Everyone has been skeptical about Apple’s future ever since its founder and former CEO, Steve Jobs, was ill and eventually stepped down and passed away. However, Apple has been performing very well under the rein of its current CEO, Tim Cook, despite concerns of Wall Street analysts of the potential collapse of the innovation slowdown. On Tuesday (August 1st), Apple reported better-than-expected results in its third-quarter earnings and analysts across the globe are largely bullish on Apple’s prospects. Apple’s stock jumped more than 5% sitting close to $150.
Apple Still Has New Stuff In Its Pipeline
There is no doubt that Apple still has some new stuff in its pipeline … even if not, they can simply copy its competitors’ inventions and turn those new innovations into their own. It’s their formula and it’s been working really well since Apple doesn’t focus on new inventions, Apple specifically focuses on bringing mature technology along with its design magic to bring existing features (especially hardware features) meshing with its software and tightly hardware integration to the market. Well… since Apple controls its software and also hardware, the integration is always better than any other competitors on the market; therefore, “existing inventions” become “new innovations” under Apple’s name brand.
Augmented Reality & Self-Driving Vehicles
Even though Apple isn’t the first onto the Augmented Reality and Self-Driving Vehicles fields, they are setting their foot in both areas which has the exploding growth potential. Also, those fields are the future… the direction that the world is heading to. We aren’t that far away from seeing self-driving cars really being operated on streets (meaning that finally this tech is going to pass the regulations and permitted by laws to be able to legally being operated on the streets). Once it becomes reality, we have no doubt that the Apple Car is going to be one of the most seen vehicles on the streets in the US and eventually all over the world.
What Are Concerns?
China is and always will be the most important market to every global corporation. The purchasing power is going to be keeping growing up to a level that no other country can compete with. The population alone can put them in a position to be self-sustained as another planet of earth; therefore, if you lose Chinese market, you not only lose a battle… you actually lose the war. And … Apple has been struggling in China in recent years.
Apple’s iPhone is no long the king
Apple reported revenue in China that fell 10% year-on-year in the fiscal third-quarter to just over $8 billion. It strongly hints that Apple has lost its edge which is the iPhone brand in China. The price of the iPhone is couple times of its counterparts, the quality of the iPhone cannot set it apart of its competitors, the content (apps) that iPhone provides are NOT that superior anymore, and Chinese market is actually much more fickle than any other markets in the world. The competition is fierce and there are no real incumbents over there. Just take a look at how many different brands of smartphones that you can choose and how many different choices that you can actually purchase in China and then compared that with what you can get in the United States… what a shame that most US consumers only know Apple and Samsung … or … maybe LG + HTC.
Cloud Service Is The Future But Apple Sucks At That
Apple is the company that actually put the cloud on the front page of consumers’ daily lives but Apple is also the company that consumers distrust of betting their chips on its cloud related services due to a few security incidents. Take a look at the “iCloud leaks of celebrity photos” from Wikipedia.
Although Apple has been doubling down on its cloud services by integrating everything into one single big cloud repository and users can easily pull and put everything from any Apple device to another Apple product, consumers are still dubious about its ability of hosting and managing consumers’ data. It’s true that Apple’s products are superior on design and the overall integration but it often falls into a fatal trap which is a total data messed up once users use Apple products in an unexpected way. We, once, experienced a massive data (photo and video) loss when using iPhotos to import over 10,000 photos and videos at once. Even though we used Apple’s time-machine backup, the time-machine settings was just too smart to save those files. (Note, the time-machine backup settings just very intelligently set to replace oldest data point once the time-machine backup drive is almost full instead of asking users whether if they want to do that or not.)
So … it’s time for us to answer the initial question that “Is Apple Still The Wall Street Darling?“… Yes, Apple is still and will be always the Wall Street darling in a foreseeable future even though it will continuously slow down its growth in China and India due to unavoidable cultural obstacles on it’s most dependable revenue generating product lines. However, it will keep innovating and pumping put of new hitting products under its invincible brand name – “Apple”. And people will just keep flocking into buying its products and it will not change in the next couple of years.