Apple is set to report slow revenue growth as weak iPhone demand, AI delays, and tough China competition weigh on sales, while a strong U.S. dollar adds further pressure.
Apple is anticipated to report modest revenue growth for its fiscal first quarter on Thursday, January 30, as adoption of artificial intelligence features and increasing competition from Chinese smartphone makers have impacted iPhone sales during the key holiday season.
Tech giants like Apple, Google, and Samsung have been leveraging AI to boost device sales. However, Apple's iPhone 16 series, launched in September, lacked AI-driven features at release, with enhancements such as an upgraded Siri expected to roll out later this year in select regions.
Apple’s AI struggles were underscored earlier this month when it was forced to withdraw an AI-powered news summarization tool due to inaccurate headlines, drawing criticism from media outlets.
Facing renewed competition from Huawei and other Chinese manufacturers, Apple’s global smartphone market share shrank to 23% in the last quarter of 2024, down from nearly 25% a year prior, according to IDC data. The decline was even more pronounced in China—Apple’s third-largest market—where its market share dropped by 10 percentage points to 17%.
Although the Chinese government has introduced subsidies to encourage smartphone purchases, these incentives primarily target low- to mid-range devices priced below $800, excluding Apple's premium iPhones, according to Barclays analysts.
Concerns over weakening iPhone demand have weighed on Apple’s stock, which has declined by 5% in January. Analysts project the company will report revenue growth of 3.8% for the quarter ending in December, based on LSEG data—significantly lower than the 6.1% growth recorded in the previous quarter, which only briefly included sales of the new iPhone model.
iPhone sales are expected to grow by 1.9% in the first quarter, a slowdown from the 5.5% rise in the preceding quarter. Mac sales are forecast to increase by 2.3%, slightly outpacing the prior quarter, while iPad revenue is projected to climb 4.2%, though at a slower rate than in the fourth quarter.
Apple’s services division, which has been a key driver of revenue growth in recent years, is expected to see a 12.9% increase in sales.
Like other multinational companies, Apple is also facing the effects of a stronger U.S. dollar. The dollar appreciated nearly 8% in the final quarter of 2024 amid expectations of trade tariffs under President Donald Trump’s administration.
Apple marked its 49th anniversary by reaching a market capitalization of $3.3 trillion. Despite recent tech stock volatility, Apple's shares surged 28% in 2024.
The European Union's antitrust regulators are poised to close their year-long investigation into Apple's browser options on iPhones, according to sources familiar with the matter.
Apple’s current focus on an extensive visual overhaul of iOS 19 and macOS 16—rumored to be inspired by the design language of visionOS—might be distracting the company from addressing a more pressing issue: its long-delayed, underwhelming Siri.
Apple Inc. is set to launch a sweeping software update later this year that will refresh the look and feel of its operating systems across the iPhone, iPad, and Mac, according to Bloomberg News.
Apple announced on Friday that several planned artificial intelligence enhancements for its Siri voice assistant will now be delayed until 2026.
Start your day informed with AnewZ Morning Brief: here are the top news stories for April 4th, covering the latest developments you need to know.
U.S. President Donald Trump’s inner circle is advising him against speaking with Russian President Vladimir Putin unless Russia commits to a full ceasefire in Ukraine, NBC News reported on Thursday, citing administration officials.
Kirill Dmitriev, Russian President Vladimir Putin’s investment envoy, is visiting Washington this week for talks with members of the Trump administration, sparking fresh speculation over behind-the-scenes diplomacy between Moscow and Washington.
A Russian drone strike hit residential buildings in Kharkiv late on Thursday, killing at least two people and injuring 32 others, Ukrainian officials said, as nightly attacks on the country's cities continue to mount.
In Sydney’s Bennelong, where Chinese Australians make up a large share of the electorate, the fight for votes is playing out on unexpected turf: Xiaohongshu.
Aid groups in Myanmar’s worst-hit areas urgently need shelter, food, and water after a devastating 7.7 magnitude earthquake killed over 2,700 people. Rescue efforts face challenges due to ongoing civil war, damaged infrastructure, and restricted aid access, with the toll expected to rise.
French far-right leader Marine Le Pen was banned from running for public office for five years after being convicted of embezzlement, ruling her out of the 2027 presidential race. She received a four-year prison sentence, with two years suspended, and a €100,000 fine. Le Pen plans to appeal.
The Armenian armed forces attempted three reconnaissance drone flights over Azerbaijan Army positions near Gerenzur, but all were successfully intercepted. Meanwhile, Armenian units repeatedly fired on Azerbaijani positions from multiple regions, escalating tensions in the area.
Apple marked its 49th anniversary by reaching a market capitalization of $3.3 trillion. Despite recent tech stock volatility, Apple's shares surged 28% in 2024.
Wall Street’s major indexes tumbled sharply after U.S. President Donald Trump’s sweeping tariffs on key trade partners triggered fears of a trade war and global recession. Investors reacted with panic, sending markets into a steep decline.
Danish jeweler Pandora estimates that U.S. tariffs could cost the company around 1.2 billion crowns ($178 million) annually. While some mitigation is possible, Pandora is exploring further measures, including price adjustments and supply chain changes, to reduce the financial burden.
The European Bank for Reconstruction and Development (EBRD) and the Food and Agriculture Organization of the United Nations (FAO) have joined forces to improve farmland management and strengthen food security in the Kyrgyz Republic.
Asian stock markets experienced a significant decline on Thursday following the announcement by US President Donald Trump of new reciprocal tariffs on several US trade partners. The tariffs, which range from 10% to 50%, were announced by Trump on April 2, a day he referred to as “Liberation Day.”
Eight OPEC+ countries meeting on Thursday will focus debates on how to convince Kazakhstan to stop exceeding its output quota and its plans to compensate for overproduction as the group steps up gradual production hikes.
Start your day informed with AnewZ Morning Brief: here are the top news stories for April 4th, covering the latest developments you need to know.
U.S. President Donald Trump’s inner circle is advising him against speaking with Russian President Vladimir Putin unless Russia commits to a full ceasefire in Ukraine, NBC News reported on Thursday, citing administration officials.
Kirill Dmitriev, Russian President Vladimir Putin’s investment envoy, is visiting Washington this week for talks with members of the Trump administration, sparking fresh speculation over behind-the-scenes diplomacy between Moscow and Washington.
A Russian drone strike hit residential buildings in Kharkiv late on Thursday, killing at least two people and injuring 32 others, Ukrainian officials said, as nightly attacks on the country's cities continue to mount.
In Sydney’s Bennelong, where Chinese Australians make up a large share of the electorate, the fight for votes is playing out on unexpected turf: Xiaohongshu.
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