Hardware giant Apple is in a peculiar position heading into 2018. The company is already facing at least three separate lawsuits, respectively filed at district courts in New York, California, and Illinois, after the company officially confirmed that it was intentionally slowing down older iPhone models in what Apple claims was an attempt to preserve the life of degrading batteries. The lawsuits aren’t limited to the United States either, as at least one motion was filed in an Israeli court.
More pressing, however, is the issue of company sales. Apple fans have been reticent to adopt the iPhone X, the latest device to enter the company’s smartphone library. With the base model costing a whopping $999, users have been less willing to commit to the device. 2018 sales projections have already been downgraded by some sources to the 25 million mark after observing shrinking orders from Apple suppliers in the United States. Both the lawsuits and the lack of widespread interest in the iPhone X could potentially put the company in a precarious financial position.
That said, while iPhone X sales over the holidays certainly didn’t meet the company’s expectations, overall Apple devices seemed to have dominated their competitors. Smartphones and tablets were, as expected, popular gifts, but fortunately for Apple, roughly 44 percent of devices activated over the holiday season were their company’s products. Interestingly, however, while the iPhone X, the 8, and 8 Plus ranked among these numbers, it was actually the older 7 and 6 iPhone models that saw the most activations. The 7 accounted for a little over 15 percent of activations, while the iPhone 6 fell just below that mark. While any sales are good news for Apple, the fact that these older devices accounted for so many of the activations clearly reflects waning interest in their current generation of devices.
Competitor Samsung saw its own holiday sales rise 5 percent over last year’s figures, but the company failed to even approach Apple’s success, accounting for only 25 or so percent of holiday activations. The bump in sales was clearly due to the recent release of the much anticipated S8, but whether its sales are outpacing Apple’s latest line remains to be seen. That said, both companies significantly outperformed Google despite the release of the Pixel 2, and when taken together seems to reveal a trend of users sticking with tried and tested smartphone models rather than adopting unproven newcomers.