Analysts are claiming that Apple are now selling more iPhones in China than in the US. Apple boss Tim Cook predicted that China would overtake the US back in October, but it seems that the change has come quicker than he expected. It’s thought that the Q1 earnings call will confirm the news.
UBS analysts said that 36% of all iPhone shipments involved China during the last quarter, with the US accounting for 24%. This represents a 7% upturn for China and a fall of 2% for the US year-on-year. Creative Strategies estimated that 2 million more iPhones were sold in China than the US during Q4 (or Apple’s Q1).
The figures refer to iPhone sales rather than other Apple devices, but it’s thought that the trend will spread to tablets and other machines in due course. Apple receives half of its revenue from iPhones, with Creative Strategies’ Ben Bajarin calling the news a “tipping point”, saying: “They will likely do more in China than US from here on out…It certainly shows how important the China market is to Apple’s upside.”
Apple has opened several retails in China recently with more on the way. The company says that it plans to launch Apple Pay in the country soon, possibly in a partnership with ecommerce giant Alibaba.
Does the news about Apple’s fortunes in China take you by surprise? Do you think the company are failing in the US? Let us know below.