Lily, Yes, Apple still sells products at a premium to what competitors offer. How long will customers continue to pay higher prices for products with functions similar to rivals'?
You are right. The sluggish global economy has limited the spending of consumers on electronic products, but the product of Apple, whether it is smartphone or Tablet PC, still maintain high price. much higher than its rivals, such as Amazon, Lenovo and Goolge.
@anandvy: in addition to a limited innovations in the market, we need to consider - in my opinion - how much is still high the price of their products; this doesn't fit with financial crisis in progress that has impacted and is impacting end users abroad.
I really wonder whether Apple can pick up the craziness just as the iPhone 4S and the ipad.
@Lily, you are right. Apple is not bringing innovative products to the market. On the contrary Samsung has sold more than 100 million Galaxy S devices. This shows that people are not limiting their choice to Apple but are buying android phones as well.
With the shortening of Apple launching new models, the products lack innovative and compelling characteristics. I really wonder whether Apple can pick up the craziness just as the iPhone 4S and the ipad.
@lily, thanks for this update. I feel this cut in demand for LCD display may be the result of disappointing iPhone 5 sales or may be because Apple is preparing for a new model.
Apple, the highest-capitalization company, has reduced the iPhone5-related orders by a half due to the slower-than-anticipated global sales of the iPhone 5; the corresponding components suppliers all received the order cutting notification, including Japan Display Inc. and Sharp Corp, South Korean concern LG Display Co, Seiko Epson Corp and Murata Manufacturing Co.
Japan Display, which operates six plants in Japan, is expected to suffer the biggest impact. A plant in Nomi, Ishikawa Prefecture--a dedicated facility in which Apple invested heavily and that began operating last June--is projected to temporarily reduce output by 70% to 80% compared with the October-December term.
Sharp's Kameyama No. 1 plant in Mie Prefecture, a dedicated facility for iPhone 5 LCD panels, will also slash output in January and February by around 40% from the October-December quarter, when it was near full capacity.
Since the death of Steve Jobs and the launch of the iPhone 5 without large and revolutionary change, the industry estimated decline would occur in Apple Inc. Despite the higher-than-iPhone 4S shipments for the iPhone 5 at the first two weeks of the introduction, the iPhone 5 indeed shows no revolutionary innovations, but increasingly presents the common smartphone trends such as larger-size screen, higher screen resolution. Meanwhile, the later launched iPad mini also brings no surprising improvement, coupled with the fierce competition from Samsung, Google and Amazon, and the lawsuit with Samsung, Apple is facing a growingly difficult development environment.
In addition, the share of Apple has always been falling to $520.3 million, and the revenue of Tim Cook also decreased by 99% comparing with the last year due to the relatively weak performance of Apple, which all seem to say Apple is declining. By contrast, Apple's rival Samsung ranked the first in 2012 in the shipments of smartphone, and is expected to account for 33% in 2013 with shipments of 290 million of smartphones. Another rival of Google still has strong occupy in operating system, and is showing great development and innovation in automotive, Tablet PC and so on.
Therefore, stop and develop a new round of innovative and revolutionary products is especially important to Apple, then it can lead a new doom in consumer electronics, just as the launch of iPhone 4S.
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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