According to recent reports, the future performance of Apple is not certain because of the continuous increase in taxes in the US. This will most likely directly affect the sales of Apple’s products whose major market is the US. The US government’s trade policy may cause Apple iPhone sales in the US by 6 million to 8 million next year. By 2020, this could reduce Apple’s profits by 4%.
Gizchina News of the week
Trump’s trade policy has had a particularly severe impact on the US technology industry. Wall Street is worried that this may significantly increase the cost of the Apple iPhone. Due to these factors, Apple’s share price continues to fall. Analysts believe that by adjusting the supply chain, Apple will be able to partially alleviate the resulting cost increase. However, this process will be very slow.
Presently, Apple iPhone lacks any real innovation and the price of the device continues to rise. This has made some buyers express unsatisfaction with the latest iPhones, especially in the Chinese market. According to analysts, by 2021, Apple will use the on-screen fingerprint sensor which is already very popular in the Android camp. It will also retain its popular Face ID feature to boost security. Apple iPhone sales face a huge threat and the company has to work out modalities to curb the effect of higher taxes.
