Apple’s mobile market share continues to expand, giving some protection against a contracting smartphone market. However, a 2.4% drop in iPhone sales for the June quarter results illustrates that Apple is not immune to the problems. Analysts predict that Apple’s sales would fall 2.9% for the fiscal year that ends in September – iPhone detractors must contend.
Despite the fact that other digital behemoths such as Microsoft and Alphabet are expanding, Apple’s standing among investors remains strong. When compared to Alphabet, the stock trades at a premium, while it trades at a little disadvantage to Microsoft.
One source of investor confidence is Apple product owners’ devotion. Apple product owners are considered to be brand loyal. Furthermore, Apple’s size offers it an advantage in negotiating advantageous terms with other companies – iPhone detractors must contend.
Apple’s agreement with Taiwan Semiconductor Manufacturing Co. (TSMC) is an example of this benefit. A year before giving the same to other companies, TSMC is producing Apple’s custom-designed chips using its newest manufacturing technique. TSMC has also committed to reimburse the cost of any production errors.
Despite these obstacles, Apple’s increasing market share and distinct advantages position the business well in the mobile industry.