The report says that iPhone sales will continue to decline despite the upcoming launch of iPhone 11

by Kelvin
Sebastian Jimenez

In recent years, analysts and investors have been anticipating a monstrous cycle of iPhone update that has not yet manifested. The first false alarm, so to speak, came with the launch of the iPhone 7 in 2016. At that time, industry observers thought the record wave of iPhone 6 buyers in 2014 would result in an even bigger update cycle once that those first two-year contracts expired.

The next false alarm came with the launch of the iPhone X 2017. At that time, many anticipated that the new form factor of the iPhone would cause an avalanche of updates. However, things developed a little differently. The iPhone X did not set any sales records, and the subsequent launch of the iPhone 2018 line of Apple actually saw a decrease in iPhone sales year after year.

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The main problem is simply that iPhone users keep their devices for much longer periods of time than ever. The reality is that the era of users who update their devices every two years seems to have passed a long time ago. Up to this point, a new Strategy Analytics research report reveals that smartphone users in general are now retaining their devices for almost three years before updating. In particular, the update cycle is even longer for baby boomers.

According to the latest Strategy Analytics research, the average smartphone of Apple He has been active for 18 months and 16.5 months for Samsung. 1 in 5 Caucasians plan to keep their phones for 3 years or more, while Baby Boomers increasingly delay the purchase of their smartphones for 3 years or more.

A longer update cycle for iPhones was inevitable. The days of generous operator subsidies are gone and the simple reality is that today's phones are simply more reliable for longer periods than older models. In addition, the most recent iPhone releases have been somewhat incremental in nature, since it has been a while since we saw a new feature that changes the game on the iPhone. It is worth noting that this is not a problem that only affects Apple, is a problem that all phone manufacturers have to deal with.

Vice President of Strategy Analytics, David Kerr, adds that the impending 5G revolution may not help set new sales records, since high premium phone prices are likely to be a limiting factor.

"Operators and device brands face significant inertia given the consumer's perception of the decline in innovation or the added marginal value in successive generations of flagship devices," Kerr said. β€œAt the same time, the search for profitability by suppliers has seen an increase in smartphone prices over $ 1,000. The prices of 5G phones will be a key barrier even though 1 in 4 recognizes it as important for your next device. "

In light of all this, the impending launch of the iPhone 11 will probably not set any new sales record, despite the rumored iPhone 11 Pro, with its set of three cameras, seems particularly intriguing. By the way, the launch of the iPhone 11 is affecting us. Even though Apple has not issued any official invitation to its annual media event, it is rumored that the device will be released on September 10 and that sales will begin on September 20.

Total, Apple It has been handling a slowdown in iPhone sales expertly, as it continues to focus on its burgeoning and increasingly profitable set of services. In addition, the company has experienced impressive growth in its line of portable devices as sales of Apple Watch They continue to grow with each passing year.

Image source: JIM LO SCALZO / EPA-EFE / Shutterstock photo

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