Sales of new iPhone models have dropped significantly after Apple decided to offer a new solution to the battery problem that all previous models had on this smartphone. To solve the newly emerging problem, Apple CEO Tim Cook announced that the company will cut prices on iPhone models.
Revenues from iPhone sales make up the bulk of Apple's total revenue, and in the last financial quarter, they fell by 15%.
Apple's total revenue is 5% lower than last year and is now approximately $ 84.3 billion. This drop was expected, and a few months ago, the tech giant announced that their expectations for the previous quarter were about $ 84-85 million in earnings.
The company sees some of these problems in the slowing down of the Chinese economy, but Tim Cook said the buyers have a problem with the high prices of the devices. He added that dollar growth has raised prices in other countries and this has a negative impact on iPhone sales.
Cook also said Apple is changing the prices of their smartphones to protect users from fluctuations in the currency. Apple predicts that in the quarter to March 31 it will earn between $ 55 and $ 59 billion, which would mean a drop of at least 3.9% over last year.
Financial problems did not appear only in Apple, but with other manufacturers as the global delivery of smartphones decreased by 5%.