iPhone 15 Sales Dwindle in China

The latest entrant in Apple’s smartphone lineup, the iPhone 15, has been witnessing a surprising dip in sales in the Chinese market. The demand for the new model was reportedly weaker than the previous year’s iPhone 14 within the first two weeks of its launch. As per data from Counterpoint Research, the sales of iPhone 15 have fallen by 4.5% in China.

As the tech world becomes more entangled with politics, the iPhone 15 faces a sales decline in China amidst rising US tensions.

But that’s not the entire story. Financial firm Jefferies reported a double-digit percentage drop in the iPhone 15 sales, citing strong customer demand for Huawei’s new Mate 60 smartphone line as a probable reason. This development has led to a slight decrease in Apple’s shares by 0.08%.

China’s Economic Scenario and Its Impact on iPhone Sales

China’s economic landscape faces numerous challenges, including a struggling housing market and a slowing economy. These factors, coupled with increased competition from higher-end vendors, particularly from Chinese device manufacturer Huawei, are believed to be influencing iPhone sales.

According to Jeff Fieldhack, research director at Counterpoint, nationalistic sentiments play a significant role in this shift. He noted that Chinese consumers, who feel wronged by the US government and its sanctions, gravitate towards the Huawei Mate 60, affecting Apple’s sales volumes.

The Importance of the Chinese Market for Apple

Despite the dwindling sales, China remains a key Apple market, second only to the US. While Fieldhack does not foresee Huawei surpassing Apple in smartphone sales, he does predict that the rising interest in the Mate 60 will continue to impact Apple’s sales figures. Last year, Apple made significant gains, becoming number one in China during its launch period. However, the current political tension and increased competition pose substantial challenges.

The iPhone 15’s Performance in the US Market

Conversely, the iPhone 15 lineup has seen a 10% year-over-year increase in the US, per Counterpoint. This is impressive growth, considering sales fell for the third consecutive quarter in August, right before the iPhone 15 launch.

The iPhone 15 devices feature a sleeker design, an advanced central camera system, and a customizable Action button that adds more controls to the silence button. Perhaps the most notable change is the shift to a USB-C charging cord, ending Apple’s 11-year era with its proprietary Lightning charging cable.

The Controversy Surrounding the Huawei Mate 60

The Huawei Mate 60 has been in the headlines since its launch in late August. The US government has sought more information about the Mate 60 Pro’s 5G Kirin 9000s processor, allegedly developed specifically for the manufacturer. This development surprised industry experts, who questioned how the company could manufacture such a chip amidst the United States’ efforts to limit China’s access to foreign chip technology due to national security concerns.