Apple iPhone’s Huge GambleDamien Moye
In business, sometimes you have to gamble. They’re banking their next batch of iPhones will be the best sale ever. It better be.
Apple iPhone is calling on suppliers to produce 70 to 80 million units of future iPhones with either 4.7 inch or 5.5 inch screens. All these units are to be made by December 30, 2014. This is the 20 million more than what was called for with the iPhone 5S and 5C. It’s rumored Apple is working feverishly to launch iPhone 6. Usually they launch either a new phone or device in September, at the beginning of an academic/work year, and not far from the holiday shopping season.
I must say, calling for this many units seems like a huge gamble for Apple to make. During the first quarter of 2014, Apple shared 18% of the smartphone share, compared to 29% of Samsung. I’m sure this factor was in their mind. But what if the sales are disappointing. But then I remember Apple has a partnership with China Mobile, which started selling the iPhone in early 2014. So to have one of the most powerful technical companies in one of the fastest rising economical companies in the world as an ally is a good move. To sale these between the two biggest times of the year is another good move. So is making up to 80 million iPhone devices a gamble or great business sense?