Tag: Apple

  • Apple seeks Google’s aid to power AI upgrade for Siri

    Apple seeks Google’s aid to power AI upgrade for Siri

    Improvements to a number of Apple services – including a more personalised version of its virtual assistant, Siri – are to be powered with AI provided by Google.

    The tech giants have announced a “multi-year collaboration” which will see the iPhone-maker base some of its key tech on Google’s Gemini AI models.

    In a joint statement, the two firms said the partnership would unlock “innovative new experiences” for Apple users.

    However, experts say it demonstrates how Apple’s cautious approach to building and rolling out its own AI tools has left it reliant on other companies.

    “By outsourcing the foundational layer of its AI to Google, Apple is effectively admitting that its internal efforts couldn’t compete with Google’s Gemini in terms of capability and scale in the short term,” IDC analyst Francisco Jeronimo said.

    He told the BBC while the move was “a significant and pragmatic strategy” for Apple, it also marked a departure from its historic approach to development.

    “Apple always preferred to own every layer of its technology,” he said, adding that doing so “gave them an edge against their competitors”.

    Nonetheless he and other analysts say the deal is likely to be welcomed by consumers, noting demand among many iPhone users for AI features as Google, Samsung and other smartphone manufacturers continue to bring these to their handsets.

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    Tech analyst Paolo Pescatore said Apple’s latest financial results suggested AI was not the most sought-after feature for people deciding whether to buy an iPhone.

    But he told the BBC “this will gradually change as AI-powered services gain adoption”.

    This is not the first deal Apple has struck with an AI firm.

    It unveiled a similar partnership with ChatGPT-maker OpenAI in June 2024, which made the popular chatbot available as part of its suite of generative AI tools, Apple Intelligence.

    Google and Apple said in a joint statement on Monday that Apple Intelligence would continue to operate in Apple’s Private Cloud Compute system.

    “After careful evaluation, Apple determined that Google’s Al technology provides the most capable foundation for Apple Foundation Models and is excited about the innovative new experiences it will unlock for Apple users,” they said.

    “Apple Intelligence will continue to run on Apple devices and Private Cloud Compute, while maintaining Apple’s industry-leading privacy standards.”

    BBC

  • Top five smart phone brands Nigerians bought in Q1 2025

    Top five smart phone brands Nigerians bought in Q1 2025

    In the first quarter of 2025, Chinese smartphone brands continued to lead the market in Nigeria. Transsion Holdings, the parent company of popular brands like Tecno, Infinix, and iTel, stayed on top.

    According to Statcounter data for February 2025, these brands maintained a strong presence in Nigeria’s smartphone market. Here are the top five brands by market share:

    Tecno – 23.55%

    Tecno Mobile was the most popular smartphone brand in Nigeria, holding 23.55% of the market in the first quarter of 2025. Known for making affordable phones with excellent cameras and long battery life, Tecno has been a leading choice for many Nigerians. Popular models like the Camon and Spark series continue to attract a large number of users.

    Infinix – 21.73%

    Infinix Mobile captured 21.73% of Nigeria’s smartphone market in early 2025. Part of Transsion Holdings, Infinix has earned its spot with affordable smartphones packed with great features. Models like the Infinix NOTE 40 Series and GT 20 Pro are known for their fast charging and high performance, especially for gaming.

    Samsung – 12.36%

    Samsung held 12.36% of Nigeria’s smartphone market in the first quarter of 2025. The brand remains strong both in Nigeria and globally, where it holds a 20% market share. In Nigeria, however, it faces tough competition from Tecno and Infinix, which dominate the market with more than 45% combined.

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    Apple – 9.43%

    Apple captured 9.43% of the Nigerian smartphone market in early 2025. Despite being a premium brand, Apple’s iPhones remain popular in Nigeria due to their quality design and advanced features. Though Android devices dominate, Apple continues to attract a loyal customer base looking for high-end smartphones.

    Xiaomi – 7.15%

    Xiaomi secured 7.15% of Nigeria’s smartphone market in the first quarter of 2025. The brand’s success comes from offering affordable smartphones with strong performance. Models like the Redmi 13C have been well-received for their value. Xiaomi has also increased its presence through marketing campaigns like the ‘Xiaomi Deals Carnival’ and ‘Xiaomi Fans Meetup.’ Although its share is smaller compared to Tecno and Infinix, Xiaomi’s growth indicates it’s gaining influence in Nigeria’s market.

