According to IDC data, the demand for smartphones decreased by over 20% in 2017. We’re about to learn what that implies for Apple at this point.

During the Christmas shopping season, technology is frequently one of the most popular gifts, and Apple is one of the most well-known businesses in this category. Last year, the corporation sold $71.6 billion worth of iPhones, making it large enough to rank among the Fortune 50. What occurs afterward when that need dries up?

Apple will present its first fiscal quarter earnings on Thursday, which will include sales from the recently concluded holiday shopping season. And it’ll probably be difficult.

While the holidays are a popular time to purchase digital equipment, this past holiday shopping season isn’t looking fantastic. Sales of phones and computers have been falling sharply from their epidemic highs.

According to polls from IDC, the global shipments of smartphones fell by a record 18% from the previous year, marking the biggest loss in the history of the sector. Meanwhile, the shipping of PCs fell by an even greater 28% from the previous year.

The implications for the iPhone and the Mac will soon be revealed to Apple fans. According to surveys made public by Yahoo Finance, analysts have already forecast a decline in earnings to $1.94 per share, or more than 7% less than during the same period last year. In the interim, sales are expected to drop by more than 2% to $121.6 billion.

None of this should come as a major surprise as Wall Street analysts and Apple both expected that COVID-19 lockdowns, which ended late last year, were the primary reason for this production slowdown particular, many potential buyers of the $999 (£1,099, AU$1,749) iPhone 14 Pro

In particular, many potential buyers of the $999 (£1,099, AU$1,749) iPhone 14 Pro will have to spend extra time waiting or looking for their gadgets. Because there is such a demand for them, we at CNET decided to create a guide on how to locate one despite the numerous supply constraints.

Analysts and investors want to know whether customers who were previously unable to purchase an iPhone waited or gave up and chose a competitor.

It is now easy to order an iPhone directly from Apple and have it delivered the following day.

Loss in December = Gain in March In a note to investors on Monday, Evercore analyst Amit Daryanani made the following statement. In addition, Evercore noted that data on luxury goods sales in China suggested that many people’s fears of a deeper recession this year may have been overstated. This is in addition to the abundant supply.

Given the unmet demand, “January and beyond ought to be greater than usual.”

In advance of its earnings, Apple didn’t react to a request for comment.

tech pain

Industry observers are curious as to what will happen to Apple’s workers if enough people purchase iPhones to keep the company afloat during a period of economic turmoil. Nearly every tech major has so far implemented layoffs, partially attributable to a frenzied hiring frenzy during the outbreak.

The Apple CEO, Tim Cook, has offered to forego some of his possible future income, and the company has frozen employment in several departments.

Analysts don’t seem concerned that Apple would see employment losses comparable to those of Google, Meta, or Amazon, which collectively eliminated 23,000 positions, 10,000 jobs at Microsoft, 18,000 jobs at Amazon, or 10,000 jobs at Microsoft. Layoffs. FYI, an industry tracker, estimates that 235,596 employees lost their jobs overall in the tech sector in the previous year.

Oppenheimer analysts stated in a note published late last year that they “saw enormous value in the Apple ecosystem and its ability to monetize its user base,” after detailing how short-term supply constraints would negatively impact Apple’s bottom line. Wall Street jargon for this is that they think Apple will discover methods to increase revenue from customers who currently purchase its goods, such as through its $7 monthly Apple TV Plus subscription service. “We continue to have an optimistic long-term outlook on Apple.”