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| Apple Inc.'s ad on the Marriot hotel (CES 2019) next to Google's ads on the mono |
Apple Inc., get this, released ideas movies and TV shows, as well as airplay to for Samsung Smart TVs
iTunes movies and TV shows offers Apple users the opportunity to buy or rent movies and TV shows. Matching that to Samsung Smart TVs is a level of genius unprecedented on the part of Apple
Samsung is the leading TV manufacturer in the world as well as for smart TVs running Android, and is a leading display manufacturer.
Interestingly enough, the iPhone X series OLED displays are manufactured by Samsung.
To any alien observer unaware of what Apple and Samsung have been doing over the past few years, This would seem like a perfect match. But in reality, most people are scratching their heads wondering how did hell freeze over
after all Apple is notorious for not exactly supporting it services on platforms that are not owned by itself (Steve Jobs' famous walled garden)
Adding to that Apple and Samsung having fought bitter patent wars since Apple released iPhone in 2007 Samsung followed with its Android handsets and Apple immediately filed suit for infringement.
These claims from Apple do have some credit, considering that Samsung literally wrote the book on copying iPhone,
but this is all in retrospect, this actually represents a growing trend with Apple recently declared the world's first trillion dollar IT company by valuation, Tim Cook knows that iPhone sales are going down.
That is part of the reason why Apple has begun to stop disclosing sales, the numbers for iPhone Mac and other devices.
This is part of the overall trend of the entire South smartphone industry. The market is pretty much saturated at this point and the only two areas for growth, do not match for Apple, India and China,
India, because the average salary of Indian consumer amounts to about $7,000 as most of the company country he lives in rural areas and 20% live below the poverty line.
Can you imagine spending 20 or 10% of our network, just to get a phone.
Couple that with Chinese rants at a few army
Xiaomi, Oppo, OnePlus and Vivo whichoffer budget for smartphone which which cost much less than Apple and China where people just prefer homegrown brands and have a general distrust for foreigners stuff and foreigners, even though that's where the iPhone and practically everything else is manufactured the market is simply too saturated to support more sales growth, you might point out that Apple is still the most profitable tech company in the world and they can just survive by just maintaining current levels of sales but Apple is also a publicly traded company that means people invest their money in it in the hopes of getting future returns, not hoping that Apple will still sell as many iPhones as they do now. They want more sales, a growing variable and not a constant.
Apple will have to cannibalize its own sales, as at this point in time, people who want to use Apple Music or iCloud, will go to buy an iPhone, then see an Android brand and go for it, because in this day and age, so many alternatives exist, that it's hard to pay $1000 for stuff and then add on the subscription instead of spending $500 on a decentish phone and getting other services.
Tim Cook has already begun razing down the walls around Apple's garden, and this will carry on.
This strategy is also reflected in Apple's annual report. Their services division, such as Apple the Apple Music, iCloud etc. are making up increasingly large numbers of its revenue, , even though the iPhone still remains a dominant force at 70%, but at least you can be sure that Apple has started started moving to stay in the game. So by removing the platform restriction, such as Apple Music being released on Android recently and now this Apple is simply allowing people who do not own Apple products to be able to buy Apple services. This spells out Apple's inevitable future to become a primarily services providing company. Whether it will maintain it's current position, has to be seen.
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