  • EU Commission fines Apple, Meta €700m for violation

    EU Commission fines Apple, Meta €700m for violation

    The European Commission has imposed 700 million euros in fines on Apple and Meta, accusing them of violating EU legislation on digital markets.

    Apple was ordered to pay 500 million euros, while Meta received a 200 million euro penalty. The fines can still be contested in court.

    The companies are alleged to have violated the European Union’s Digital Markets Act (DMA), which regulates large online platforms operating in the bloc.

    The penalties could have an impact on the current tensions between the United States and the EU, particularly over trade.

    The Republican leadership in Washington sees fines imposed by Brussels on big U.S. businesses as a form of taxation.

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    The commission, the EU’s executive arm, argues that proceedings against U.S. companies are not related to geopolitical tensions, and that they are “firm but balanced.”

    EU Commission Vice-President Teresa Ribera said “Apple and Meta have fallen short of compliance with the DMA by implementing measures that reinforce the dependence of business users and consumers on their platforms.’’

    Apple is accused by Brussels of having restricted app developers in marketing their products outside Apple’s own app store and failing “to demonstrate that these restrictions are objectively necessary and proportionate,” a commission press release said.

    Apple announced it would appeal against the fine.

    Yesterday’s announcements are yet another example of the European Commission unfairly targeting Apple in a series of decisions that are bad for the privacy and security of our users.

    “It is also bad for products, and forces us to give away our technology for free,’’ the company said.

    Meta’s fine is linked to its so-called pay-or-consent model in place between March and November 2024, under which Facebook and Instagram users in the EU had to choose between a monthly subscription for an ad-free version and a free version with personalised advertising.

    This model violated the DMA, as it did not give users the required specific choice to opt for a service that uses less of their data but is otherwise equivalent to the ‘personalised ads’ service,” the commission said.

    Apple and Meta were ordered to comply with the DMA within 60 days, otherwise, they risk periodic penalty payments, the commission stated.

     The fines are the first non-compliance decisions under the DMA, which entered into force in 2022.

    The penalties could in theory have been higher, the EU law provides for the possibility of imposing fines of up to 10 per cent of annual global turnover. For repeat offenders, this rate can rise to 20 per cent.

    In 2024, Apple reported a turnover of just fewer than 400 billion dollars while Meta stated a turnover of around 165 billion dollars.

  • Will There Be an Apple Event in 2024?

    Will There Be an Apple Event in 2024?

    Apple is one of the most innovative tech companies in the world. Regardless of whether you’ve pledged your loyalty in the Windows-Apple war, it’s undeniable that Apple has style and flair. Its events are known for being a blend of conceptual design and frontier-pushing tech, normally blended into an intuitive interface.

    To say their events are a big deal might be an understatement. On one hand, these events (whether open to other tech companies or private) showcase their latest models and releases. On the other hand, they’re also important for developing Apple culture and offering its fans a shared and immersive tech experience.

    Currently, one of the unique topics is gaming. As gaming becomes more important, some have wondered whether Apple will start to compete with Microsoft’s dominant grip on the industry. Beyond the scope of product releases, software is also a hot topic. The better a brand’s software, the more readily it can host complex games.

    That’s true across the board, whether a player is looking for a gaming portal accessible online or prefers to download a title straight to their device. From hyper-casual games to multiplayer online battle arenas, software is one critical component of the gaming industry, especially as eSports continues to become a focal part of the entertainment industry.

    In fact, eSports is a quickly expanding and highly lucrative venture. Apple could easily wade into the gaming waters in either sector and see success. However, as plans for various Apple events in 2024 are still under wraps, some analysts are wondering if it means Apple plans on unveiling some foray into gaming—especially via its Apple Vision Pro headsets.

    Let’s take a closer look at whether the annual Apple event will take place this year and, if so, when.

    A New Approach for Product Launches?

    There’s no singular ‘Apple event’ scheduled for the year. Instead, Apple will join a few different conferences around the world or independently launch its own new releases. In February, for example, Apple launched its Vision Pro product. In March, they surprised many by launching the brand-new Macbook Air.

    Traditionally, Apple hosts a spring event to unveil such launches. However, it skipped the hubbub last year in lieu of remote launches—and it looks like the trend might stick. Apple is expected to release its OLED iPad Pro, Apple Pencil, and iPad Air later this month or in April.

    At the Worldwide Developer Conference (June), Apple will release its new iOS 18 before launching its iPhone, Apple Watch, and Airpod releases in September. However, it’s also unclear whether this autumn event will also be swiped from the calendar in lieu of remote releases.

