Apple in for negative growth as analysts predict iPhone 6s to be a commercial failure
Apple's iPhone 6s continually draws up hype with its upcoming features but analysts are looking the other way around. According to recent estimates, Apple may experience negative growth as the upcoming series could prove not to be a commercial success. Part of the reason is the previous demand of the original iPhone 6 series. Can Apple perform beyond expectations?
The iPhone 6 and iPhone 6 Plus series gained extremely popularity upon release, setting record sales along the process. However, the same popularity could prove to be challenging for Apple as analysts see the next iPhone follow-up to suffer negative growth. According to KGI, Apple may be able to sell around 65 to 75 million units of the expected iPhone 6s and iPhone 6s Plus this fourth quarter. Posted growth could range from zero to negative year-over-year.
Apple Daily reports that there are two main factors affecting the expected negative performance: public's perception of the "S" generation and weak sales in China. Often, "S" generations are linked to minor upgrades. China, on other hand, continues to experience economic problems which may affect the purchasing power of people. Nonetheless, Apple reportedly still sees China as a possible market driver because of its economic size.
The weak forecasts are in spite of the promise of the Force Touch paving news ways so smartphone interactions. According to Phone Arena, the impact of such inclusion is not likely on the same scale as the new form factor Apple offered the year before. Apple has not made the final announcements yet on its upcoming series. There have been reports of Apple reducing its iPhone 6s production orders. However, these could not be confirmed exactly as the company remains mum on the matter. The iPhone 6s series is expected to launch with the iOS 9 software update. As with other forecasts and leaks, everything should be taken with a grain of salt.
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