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The value of the market evaporated $58 billion, and the Empire began to tilt

The value of the market evaporated $58 billion, and the Empire began to tilt


In addition to the growth in Mac sales, sales of iPhone and iPad, the main selling force of apple, are still down. Because of this, Apple's share price has continued to decline in the past month or so. There is still a lot of room to prove to the capital that apple is at the top of the list.
Recently, a lot of rumors about iPhone8 phones. Reports from foreign media say that a lot of capital believes that iPhone8 is reversing a decline in Apple hardware sales of a star products. From a lot of rumors about iPhone8 mobile phones, curved screen will be the biggest selling point, and Samsung and vivo, Jin Li and other domestic mobile phone brands in the last year has introduced the appropriate products. This year has been the first year of full screen, Apple's curved screen phone has not yet come out. On the current situation, relying on iPhone8 reverse Apple innovation in the hardware behind the situation is unlikely.
On the face of it, Apple's revenues and profits have grown since the first quarter of this year, meaning Apple has been out of the recession. In depth analysis of Apple earnings composition will find that the two quarter of this year's performance growth, revenue growth from the software level.
In the second quarter of this year, revenues of $52 billion 900 million in total revenues were $7 billion 41 million, compared with $5 billion 991 million in service revenue for the same period last year. In accordance with this ratio to calculate, Apple's total revenue, revenue from hardware business accounted for more than 80%. Needless to say, hardware revenue is Apple's economic backbone. Although Apple's revenue and profit growth in 2017, but this growth is based on the service business, that is, Apple's App Store revenue growth achieved. So far, it's not difficult to understand why we have to impose a 30% royalty penalty and put a lot of hot updates on it, all in order to increase Apple's software revenue.
From the earnings composition of the earnings report, apple received 30% appreciation Commission approach to improve service revenue, but can not ease the decline in sales of hardware business decline. Looking at Apple's earnings over the years, will also find that the hardware business contributes most to apple. From this point of view, apple is more like a Hard Suits Inc.
The reason for the decline in Apple hardware sales, the industry agreed that lack of innovation caused. Since Jobs's death, 6 years, Apple has not launched a stunning product users. In the era of Jobs led, Apple's ability to innovate in the hardware field is obvious to all.
From the introduction of hardware in recent years, Apple's hardware innovation capability has dried up, and even reduced to the point of following the trend. Last year listed iPhone7Plus is equipped with dual cameras, the domestic mobile phone brand has launched a mobile phone photo double glory in a few years ago; in the domestic mobile phone brand launched a mobile phone screen surface, apple hyperboloid screen mobile phone has not been listed. The latest generation of Macbook doesn't have hardware innovations, just adding LED touch bars. Whether mobile phones or tablet PCs, or Mac, Apple has no hardware innovation, more mechanical follow competitors. Lack of hardware innovation has sent many dependable fans out of the apple camp.
Indeed, Apple's revenues and profits have risen to a new level after Cook took control of apple. However, the lack of hardware innovation, let apple into the unfavorable situation of the decline in product sales, how to turn the tide is undoubtedly a big challenge for Cook. Cook, who will make money, is still a question of getting apple out of hardware innovation.
Clearly, Apple's loss of innovation is not a day's cold. If Apple is not disruptive innovation at the hardware level, reversing the decline in hardware sales will be out of the question. As hardware sales continue to slide as Apple's economic backbone, the fall in share prices is inevitable. Now, Apple's market capitalisation has evaporated by $58 billion. In the future, Cook will not be able to cure the apple. When the Empire tilts, it will collapse. Isn't NOKIA a living example?

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