    The Magic of the Event

    From the outside looking in, Apple’s new remote release arrangement might not seem like a huge deal. After all, with Apple fans dotting the globe, most release events are geared toward the media and competitors—not the average fan. Still, as mentioned above, Apple events are places where the company’s culture and vision are displayed and enjoyed, where they push into new territory like fintech and beyond.

    What impact would removing these events have (aside from the WWDC)? Is it simply an idea designed to save money? The easy answer would be yes. In response to changing markets, Apple is tightening its belt. Unless, of course, the company still has eyes on innovation.

    Some have started looking toward a more virtual way of meeting up. Around the globe, virtual metaverses are starting to become more popular. Some have wondered whether Apple is playing a long game to launch its latest releases via virtual events. The company already offers extensive resources related to this, while its Apple Stores offer virtual educational sessions for average consumers—hinting they’d be able to educate and onboard many Apple users with relative ease.

    Back in October 2021, Apple tested the waters with the release of its new Macbooks. Since then, it’s covered all of its events with virtual and highly accessible recaps. Could users soon be watching these new releases from a metaverse?

  • BAO: The apple doesn’t fall far from the tree

    Monday 16 October, 2023 , Abiodun Abayomi Oyebanji, more popularly known as BAO, confidently waltzed into his second year as governor of Ekiti state – the land of honour – Ile Iyi, Ile eye. He has deservedly, been celebrated to high heavens as a cool, calm and highly focused administrator, with many plaudits credited to him in his one year in office. And to parody the trending GLO BEREKETE TV advert, I loudly proclaim: ‘And I say BAO never finish o!’ He is actually just starting.

    Interestingly some of the writers of those articles celebrating him showed that they actually do not know the man, close up, and probably knew him only after he achieved high office. Of course, they need feel no remorse at that because, even at his desk, as Secretary to the State Government, Biodun remained a self- effacing gentleman, even though, an untiring workhorse in that high octave and very critical office.

    He simply had no alternative to being as calm and collected. He is, after all, the protege of two of Ekiti’s best, and most consequential, governors, each of who deservedly earned the sobriquet Omoluabi, and was remarkable for hard, impactful service to the people of Ekiti state.

    Let us take Governor Kayode Fayemi, for instance, under who BAO served as Commissioner in two different portfolios, and later, as Secretary to the Government.

    I remember this occasion, which I had once written about on these pages when, at about 1.30 am sometimes in 2013, I asked him what he was still doing, pouring over files in his office at that ungodly hour and it was his good friend, the much missed, late Professor Abubakar Momoh, who replied by saying that working that late, even all night, has become a habit for both Kayode, and himself, since their gruelling pro – democracy days in the u. K. BAO must, certainly, have severally been with governor Fayemi far past 1.30.am, still fast at work on serious state matters.

    Even though it goes without saying that Oyebanji is well bred, that is, from home, his almost unparalleled respect for people, young and old, must have a lot to do with his long tutelage under the Omoluabi governor, per excellence, Otunba Niyi Adebayo, whose Chief of Staff he was, just as governor Fayemi’s natural, decent and quiet mien, must have positively robbed off on him.

    I have this interesting story about Governor Fayemi’s

    imperturbability which leads me to boldly say that, but for politics, he would most probably have been an introvert, his involvement in student union politics not withstanding.

    Many people know how close I am to him. I was, therefore, being assailed by many, asking me to advise him to play politics like politicians, that is, be loud and publicity seeking, even atimes winding down his car windows half way, and furiously waving to the public as he drove past. Knowing him, it took me some time to so advise him. But

    Very genuinely astounded when I did, he let out a guffaw; after which he now told me: “Oga, se e fe ki nma se politics bi Oshoko ni? meaning, do you really want me to play politics like Oshoko?

    What this means is that BAO, warm and welcoming as he is, you will never see him being unduly exuberant, or seeking after public applause. He is cut from an entirely different cloth.

    BAO showed his potentialities very early, serving as early as in his 20’s, as Secretary to the Chief Deji Fasuan – led Committee for the creation of Ekiti.

    I have arrived Ado – Ekiti highly agitated one Friday morning during the hectic days after the primaries which produced BAO and headed straight to my Uncle, Chief Deji Fasuan’s house. That was because of the things I was hearing, even in faraway Lagos, concerning on which candidate’s side Ado -Ekiti was leaning; an indigene of the town having been named as deputy governorship candidate by another political party.

