Apple Offering Rare Discount on iPhones in China as People Choose Huawei

Andrew Anglin January 15, 2024

Apple is in dire straits.

There are 1.5 billion people in China. China is a very rich country, where, unlike in the United States or Europe, everyone can afford a new iPhone every year or two.

They used to buy them, but they don’t anymore, because the US is a hostile country and using an iPhone is increasingly being viewed as very unpatriotic.

Reuters:

Apple is offering rare discounts on its iPhones in China, cutting retail prices by as much as 500 yuan ($70) amid growing competitive pressure in the world’s biggest smartphone market.

The U.S. tech giant cut prices of some iPhones by 5%, its Chinese website showed on Monday. The time-limited promotion, branded as a Lunar New Year event, will last from Jan. 18 through Jan. 21 in a lead-up to the holiday in mid-February.

Sales of Apple’s latest iPhone 15 series of handsets have been far worse than previous models in China.

Home-grown rivals such as Huawei Technologies and Xiaomi offer competitive models, while sources have said some companies and government departments have been limiting staffers’ use of Apple devices – mirroring U.S. government restrictions of Chinese apps on security grounds.

Chinese iPhone sales dropped 30% in the first week of 2024 versus the same period a year earlier, Jefferies analysts said in a client note, having fallen 3% for all of 2023. Analysts expect the competitive landscape to get tougher this year.

Apple has not cut prices for its latest iPhones in years. The cuts come after it surprised the market by not raising prices for the iPhone 15 series at its September launch.

Along with increasing problems selling their overpriced phones, Apple has totally failed to innovate during the 15 years since the death of Steve Jobs.

I don’t think very many people are going to buy their $3,500 VR headset. Frankly, I don’t even believe it is going to work very well. I haven’t seen any reason to believe that it doesn’t cause the same problems with nausea as every other VR headset.

A botched launch of the headset could signal a downward spiral for one of the last great American companies.

Frankly, I am a bit excited to try it. They are doing free trials in Apple stores starting February 2.

But even if it does work, Huawei will just introduce a better version of it at a third of the price in a year from now.

Elvis Dunderhoff contributed to this article. 

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