Apple Plunge Erases $38 Billion as Product Concern Resurfaces

[marmar]

(Bloomberg) Apple Inc. shares tumbled, wiping out $38 billion in market value, after disappointing iPhone sales rekindled concerns over whether the company can keep making must-have products.

Even though iPhone sales climbed 35 percent to 47.5 million units in the fiscal third quarter, the result fell short of the 48.8 million shipments projected by analysts. That, plus a revenue forecast for the current period that missed estimates, triggered the steepest post-earnings share decline in extended trading Tuesday since January 2013, when Chief Executive Officer Tim Cook was under scrutiny over his ability to keep up Apple’s pace of innovation and sales growth.

Apple’s shares fell 5.1 percent to $124.05 at 9:47 a.m. Wednesday in New York.

While Cook has succeeded in introducing an entirely new category with the Apple Watch, sales remain modest, indicating that Apple will have to keep relying on the iPhone to fuel growth. The company probably shipped at least 1.9 million smartwatches since it debuted in April, short of the 3 million to 5 million projected by analysts, according to data compiled by Bloomberg. ..........(more)

http://www.bloomberg.com/news/articles/2015-07-22/apple-plunge-erases-38-billion-as-product-concern-resurfaces

[hobbit709]

1. When you can't afford a $5 phone, you're certainly not going to get a $500 phone.

[Gidney N Cloyd]

6. And certainly not a new $500 phone every 12 months.

[Siwsan]

2. I don't think I've ever bought a single Apple product

But then, I still use a flip phone. I'm so old school that I still think a phone is for talking to people and a camera is for taking photos. The kids keep threatening to drag me into the 21st century communication world, but so far I have resisted.

[ericson00]

3. no iWatch sales figures

I'm not surprised too much

[brush]

4. Apple needs to come up with something better than that watch

It has a limited market with it's small screen and tiny buttons.

[PoliticAverse]

5. I await the iMaker that enables you to 3D print your own iProducts. n/t

[NightWatcher]

9. I'm waiting on the iCar

I read yesterday that Chryslers can be hacked, and I'd hope that Apple would put out a car, like their computers and phones that cannot be hacked.

[Initech]

11. Which is not true.

The idea that Macs and iPhones can't be hacked is just flat out bullshit. The only three questions that pertains to whether or not a computer or device can be hacked or contract viruses are:

1. Does the device have a CPU?
2. Does said device run an operating system?
3. Is said operating system connected to a network?

If the answer to all three of those questions is yes, your device can be hacked. Regardless of how secure your network is and what operating system it runs. Anyone who says that Apple devices can't be hacked or contract viruses does not know what they are talking about.

[olddots]

7. I used to be a mac fan till their music device came out

Apple had a vision that expanded into the world of BRANDS .I like products that supply a demand but when a company gets into brands lots of things can go wrong .
To me Apple became an aging band that churns out dreck to pay for their materialistic life style ,a 21 century big business model that only goes nowhere .

[corkhead]

8. Is it a coincidence that they have partnered with U2 for their marketing on more than one occasion?

One of my favorite bands in the 80s

[Initech]

10. Yeah I feel the same way.

Apple still has a couple of good products like the ipad and the ipod touch. And iTunes is still the best online music store in terms of selection and availability. But for those strengths, I would not purchase an iPhone or a Macbook.

[Deadshot]

12. Apple doesn't do anything innovative.

They put in slight upgrades to their products and charge an arm and a leg for them. At least Android devices change more each year and don't do incremental upgrades.

For example, there's a huge difference between the Samsung Galaxy S5 and the Samsung Galaxy S6 while there's only a slight difference between the iPhone 5S and iPhone 6.

[daredtowork]

13. iHousing

Especially in areas where all the housing was swamped by tech employees, who aren't just satisfied with creating a speculation bubble that drove rents up to insane levels, but they also insist on exporting Silicon Valley "disruptive innovation" values, too (that means ruthless winner-take-all libertarianism, usually with a dash of MRA misogyny and something about it being "time for the young" thrown in for good measure).