    There was/is, a reason for my fears concerning which side Ado – Ekiti was supporting. And it is this:

    In order to resolve the extremely contentious senatorial contest for Ekiti Central in 2011 which involved the trio of Dele Alake, Opeyemi Bamidele and Femi Ojudu, three of Ekiti’s most politically astute youngmen, the party had a final meeting of about 12 of us at which the late Governor Dele Olumilua presided. Two other governors, Otunba Niyi Adebayo and Kayode Fayemi were also present.

    Otunba Adebayo was backing Opeyemi but he couldn’t fault Governor Fayemi’s position that the party could only disdain Ado – Ekiti, whose son, Ojudu he was backing, with dire consequences, come the real elections.

    Even though the meeting was inconclusive, I remain convinced till today, that I was not the only attendee who went away from the meeting with a perfect understanding of Ado- Ekiti’s position in any election in Ekiti.

    Let me digress briefly to dilate on what that event should teach our young politicians especially in Ekiti about patience, and allowing God to dominate in their affairs.

    By the time I invited the 3 gentlemen to have a chat with them, Dele had already left for Lagos, abandoning everything and I pleaded with the duo of Femi and Opeyemi to be patient, and allow peace reign during the re – run election slated for the following day. In reality, Governor Fayemi was aware that I phoned our present President, Ashiwaju Bola Ahmed Tinubu, as the party leader, to urge him to advise ‘his two Boys’, to demonstrate restraint during the re- run election the following day because each side was armed to the teeth.

    As of today, God has given each of the three gentlemen the opportunity to serve Ekiti and Nigeria at the National level: Dele as current minister of Solid Mineral Development, and the remaining two as distinguished senators of the Federal Republic. I haven’t the slightest doubt that the mature, and calculating, politician that Femi Ojudu is, he will soon find his way back into political reckoning.

    For budding Ekiti politicians, therefore, I would like to leave for them, the following words by Dele Alake, as he opted out of the senatorial contest: “

    “When I joined the race for the senatorial seat in Ekiti, I was motivated by the higher ideal of offering service and quality representation to the people of Ekiti Central Senatorial District in particular, Ekiti State and Nigeria in general”.

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    “I felt that my God-given intellect, talent, elocution, erudition and articulation, experience, exposure, knowledge and vision would be best put to the service of my people in the National Assembly through a clean electoral process”.

    “I did not envisage that an intra-party primary could degenerate into malpractices, fraud, violence and brigandage”. “I do not believe that in order to serve the people you either have to induce them with money, buy their conscience or resort to thuggery, hooliganism and brigandage. I strongly believed that if one wants to serve, you offer yourself and convince the people with ideas, programmes,

    plans and your manifesto”.

    “In the light of this and after due consultations with well-meaning Nigerians across the geo-political divides, and given the fact that I subscribed to the principle and value of playing the game by the rule, and also the fact that I cherish the quality of my name, status, stature and my image , I have decided not to be part of any such arrangement because there is no guarantee that the same thing will not occur again”. “Politics, for me, is not a do-or-die affair. I , therefore, withdraw my participation.”

    How nice would it be if this ‘Alake Mantra’ could become the Credo of all our politicians in Ekiti state.

    I digress.

    The pole position Ado – Ekiti enjoys in elections in the state was why I headed to Chief Fasuan to have a better understanding of what exctly was going on.

    “Femi, wo de de ni ni o, being our Are – Afao – Ekiti way of saying ‘Femi you have come again o”. “Okay, give me some two minutes”.

    He, thereupon, telephoned His Royal Majesty, the Ewi of Ado – Ekiti, Oba

    Rufus Adeyemo Adejugbe Aladesanmi III CON, who himself played a leading role in the struggle for the creation of the state.

    I overheard Kabiyesi recall Biodun’s yeoman’s efforts as Secretary of the Baba Fasuan – led committee, saying that the young man deserved to reap from where he sowed and concluded that his people are with him in his support for BAO.

    By the time they finished their discussion, all my fears were gone. Hurray! Oyebanji was their man in Ado – Ekiti and that really gladdened me..

    Besides Governor Fayemi, I would be mightily surprised if anybody, before me, saw BAO as the most appropriate person to succeed him, or mentioned it.

    As a writer, and close to government, even though not a government official, I have seen BAO at work, have keenly observed this quiet, and easy going ‘complete Ekiti bureaucrat’, who not only studied mostly locally here within Ekiti, but have served, meritoriously, in various sections of the state government over a long time, and is attested to by those who should know, as a loyal and competent gentleman who knows both the Ekiti people and the terrain very well, and I have concluded that he should be a perfect fit as governor Fayemi’s successor, God willing.

