overtook archrival Samsung in the fourth quarter as the largest smartphone seller in the world, with a 19.2 percent market share to Samsung’s 18.4 percent.”

Touchdown.

 

[sean000]

I agree that there are plenty of cases where one handed use is required, I just don't see it when carrying a child what is so important that you need to answer your phone opposed to getting the child in a safe position first and then answering/dealing with something that is not there with you.

Please do educate me as I am clearly not getting it.

I took carrying a child to mean anytime a child might be in your arms. One of our kids had to be held all the time as a baby and you had to pace around the room holding her in your arms too get her to fall asleep. After enough time of carrying out crying baby daughter around the room trying to get her to fall asleep, you gotta use one hand to text your spouse with the words, “your turn.”

Anyone with a baby is also likely familiar with the activity of holding a sleeping baby in one arm while reading a book, or your phone, or a book on your phone with the other.

As kids get older it seems like at least one hand is always occupied by doing something for them. We don’t have a landline... just our iPhones. Have you ever had the phone ring while you were carrying groceries or pouring milk for your kid? Yes you can always let it go to voice mail until you are free, but what if you have been waiting for the pediatrician to call you back about the fever and weird rash your kid came down with?

We obviously had too different takes on this. You pictured a parent staring at Facebook or Snapchat while carrying a child across a busy street. I pictured the many scenarios I am familiar with: a busy parent rarely has both hands free, and there are many times when you can safely hold a child while simultaneously operating a smartphone. Yes you should be focusing your attention on the child when appropriate, but if you have a baby that needs to be held 18 hours a day you will have to multitask some of the time.

 

[The-Real-Deal82]

I’m currently sat with my 1 year old cwtched in to me and have no alternative but to use my phone one handed. I couldn’t do that with a Plus and it’s one of the many instances too. This is why a standard iPhone has only been considered when I upgrade. I felt the need to share this as it reminded me of this discussion.

 

[nervosA]

I am definitely interested in the x. What I’m not interested is paying $1,000 for a phone. I’m still
Rockin the se because I love the size of it. Although it is getting pretty slow whichnim sure Apple is doing on purpose.
I’m not an Apple hater either. Quite the opposite. I have an iPad and a 2017 MacBook Pro. I just think that’s a bit much to pay for a phone.

 

[sean000]

I’m currently sat with my 1 year old cwtched in to me and have no alternative but to use my phone one handed. I couldn’t do that with a Plus and it’s one of the many instances too. This is why a standard iPhone has only been considered when I upgrade. I felt the need to share this as it reminded me of this discussion.

My kids are 5 and 7 now. I can remember when they were babies that I read a lot of books on my iPhone while a baby slept in my lap. That may be why I think of the iPhone as a one handed device. I also have an iPad when I want a larger display and I have both hands free.

I have never felt comfortable holding an iPhone Plus with one hand. I spent a considerable amount of time with my mother’s iPhone 8+ thinking I’d get used to it, but I just couldn’t hold and operate it securely without two hands. It felt like a mini iPad mini! The iPhone X provided something I’ve been hoping Apple would release: dual cameras in a smaller-than-plus sized iPhone. The X is still stretching the limit for me. I use reachability more than I did with the iPhone 6, but I can manage it one-handed much more easily than the 8+. Of course someone with larger hands might not have a problem with either.

 

[bushman4]

until another company surpasses Apples products in quality and functionality Apples customers aren’t going anywhere
Eventually something better or different will come about. We’ve seen this in many categories and Apple will be challenged
For now everything’s status quo

 

[kiranmk2]

The mobile device market is definitely shrinking. Smartphone and tablet sales are down and Apple's solution so far has been to increase the asp and (as noted in the recent conference all) they benefitted from the weakening of the US$. To be honest there is only so long you can do this before you do price your mainstream customers out. To me, the more important numbers will by the next quarter. Q4 of any calandar year will always be boosted for Apple as all the superfans will rush out to buy the latest phones plus the Christmas market rush. The following quarter is a more realistic slice of data for 'mainstream' customers who don't follow the latest releases and just buy the latest iPhone when their contract is up regardless of release dates. Not saying they will suffer a big drop in 2018 (although their guidance is below analyst predictions), but for a lot of mainstreamers all they will have seen is new of a $1000 iPhone and the throttling debacle statements over Christmas that made mainstream news - the impact of which, may start to be seen soon.

