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Apple Faces iPhone Sales Slump

PaulRubens - January 4, 2018 - 12:02 PM
Apple Faces iPhone Sales Slump
Apple's $29 battery replacement program will discourage iPhone owners from upgrading, a report says.

(CCM) — Apple's cut-price battery replacement program could gouge a huge chunk out of the company's future iPhone sales, according to a Reuters report.


That is because an estimated 77% of iPhone owners have an iPhone 6, 6 Plus, 6s, 6s Plus, 7, 7 Plus, or SE, according to Mark Moskowitz, an analyst at Barclays. All of these iPhone models are eligible for a $29 battery replacement following the news that Apple deliberately slowed down these models as their batteries aged.

Moskowitz points out that even if only a small percentage of these iPhone owners decide to take advantage of the battery replacement program instead of purchasing a new device, this would have a meaningful impact on the sales of newer iPhone models such as the iPhone 8 and iPhone X.

Previously a replacement battery cost $79, making it a relatively less attractive option compared to purchasing a new phone.

Apple has been hit with at least eight lawsuits in California, New York, and Illinois by disgruntled iPhone users who feel that Apple should have been more upfront about the fact that it was slowing down handsets to protect them from unexpected shutdowns.

Image: © Apple.
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