    Even if Governor Fayemi knew all these, as I guess he did, he was in no position to push it because, as the story below will affirm, he was determined to be scrupulously neutral in how his successor emerged.

    Let me then first apologise to governor Oyebanji for having to bring his private communication with me to the public space.

    When early in June 2021, I sent him a chat regarding the ’22 governorship election, and why I consider him most fit, he had not even adverted his mind to the possibility as the following response from him abundantly proves:

    “Good evening Sir. I will definitely come to you when the coast is clear Sir. Am believing in God to guide Mr Governor asap Sir. I can’t do anything without him Sir”.

    What can be more decent than that from a serving officer who knew he has all it would take to be governor?

    When the noise from the other side subsequently assumed an unpleasant trajectory with some people claiming that the governor was trying to inflict Oyebanji on the state, I decided to meet Governor Fayemi to know exactly how BAO emerged the party’s candidate.

    Below is how I captured my interaction with him on the BAO candidacy in my article: Re: Ekiti: Again I ask Must Our Politicians Always Fight to The Death? of 13 February, ’22:

    “I did not stop at merely writing my appeal of 9 January, ’22 titled:”Ekiti’22: In Order Not To Snatch Defeat From The Jaws Of Victory Warring APC Chieftains Must Sheathe Their Swords,

    as the allegation literally ruled the airwaves wherever you went. Indeed, Professor Bolaji Aluko would confirm that long before the primaries, he and I, had worked behind the scene, trying to work out some things. We knew we were on our own but had we succeeded, things might have turned out differently.

    I, therefore, made enquiries directly from the governor as to the truth or falsity of the allegation. My finding dear reader, and I have never had cause, not even once in our long years of very close relationship, which many of the contestants are very well aware of , to doubt Governor Fayemi.

    They should, therefore, sleep easy, when they read here that Biodun Oyebanji was the product of a scientific process – a commissioned GALLUP POLL which had no specific names given to the pollster, – a professional group of very solid repute -whose remit was to identify, and prequalify, persons with requisite political exposure, competence and experience and who could be the party’s governorship candidate in the June 2022 governorship election with the proviso that this be not limited to those in government. Far be it, therefore, that anybody hand picked the young man who is now the APC candidate for the June ’22 election.

    Instead, what played out is that the idea of a home grown Biodun Oyebanji who, only in his 20’s, was Secretary to the Chief Deji Fasuan – led committee of leading Ekiti personalities, and Kabiyesis, for the creation of Ekiti state, as well as his having creditably held many high public offices in the governments of both governors Niyi Adebayo and Kayode Fayemi, two of Ekiti’s most impactful governors, and the fact that he went round the state far more than any of his competitors, resonated very well with party members and supporters who were not just seeing him only at election time having just resigned as Secretary to Government (SSG). They could only barely conceal their enthusiasm for him”.

    I would later hear that two of the gentlemen who I mentioned in the article, who incidentally are aburos I respect very much, and they know this for a fact, took exception to what I wrote about them.

    Of course, I did not set out to present them in bad light.

    Knowing, for instance, how warmly governor Fayemi spoke to me about Senator Opeyemi Bamidele who he saw, as if he saw tomorrow, as one Ekiti politician who, because of his exposure, experience and sundry competences should, ideally, represent the state at the National level – a matter he told me he discussed with him – regarding how he could easily emerge one of the highest ranking Senators. Today Senator Opeyemi is No.3 in that hallowed chamber.

    I had criticised him for being rather too intent on playing only at the sub national level. Who would not remember that he did take the bullet for governor Fayemi and that the latter could not have wished him ill. I learnt it was the same for my own dashing congressman, Bimbo Daramola, who I believed should have championed Opeyemi going to senate having himself been a member of the National Assembly and knows how useful to Ekiti a senator Opeyemi would be. I am sure they now both understand my position about how the senator could impact Ekiti’s minfrastructural development. Indeed, he is already facilitating a University for Ekiti to be sited in Iyin – Ekiti. Am proved right

    Happily, all is well that ends well. For Ekiti state as a whole today, there is unbelievable peace; a state of affairs for which we Ekitis are all hugely obligated to the gentleman governor in the saddle. .

    Completely across board, and irrespective of political party, BAO has extended a hand of not just fellowship, but of distinct respect to all Ekiti and, in particular, to many Ekiti titans who, for decades, were bitter political enemies.