 

[44267547]

until another company surpasses Apples products in quality and functionality Apples customers aren’t going anywhere

This is a big part of it. Aside from Apple having a strong following, when you factor iOS, the quality of the hardware and customer service, that's what's going to win customers over long-term. Consumers have expectations with Apple products, and if Apple continues to deliver with all three of those ingredients, it's makes it very difficult to walk away from. I give Apple credit for expanding their iPhone lineup which has a price point/model for something for everyone.

 

[0388631]

I don't think the smartphone market is slowing down. There's still a lot of power to be tapped through processor design. I also don't buy the rubbish reports from two weeks ago that the iPhone X is going to be axed or assembly rate reduced due to poor sales.

People have a choice. iPhone 8 or X. X is the future, but the next iteration of the iPhone will fix where the X left off and the masses will gravitate towards that. Those who want more than the best phone will gravitate to whatever comes after the X at that price point. People are making out the X to be a Jackson Pollock painting in phone form. No. That's not it. The iPhone is an already high end phone. The X is an even higher end phone. This stinks of iMac vs. iMac Pro arguments back in the 2000s. One offered something cool and different but took away certain things and couldn't be justified its high price due to said removed features or whatever the case was.

Is $1,000 a lot of money for a phone? Yeah, but you're not getting gipped on features. The cost of the phone goes to the parts and the R&D that was required, and then profit for for the company outside of costs. Apple spends billions in R&D not to mention the cool $5B they paid for their new campus. If people want the best, they better be prepared to pay for the best.

 

[The-Real-Deal82]

I don't think the smartphone market is slowing down. There's still a lot of power to be tapped through processor design. I also don't buy the rubbish reports from two weeks ago that the iPhone X is going to be axed or assembly rate reduced due to poor sales.

People have a choice. iPhone 8 or X. X is the future, but the next iteration of the iPhone will fix where the X left off and the masses will gravitate towards that. Those who want more than the best phone will gravitate to whatever comes after the X at that price point. People are making out the X to be a Jackson Pollock painting in phone form. No. That's not it. The iPhone is an already high end phone. The X is an even higher end phone. This stinks of iMac vs. iMac Pro arguments back in the 2000s. One offered something cool and different but took away certain things and couldn't be justified its high price due to said removed features or whatever the case was.

Is $1,000 a lot of money for a phone? Yeah, but you're not getting gipped on features. The cost of the phone goes to the parts and the R&D that was required, and then profit for for the company outside of costs. Apple spends billions in R&D not to mention the cool $5B they paid for their new campus. If people want the best, they better be prepared to pay for the best.

The smartphone market isn’t entirely made up of individuals who want the best phone though. There are currently 8 iPhones currently offered as new, more options than ever. The iPhone 8, 8 Plus and X are just three new offerings. This means more affordable options become popular and have done. The iPhone 6S, 6S Plus, 7 and 7 Plus are still selling incredibly well in the mainstream which tells you the market is not entirely made up of consumers desperate for the best iPhone. Price has played a major part in this shift and it’s something that can’t be downplayed.

There was 38 million less people buying new smartphones in 2017 compared to in 2016 and the decline started midway through 2015. People are keeping phones longer with sim only contracts on the rise. The days of annual upgrades and the need to upgrade every 2 years is over. It’s now s choice rather than a need and savvy consumers are now getting great deals below the top end of the market. If that’s not a sign of slowing down, I don’t know what is?

