Apple experienced minimal iPhone growth in 2024 despite a significant rebound in the global smartphone market, according to new data published by IDC. Worldwide smartphone shipments increased 6.2% to reach 1.24 billion units, but iPhone shipments grew by just 0.4% during the same period.
The tepid performance underlines Apple's challenges in key markets like China, where domestic rivals are gaining ground through aggressive pricing and technological innovation. Chinese manufacturers like Xiaomi and Huawei are investing heavily in hardware and software development as well as custom processor designs, with Huawei recently launching its new Mate 70 phone featuring its own home-grown chips.
Elsewhere, Android device makers collectively drove the market's recovery, achieving 7.6% growth mostly through strong performance in emerging markets across Asia Pacific, Latin America, the Middle East, and Africa. These manufacturers appear to have succeeded by offering more affordable devices, with an average selling price of $295 compared to Apple's $1,000-plus premium iPhone positioning.
Despite the slower growth, Apple maintained its position as the industry's profit leader through its premium pricing strategy. According to IDC, the Apple's prospects may improve in 2025, with a forecast of 3.1% growth for iOS devices compared to 1.7% for Android smartphones.
Overall, the broader smartphone market's recovery was driven by pent-up demand for device upgrades in regions with lower smartphone penetration. However, IDC analysts noted that even heavily marketed features like generative AI have failed to significantly impact consumer demand or drive early upgrades, which doesn't bode well for the impact of Apple Intelligence on iPhone sales going into 2025.
Thursday December 5, 2024 11:48 am PST by Juli Clover
Apple seeded the release candidate version of iOS 18.2 today, which means it's going to see a public launch imminently. Release candidates represent the final version of new software that will be provided to the public should no last minute bugs be found, and Apple includes release notes with the RC launch.
The iOS 18.2 release notes provide a look at all of the new features that are coming...
Wednesday November 27, 2024 1:05 pm PST by Joe Rossignol
Apple is expected to kick off 2025 by launching an all-new smart home hub, also referred to as a "command center," as early as March.
The hub is expected to feature around a six-inch display that can be attached to a tabletop base with a speaker, or mounted on a wall. The device is said to run a new "homeOS" operating system with a customizable widget-focused home screen, and it is expected...
Thursday November 28, 2024 3:30 am PST by Tim Hardwick
Despite being released over two years ago, Apple's AirPods Pro 2 continue to dominate the wireless earbud market. However, with the AirPods Pro 3 expected to launch sometime in 2025, anyone thinking of buying Apple's premium earbuds may be wondering if the next generation is worth holding out for.
Apart from their audio and noise-canceling performance, which are generally regarded as...
WIRED today shared in an in-depth interview with Apple CEO Tim Cook, asking questions about AI, Vision Pro sales, pre-recorded keynotes, and more.
The wide-ranging interview covers Apple's pivot toward AI technology, including what Apple Intelligence features Cook finds most useful, Apple's partnership with OpenAI, and the environmental impact of AI. For example, WIRED asked Cook about...
Friday December 6, 2024 5:14 am PST by Tim Hardwick
Apple's next-generation iPhone 17 lineup may bring some of the most significant display improvements we've seen in recent years. While the iPhone 17 series isn't expected until late 2025, multiple rumors suggest Apple is working on substantial screen upgrades across its entire smartphone range.
From enhanced refresh rates to advanced materials and improved power efficiency, these display...
Thursday December 5, 2024 10:03 am PST by Juli Clover
Apple today seeded the release candidate versions of upcoming iOS 18.2, iPadOS 18.2, and macOS Sequoia 15.2 updates to developers and public beta testers for testing purposes, two weeks after releasing the fourth betas. Alongside the release candidate versions of the iPhone, iPad, and Mac operating system updates, Apple has also seeded the watchOS 11.2, tvOS 18.2, and HomePod Software 18.2 RCs....
Monday December 2, 2024 2:57 am PST by Tim Hardwick
WhatsApp is set to end support for iOS versions older than iOS 15.1 from May next year, removing the chat platform's compatibility with several iPhone models in the process.
From May 5, 2025, WhatsApp will no longer be compatible with iPhone 5s, iPhone 6, and iPhone 6 Plus models. Users with those devices won't be able to access the encrypted chat service after the specified date unless they ...
Well, there wasn't a massive difference between iPhone 15 and 16 apart from a dedicated camera button which no one asked for. Or the delayed AI fiasco.
We need, as our American cousins say, something tangible that's worthy of upgrade. This will be unpopular opinion but there is nothing incitcing me to upgrade from my iPhone 13 Mini.
There really isn't much to do in terms of form factor, materials, or hardware performance at this late stage in smartphone development.
However, despite chips not advancing as fast as they used to, Apple could have reached record iPhone sales if they hadn't been as slow to announce and rollout AI as they have been:
Although the hype AI is getting is not fully warranted, and very disappointing on some level, the average consumer would want to buy a new iPhone if it came with features like an LLM Siri and a fully fledged suite of high quality generative AI features.
But Apple has just been too slow and the quality of its AI tools is not impressive.
I'm still convinced that Apple didn't add all the value to the $799 iPhone just to have it support AI in the near future, but much more to give buyers a reason to upgrade despite getting next to no AI while other brands are 2-3 years ahead of Apple.
I don't think that Apple AI, no matter how good or when it will be (or was) released, would have made any difference...AI is exciting to IT folks, and that's about it, and besides there are a dozen AI services that can be quickly installed on any iPhone, right now, from the app store. Phones are commodity items now, and people just aren't as interested in the new tech as they used to be. Their iPhone works, they don't think about it much, and don't care to replace them until they need to. There is zero pent-up demand (in the US).
Buying a new phone now is about as exciting as buying new tires. I'm happy to have them, and it's nice to be riding on a new set, but it's not exciting, not interesting, and not worth upgrading because a new design or feature is available.
I upgraded my 13 Pro to a 16 Pro, only because my employer paid for it. It has been the most boring, lateral upgrade of any tech in recent memory. A month later, it feels exactly the same as my 13 Pro did. The usb-c is nice, however.
Of course generative AI hasn't driven sales. Let's look at some facts...
People have been using ChatGPT on their iPhones since 2023.
Apple Intelligence is limited to the most recent model phones only.
Yet the people using those older phones know full well the phones are fully capable of ChatGPT. (Yes, yes, private on-device blah blah nobody cares about this distinction when there is such a huge functionality gap.)
But Apple Intelligence isn't even fully available, especially the one part that actually competes with the part of ChatGPT people actually use. And even then, it will fall back to ChatGPT.
And it won't even be available until next year, and ChatGPT is already miles ahead.
Also, their commercials for Apple Intelligence are perhaps the worst they have ever made.
Why would anyone expect AI to drive sales? In fact it's remarkable it even grew .6%
I enabled apple intelligence on my Mac and have yet to figure out a use for it. And I use Chatgpt multiple times per day so you would think I would have a use for something. Apple hasn't had an inspired phone design since the iPhone 4