    The resultant quietude and peaceful state of affairs all over the state has enabled BAO to do so much in so short a time.

    He came into office at a time Ekiti was very politically tense and fractious, but seeing the way he has led with humility, and hostility to none, Ekiti is fast returning to that era when, even on the most desolate of roads, if an Ekiti man saw a vehicle with a WP registered number parked in search of assistance, he was, as if on command, obligated to immediately stop and render assistance, no matter how much hurry he was in.

    I heartily congratulate governor Oyebanji on his 2nd Anniversary, and would like to extend my congratulations to his better half, the delectable First Lady, Her Excellency, Dr (Mrs) Olayemi Oyebanji who, as I predicted back during the campaigns, took off absolutely brilliantly from where Erelu, Her Excellency, Bisi Fayemi, left off and has since taken up the additional, very impressive step of going to lecture at the Afe Babalola University, the fastest growing University on the West Coast of Africa.

    In conclusion, I commend the governor for internalising, not only his good home upbringing, but for also bringing to bear on governance, everything he learnt at the feet of his two remarkable bosses.

    Indeed, of a truth, an apple does not fall far from the tree.

  • Apple cuts forecast amid China market slump

    Apple has lowered its revenue guidance from $93 billion to $84 billion, ahead of its earnings call scheduled for 29 January.

    In a letter to investors, CEO Tim Cook says: “Today we are revising our guidance for Apple’s fiscal 2019 first quarter, which ended on December 29. We now expect the following: revenue of approximately $84 billion, gross margin of approximately 38 per cent, operating expenses of approximately $8.7 billion, other income of approximately $550 million, and tax rate of approximately 16.5 per cent before discrete items.

    “Based on these estimates, our revenue will be lower than our original guidance for the quarter, with other items remaining broadly in line with our guidance,” says Cook.

    “While it will be a number of weeks before we complete and report our final results, we wanted to get some preliminary information to you now. Our final results may differ somewhat from these preliminary estimates,” he adds.

    “When we discussed our Q1 guidance with you about 60 days ago, we knew the first quarter would be impacted by both macroeconomic and Apple-specific factors. Based on our best estimates of how these would play out, we predicted that we would report slight revenue growth year-over-year for the quarter. As you may recall, we discussed four factors:

    “First, we knew the different timing of our iPhone launches would affect our year-over-year compares. Our top models, iPhone XS and iPhone XS Max, shipped in Q4’18 – placing the channel fill and early sales in that quarter, whereas last year iPhone X shipped in Q1’18, placing the channel fill and early sales in the December quarter. We knew this would create a difficult compare for Q1’19, and this played out broadly in line with our expectations.

    “Second, we knew the strong US dollar would create foreign exchange headwinds and forecasted this would reduce our revenue growth by about 200 basis points as compared to the previous year. This also played out broadly in line with our expectations.

    “Third, we knew we had an unprecedented number of new products to ramp during the quarter and predicted that supply constraints would gate our sales of certain products during Q1. Again, this also played out broadly in line with our expectations. Sales of Apple Watch Series 4 and iPad Pro were constrained much or all of the quarter. AirPods and MacBook Air were also constrained.

    “Fourth, we expected economic weakness in some emerging markets. This turned out to have a significantly greater impact than we had projected. In addition, these and other factors resulted in fewer iPhone upgrades than we had anticipated. These last two points have led us to reduce our revenue guidance. I’d like to go a bit deeper on both.

    Cook says while Apple anticipated some challenges in key emerging markets, the company did not foresee the magnitude of the economic deceleration, particularly in Greater China.

    “In fact, most of our revenue shortfall to our guidance, and over 100 per cent of our year-over-year worldwide revenue decline, occurred in Greater China across iPhone, Mac and iPad.”

    He points out that China’s economy began to slow in the second half of 2018. “The government-reported GDP growth during the September quarter was the second lowest in the last 25 years. We believe the economic environment in China has been further impacted by rising trade tensions with the US.

    “As the climate of mounting uncertainty weighed on financial markets, the effects appeared to reach consumers as well, with traffic to our retail stores and our channel partners in China declining as the quarter progressed. And market data has shown that the contraction in Greater China’s smartphone market has been particularly sharp.”

  • Apple cuts forecast amid China market slump

    Apple has lowered its revenue guidance from $93 billion to $84 billion, ahead of its earnings call scheduled for 29 January.