 

[0388631]

The smartphone market isn’t entirely made up of individuals who want the best phone though. There are currently 8 iPhones currently offered as new, more options than ever. The iPhone 8, 8 Plus and X are just three new offerings. This means more affordable options become popular and have done. The iPhone 6S, 6S Plus, 7 and 7 Plus are still selling incredibly well in the mainstream which tells you the market is not entirely made up of consumers desperate for the best iPhone. Price has played a major part in this shift and it’s something that can’t be downplayed.

There was 38 million less people buying new smartphones in 2017 compared to in 2016 and the decline started midway through 2015. People are keeping phones longer with sim only contracts on the rise. The days of annual upgrades and the need to upgrade every 2 years is over. It’s now s choice rather than a need and savvy consumers are now getting great deals below the top end of the market. If that’s not a sign of slowing down, I don’t know what is?

38M less people is a drop in the bucket when it comes to yearly sales. Anticipating people keeping their high end devices longer than others will almost certainly make up that loss amount. Once you factor in possible death of the owner, you can keep adding to the figure. Apple sells five different phones at the moment, at the same time. They've got the midrange market covered whereas Android had that covered with crappy low and and midrange phones.

Can't speak for your neck of the woods, but American carriers make it easier than ever to constantly upgrade phones each year. The numbers are too inconclusive to pass sweeping statements such as "the market is slowing down." Unless the can be broken down into what phones were sold in terms of maker and model, and what the demographics of the purchasers were, then the data is useless for the most part. A parent could buy their teen a phone and then have them use it for four years. I mean, really, why the hell would a teenager need the newest iPhone 8+ or X? Especially teenagers, they manage to mess everything up and do god knows what on their phones.

 

[cynics]

The X seems to be appealing to the core fan base, but so many people I know are either sticking with their current iPhone or going to another phone vendor. In our office not a single person out of 30 is remotely interested in the X. Of these, about 3/4 are iPhone users. Five of those (including me) have switched to an S8 or Note 8. In past years, there was a palpable excitement about the new phones. This round has fallen very flat. Where does Apple go from here? Yes, the X is selling well overall, but Apple is losing its mojo and edge as they slowly run out of ideas. Are the exciting days gone? Is the iPhone just another phone to most people outside of the fan base?

Yes, exciting days for handheld smartphones are long gone.

Nostalgia of your first smartphone makes subtle and incremental changes hard to notice and remember. Since your brain isn’t actively learning it feels monotonous.

This is why Android feels more exciting to people that switch. It’s new, your learning new things, different features.

I keep up with both iOS and Android and both are equally boring.

Plus with market saturation the iPhone (and other smartphones) are no longer a luxury item. They are required for many of us for our day to day lives. There is nothing to “show off” and they don’t make you special, interesting and/or unique. If anything owning a big brand Android phone and/or iPhone makes you less unique and more boring.

My employer pays for my smartphone and cellular service. Parents give their kids brand new iPhone when they are 10. Lol

I probably see a hundred people using smartphones everyday day and don’t notice or care about any of them. However I can spot the person rocking a flip phone from 50 yards away.

 

[44267547]

There was 38 million less people buying new smartphones in 2017 compared to in 2016 and the decline started midway through 2015. People are keeping phones longer with sim only contracts on the rise. The days of annual upgrades and the need to upgrade every 2 years is over. It’s now s choice rather than a need and savvy consumers are now getting great deals below the top end of the market. If that’s not a sign of slowing down, I don’t know what is?

Yes, there are those who are not going to uograde on an annual basis and keep their devices for a longer duration. But I think you're giving way too much credit to some consumers using the word "savvy". Carriers are making it way too easy for someone to want the latest device by financing it, offering promotions, trade in incentives, etc. Even with an expensive iPhone like the iPhone X, it's not stopping the average consumer from upgrading when the process is seamless and they factor the breakdown costs of a monthly installed payment versus the the cost of the iPhone as a whole. (Referencing the U.S.)