Analyst

Chip-making venture could cost Apple $7 billion

Christian Zibreg ∙ July 15, 2013

A story published this past weekend by a website called SemiAccurate has renewed speculation of Apple's supposed interest in producing the engine for iDevices at a plant of its own, as opposed to simply designing silicon blueprints in-house and commissioning others to build the chips, as has been the case since 2010.

So if Apple really bought into a fab, as the exclusive story alleges, the non-trivial move would span years to complete while costing billions of dollars.

Worse, Apple would expose itself to unforeseen difficulties not limited to yield issues: running a sophisticated chip-making factory requires a disciplined approach to attracting and retaining highly-trained engineers, one analyst cautioned Monday...

Analyst says mass production of iPhone 5S to start this month

Cody Lee ∙ July 15, 2013

According to Peter Misek, Apple will begin mass production of its next flagship smartphone, believed to be the iPhone 5S, later this month. The Jefferies analyst issued a note to investors this morning saying that the handset will launch in late September or early October.

Misek's report comes hot on the heels of a story from Chinese Business News claiming that Foxconn has restarted mass-hiring assembly line workers in the Chinese mainland to prepare for 5S production. It too said Apple was preparing for an early to mid-fall introduction...

Apple looking to add new Taiwanese suppliers to build 2014 iDevices

Christian Zibreg ∙ Updated October 27, 2016

According to the latest chatter, Apple of California is looking to introduce new Taiwanese suppliers to its supply chain in a bid to diversify manufacture of iOS devices beyond the current production partners Foxconn and Pegatron.

The development comes just as Foxconn reported better-than-expected June quarter earnings on increased sales of its TV set making business.

Meanwhile, a city in China's Henan Province is helping Foxconn increase its production capacity and inviting Apple to set up a domestic sales center...

T-Mobile reportedly sold about 900,000 iPhones in June quarter

Christian Zibreg ∙ Updated March 18, 2016

T-Mobile USA, the nation's fourth-largest wireless carrier, started taking pre-orders for Apple's iPhone on April 5, a week ahead of April 12 availability.

Following the strong advertising push, the carrier then boasted about 'gangbuster' opening for the iconic smartphone, leaving us scratching our head as the headline-grabbing phrase left room for various interpretations in terms of hard data.

The exact sales figure came to light during T-Mobile's earnings call when we learned the Deutsche Telekom-owned telco sold half a million iPhones during its first month of availability, between April 5 and May 8.

Though T-Mobile won't report June quarter earnings until August 8, the company reportedly confirmed selling about 900,000 iPhones during the three-month period ended June 30. If true, the data point suggests the carrier has moved an additional 400,000 units between May 8 and June 30, but also that sales have slowed following the initial push...

Apple’s iTunes owns 75% of digital music sales

Ed Sutherland ∙ June 21, 2013

Apple's iTunes is one of those happy ironies. Begun as a way to boost sales of Macs and other hardware and content with breaking even, the service now rakes in $20 billion per year selling digital warez such as video, books, apps and music - a whole lot of music. In fact, Apple now sells 75 percent of all digital music, according to a new analysis.

In a series of peeks into how iTunes earns all that revenue, independent analyst Horace Dediu paints a picture where more than a half-billion users are pointing to a future where apps surpass digital music sales...

Outspoken Apple analyst calls iOS 7 changes most important in iPhone history

Ed Sutherland ∙ June 11, 2013

Love it or hate it, Apple's newly-unveiled iOS 7 will breathe new life into the aging iPhone, argued one analyst late Monday. Unlike hardware changes which have a short lifetime in terms of public curiosity, phone software updates are mesmerizing.

In a note to investors, Piper Jaffray's Gene Munster writes that the changes within iOS 7 will spark renewed interest in the iPhone, which some felt was being overshadowed by its Android rivals, such as the Samsung Galaxy S4...

