Apple Inc. (NASDAQ:AAPL) clocked sales of 3.2 million iPhones in China, an increase of 0.5 million from a year ago. Investors are jubilant and send Apple to hit an all-time high of $310.33. According to CNBC, the sales of Apple iPhones in December 2019 in China have surged by 18%.
Apple struggles against low-cost Android Phones
Apple is facing intense competition from the sellers of low-cost Android phones in China. