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Apple's new iPhones may be born into an unwelcoming world.
At its event at the Steve Jobs Theater on September 10, Apple is expected to announce three new phones, including upgrades to the iPhone XS iPhone and iPhone XS Max models along with a second edition of the lower-priced iPhone XR. The new phones will be launching in time for the holiday season.
The latest iPhones will show up at a time when many people have grown to the bottom of the phone they already have. Research shows smartphone owners keep their phones for an average 33 months. That's up from 27.5 months in 2018. Strategy Analytics. Even the most frequent smartphone buyers among us, the Millennials, are holding on to their phones for 30 months on average.
If Apple really did enjoy a one-year cycle upgrade, it's over now.
As iPhone has been released, Apple has been relying, in part, to make the difference. But there's more evidence that consumers are less likely to have a higher demand for their newest devices.
Both Apple's and Samsung's flagship phones start at $ 1,000 or more. Global smartphone sales declined 1.7% in the second quarter, Gartner reports. "Demand for high-end smartphones," said Gartner senior research director Anshul Gupta in the research firm's press release on its study.
According to Strategy Analytics, smartphone buyers also do not like the level of innovation. In Apple's case, its two forthcoming premium iPhones-updates to the XS and XS A more advanced reality tricks.
If you're there, it might not be enough to the iPhone owners who are pretty much happy with the phone they've got. But the September 10 launch event invites say "By innovation only," so Apple may have managed to keep it surprising.
Next stop 5G
Consumers see faster 5G phones for the next substantial leap forward in smartphone innovation, and a good reason to upgrade. But nobody expects the first iPhone 5G to arrive until next year. Which makes sense because 5G networks will not be in the future until the last part of 2020. Still, a 5G iPhone on the horizon may create a reason for some people to hold off this year.
Apple's new iPhones will be competing against Samsung's new 5G phone, the Galaxy Note 10+ 5G this holiday season, and the Galaxy Note 10 and Galaxy Note 10+. The Samsung phones have gotten mainly good reviews.
This year's iPhones will also launch as a global economic slowdown. Part of the uncertainty stems from President Donald Trump's trade war with China. Apple has so far managed to keep its imports from the reach of Trump's trade war-buty barely. Trump announced he was pushing the date back to December 15. And Trump says he likes Apple CEO Tim Cook. However, Apple is still subject to the dampening effect of economic uncertainty in the U.S. and around the world.
Along with introducing pricier phones, Apple has been pushing hard on its business services as a way of buffering the iPhone's declining contribution to its bottom line. It's also a good way of turning a profit on iPhone fans even if they do not buy new phones as quickly. The strategy is paying off: Services grew 12% in the June quarter to $ 11.46 billion. Meanwhile, the iPhone business shrunk almost 12% over the same period to $ 26 billion. But the company still relies on iPhone for the majority of its revenue, so slow sales of the new iPhones would hurt.
Finally, consumers respond differently to iPhone launches than they once did. This article is about to get caught up in the mind of a young person. not to upgrade just yet. Today, it's common to hear people bragging about how their iPhone 7 still works just fine. This puts a lot of pressure on this marketing campaign. How do they make the difference in many consumers' decision to upgrade or stay in place?
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