Haswell-powered iMacs expected in June or July

Christian Zibreg ∙ Updated May 20, 2016

In addition to OS X 10.9 and iOS 7, credible media outlets such as the Wall Street Journal are expecting Apple to announce its Pandora-like iRadio music service and possibly a MacBook specs refresh at today's WWDC keynote, which begins in less than four hours.

The reliable KGI Securities analyst Ming-Chi Kuo has chimed in with predictions of a Haswell-focused iMacs that he believes are in the pipeline for a launch this month or next.

Intel just recently announced its fourth-generation Core architecture for desktop and notebook computers. Apple has traditionally been among the first out of the gate to update its computers with the latest Intel chips, sometimes even securing a period of exclusivity on the new chips, like with the original MacBook Air...

Samsung’s Galaxy S4 dead in the water

Ed Sutherland ∙ June 7, 2013

Following clickbait dead-in-the-water headlines which spelled doom for Apple on overzealous analysts projecting overly optimistic iPhone sales, it's now Samsung's turn to feel Wall Street's wrath. So, is Samsung's smartphone business running out of steam?

That's the question Wall Street is pondering as investors punish the South Korean firm after orders for its flagship Galaxy S4 had supposedly dropped by as much as thirty percent.

Friday, Samsung shares slid by more than six percent after more than $12 billion was sliced from the Android maker's market capitalization. Can Samsung stop the downward spiral, perhaps offering a stock buyback as Apple did? Or are we seeing only the latest signs of an industry-wide slowdown in demand?

Either way, the old saying about people living in glass houses seems all the more pertinent...

Why iTunes may be Apple’s biggest asset

Christian Zibreg ∙ June 4, 2013

When Apple's iTunes Store debuted on April 28, 2003, it launched with zero customers. Today, Apple has more than half a billion iTunes accounts. While not every account holder gives Apple his or her credit card details, most do. Therefore, it's fairly safe to assume that Apple with its online-only content store is the biggest seller on the web.

Indeed, an analysis by Morgan Stanley reveals that not only is iTunes second only to Facebook's one billion accounts, it also makes more money per account than Amazon. More interesting factoids follow...

Why budget iPhone doesn’t mean lower profits

Ed Sutherland ∙ Updated November 29, 2016

Android smartphone makers have been doing it for years: controlling a market using inexpensive handsets to outnumber the more expensive iPhone. But when the idea that Apple should also produce a more affordable and contract-free device first appeared, a hue-and-cry erupted as if the next MacBook was to be powered by Windows 8.

Now comes calmer heads - ironically from Wall Street - showing Apple's gross profit margin would increase by six percent because more people will buy the Apple smartphone if the company lowers the cost of owning an iPhone.

That's right, all the hand-wringing going on about a less-pricey iPhone being suicide for Apple's bottom-line could be all wrong...

Galaxy S4 not hurting ‘resilient’ US iPhone sales

Ed Sutherland ∙ Updated April 11, 2018

Listening to much of the tech press, you might get the impression Samsung's new Galaxy S4 would further erode Apple's share of the smartphone market. One Wall Street firm ended the week on a contrary note, telling investors iPhone sales in North America "remain resilient" and Samsung's Galaxy S4 is only selling slightly better than its predecessor.

The analyst firm Detwiler Fenton expects Apple will sell a cool thirty million iPhones during the June quarter amid expectation the nine-month-old handset would lose market share to its South Korean rival...

Popular analyst warns iWatch may not hit market until late 2014

Cody Lee ∙ Updated April 14, 2018

Folks looking forward to seeing Apple launch its iWatch product this year probably shouldn't get their hopes up. According to a new report from well-respected analyst Ming-Chi Kuo, there's a good possibility we won't see the rumored accessory until late 2014.

Kuo says that due to the vast changes coming in iOS 7, Apple won't have the resources to build out software for the wristwatch-like device. And he thinks that, and an immature component market for wearable devices, will delay the project until the end of next year...