    In a letter to investors, CEO Tim Cook says: “Today we are revising our guidance for Apple’s fiscal 2019 first quarter, which ended on December 29. We now expect the following: revenue of approximately $84 billion, gross margin of approximately 38 per cent, operating expenses of approximately $8.7 billion, other income of approximately $550 million, and tax rate of approximately 16.5 per cent before discrete items.

    “Based on these estimates, our revenue will be lower than our original guidance for the quarter, with other items remaining broadly in line with our guidance,” says Cook.

    “While it will be a number of weeks before we complete and report our final results, we wanted to get some preliminary information to you now. Our final results may differ somewhat from these preliminary estimates,” he adds.

    “When we discussed our Q1 guidance with you about 60 days ago, we knew the first quarter would be impacted by both macroeconomic and Apple-specific factors. Based on our best estimates of how these would play out, we predicted that we would report slight revenue growth year-over-year for the quarter. As you may recall, we discussed four factors:

    “First, we knew the different timing of our iPhone launches would affect our year-over-year compares. Our top models, iPhone XS and iPhone XS Max, shipped in Q4’18 – placing the channel fill and early sales in that quarter, whereas last year iPhone X shipped in Q1’18, placing the channel fill and early sales in the December quarter. We knew this would create a difficult compare for Q1’19, and this played out broadly in line with our expectations.

    “Second, we knew the strong US dollar would create foreign exchange headwinds and forecasted this would reduce our revenue growth by about 200 basis points as compared to the previous year. This also played out broadly in line with our expectations.

    “Third, we knew we had an unprecedented number of new products to ramp during the quarter and predicted that supply constraints would gate our sales of certain products during Q1. Again, this also played out broadly in line with our expectations. Sales of Apple Watch Series 4 and iPad Pro were constrained much or all of the quarter. AirPods and MacBook Air were also constrained.

    “Fourth, we expected economic weakness in some emerging markets. This turned out to have a significantly greater impact than we had projected. In addition, these and other factors resulted in fewer iPhone upgrades than we had anticipated. These last two points have led us to reduce our revenue guidance. I’d like to go a bit deeper on both.

    Cook says while Apple anticipated some challenges in key emerging markets, the company did not foresee the magnitude of the economic deceleration, particularly in Greater China.

    “In fact, most of our revenue shortfall to our guidance, and over 100 per cent of our year-over-year worldwide revenue decline, occurred in Greater China across iPhone, Mac and iPad.”

    He points out that China’s economy began to slow in the second half of 2018. “The government-reported GDP growth during the September quarter was the second lowest in the last 25 years. We believe the economic environment in China has been further impacted by rising trade tensions with the US.

    “As the climate of mounting uncertainty weighed on financial markets, the effects appeared to reach consumers as well, with traffic to our retail stores and our channel partners in China declining as the quarter progressed. And market data has shown that the contraction in Greater China’s smartphone market has been particularly sharp.”

  • Apple cuts forecast amid China market slump

    Apple has lowered its revenue guidance from $93 billion to $84 billion, ahead of its earnings call scheduled for 29 January.

    In a letter to investors, CEO Tim Cook says: “Today we are revising our guidance for Apple’s fiscal 2019 first quarter, which ended on December 29. We now expect the following: revenue of approximately $84 billion, gross margin of approximately 38 per cent, operating expenses of approximately $8.7 billion, other income of approximately $550 million, and tax rate of approximately 16.5 per cent before discrete items.

    “Based on these estimates, our revenue will be lower than our original guidance for the quarter, with other items remaining broadly in line with our guidance,” says Cook.

    “While it will be a number of weeks before we complete and report our final results, we wanted to get some preliminary information to you now. Our final results may differ somewhat from these preliminary estimates,” he adds.

    “When we discussed our Q1 guidance with you about 60 days ago, we knew the first quarter would be impacted by both macroeconomic and Apple-specific factors. Based on our best estimates of how these would play out, we predicted that we would report slight revenue growth year-over-year for the quarter. As you may recall, we discussed four factors:

    “First, we knew the different timing of our iPhone launches would affect our year-over-year compares. Our top models, iPhone XS and iPhone XS Max, shipped in Q4’18 – placing the channel fill and early sales in that quarter, whereas last year iPhone X shipped in Q1’18, placing the channel fill and early sales in the December quarter. We knew this would create a difficult compare for Q1’19, and this played out broadly in line with our expectations.

