Tag Archives: Ericsson

More than 50% of Apple`s revenue comes from the iPhone sale and Service is a growth sector

More than 50% of Apples revenue comes from the iPhone sale, but for how long will that last? Its dangerous for a company like Apple to think it will last for the next hundred years, and that`s probably why CEO Tim Cook have targeted service as a growth sector.

Iphone is still a very important product for Apple and therefore it will be much talked about, but other products are also good and should be one the plan. Service revenue from iCloud, the App Store and Apple Music can all grow in the future.

We know the evolution of the mobile phone industry. The Swedish company Ericsson was hot during the 90s, before Finlands Nokia took over the throne, but it didn`t last forever. As you may know, Apple launched iPhone and have since then been the king of Smartphones.

Smartphones won`t last forever, and once those phones are “out”, Apple must be prepared and think fast. The way we use our phone as we know it today will change.

Apple`s market cap is $848,35 Billion and so far it has been a great ride for the last ten years. Their multi-hundred billion cash stockpile gives them a great opportunity to spend money on M&A, but also R&D.

Morgan Stanley thinks the company could increase the capital return program by $150 Billion. Earlier this year, Apple said it expects to pay $38 Billion taxes on what it plans to repatriate, implying it will bring back nearly all of its $250 Billion in overseas profits.

The Street are concerned about the iPhone X sale and total revenue based on higher selling prices. Service are growing about 20% YoY, but the revenue from iPhone X can be worse than investors like to think.

The newest generation of iPhones is not as good as the iPhone 7 has a year earlier. Maybe it is because of a stiff price or maybe consumers go for a cheaper phone?

Shares of Apple are flirting with 200 MA and after a jump of nearly 2 percent on Monday it will be interesting to see if the results on Tuesday will send the stock in the bullish territory or down again.

Apple Inc is expected to report earnings on 1 May 2018, after market close, and the report will be for the fiscal Quarter ending March 2018. Earnings for the quarter is $2,69 which is better than last years $2,1.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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iPhone is now 10 years old and on January 9, 2007 Steve Jobs unveiled a product that changed the world

iPhone is now 10 years old. On January 9, 2007 Steve Jobs unveiled a product that changed the world. A few months later, on June 29, 2007 iPhone made its way into stores. Apple have changed dramatically since then.

Since the first generation iPhone first began selling on June 29, 2007, Apples market Cap has grown from $104,3 Billion to $760 Billion. Growing from the 26<sup>th</sup> largest company on the S&amp;P 500 to the 1<sup>st</sup>. Shares of Apple have soared 744% since the iPhones debut.

 

 

Apple has sold just over 1,2 Billion iPhones in the last 10 years.

Earlier this week the European Commission fined Google a $2,7 Billion, claiming it denied other companies the chance to compete on the merits and to innovate. They also claimed that Google denied European consumers a genuine choice of services and the full benefit of innovation.

What Europe should do is stop complaining and start to innovate. If there was a better search engine out there they will have competed with Google. The same can be said about the smart phone market too.

I acquired my first mobile phone in 1992 and it was a Ericsson which is a multinational networking and telecommunications equipment and services company headquartered in Stockholm, Sweden.

The company had a 35% market share in the 2G/3G/4G mobile network infrastructure market in 2012. They were ruling the smart phone market in the early 90`s, but something happened.

Nokia from Finland came into the market and ruled the world with their new smart phones from 1998 to 2012. That`s 14 years on top. Not bad for a company founded by Knut Fredrik Idestam in 1865.

Keep in mind that both are European companies, but something happened.

Steve Jobs changed the world 10 years ago, on June 29, 2007. He launched Apple`s iPhone which is celebrating a 10 year anniversary. In 2007, iPhone 2G were launched with a 16GB storage and 8-hour battery.

Ten years later, iPhone 7 Plus were launched with a 256GB storage and 21-hours battery. Microsoft CEO Steve Balmer said on April 29, 2007, that “There`s no chance that the iPhone is going to get any significant market share. No Chance.”

For how long will Apple continue to stay on top?

 

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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