    “Second, we knew the strong US dollar would create foreign exchange headwinds and forecasted this would reduce our revenue growth by about 200 basis points as compared to the previous year. This also played out broadly in line with our expectations.

    “Third, we knew we had an unprecedented number of new products to ramp during the quarter and predicted that supply constraints would gate our sales of certain products during Q1. Again, this also played out broadly in line with our expectations. Sales of Apple Watch Series 4 and iPad Pro were constrained much or all of the quarter. AirPods and MacBook Air were also constrained.

    “Fourth, we expected economic weakness in some emerging markets. This turned out to have a significantly greater impact than we had projected. In addition, these and other factors resulted in fewer iPhone upgrades than we had anticipated. These last two points have led us to reduce our revenue guidance. I’d like to go a bit deeper on both.

    Cook says while Apple anticipated some challenges in key emerging markets, the company did not foresee the magnitude of the economic deceleration, particularly in Greater China.

    “In fact, most of our revenue shortfall to our guidance, and over 100 per cent of our year-over-year worldwide revenue decline, occurred in Greater China across iPhone, Mac and iPad.”

    He points out that China’s economy began to slow in the second half of 2018. “The government-reported GDP growth during the September quarter was the second lowest in the last 25 years. We believe the economic environment in China has been further impacted by rising trade tensions with the US.

    “As the climate of mounting uncertainty weighed on financial markets, the effects appeared to reach consumers as well, with traffic to our retail stores and our channel partners in China declining as the quarter progressed. And market data has shown that the contraction in Greater China’s smartphone market has been particularly sharp.”

  • Apple rejects order to unlock gunman’s phone

    Apple will contest a court order to help FBI investigators access data on the phone belonging to San Bernardino gunman, Syed Rizwan Farook.

    The company had been ordered to help the FBI circumvent security software on Farook’s iPhone, which the FBI said contained crucial information.

    In a statement, Apple chief executive, Tim Cook said: “The United States government has demanded that Apple take an unprecedented step which threatens the security of our customers.”

    “We oppose this order, which has implications far beyond the legal case at hand.”

    Since September 2014, data on most Apple devices – such as text messages and photographs – have been encrypted by default, the BBC reports.

    It means if a device is locked, only the passcode can be used to access the data. If 10 incorrect attempts at the code are made, the device will automatically erase all of its data.

    Apple said even its own staff cannot access the data – a move the company made following the Edward Snowden revelations into government surveillance.

    The FBI has asked Apple to do two things.

    Firstly, it wants the company to alter Farook’s iPhone so that investigators can make unlimited attempts at the passcode without the risk of erasing the data.

    Secondly, it wants Apple to help implement a way to rapidly try different passcode combinations, to save tapping in each one manually.

  • Apple reports record sales of iPhone 6s, 6s Plus

    Apple (AAPL.O) said it had sold more than 13 million iPhone 6s and 6s Pluses during their first weekend on the market, setting a record for its marquee product.

    The company beat its previous record of 10 million in sales for the previous generation of iPhones in its first weekend in 2014. This year’s results benefited from the inclusion of the Chinese market, where regulatory problems delayed the gadget’s debut last year.

    Analysts had expected the company to sell 12 million to 13 million phones this past weekend.

    “Customers’ feedback is incredible, and they are loving 3D Touch and Live Photos,” Apple Chief Executive Officer Tim Cook said in a statement. “We can’t wait to bring iPhone 6s and iPhone 6s Plus to customers in even more countries on October 9.”

    Analysts had said Apple was virtually assured to set a new record for iPhone sales with the inclusion of China, which many expect will soon be the company’s largest market.

    But the figures announced on Monday suggest Apple’s iPhone sales were up overall, said FBR Capital Markets senior analyst Daniel Ives. He said the sales figures should ease investors’ concerns about how Apple will fare amid economic turmoil in China.

    “Demand out of China looks white-hot,” Ives said.

    Moor Insight & Strategy analyst Patrick Moorhead said the sales figures also suggested Apple seized some market share from Samsung Electronics Co Ltd (005930.KS), its chief rival in the smartphone market.

     

    Apple said the new iPhones would be available in more than 40 additional countries starting October 9, reaching more than 130 countries by the end of the year.

    The iPhone 6s and 6s Plus arrived in stores on Friday, kicking off a sales cycle that will be scrutinised for signs of how much allure remains for the smartphone.

    The company relies heavily on the sale of its flagship iPhones, which generated nearly two-thirds of its revenue in the latest quarter.

    Shares of Apple were down 1.5 percent at $112.97 in early trading.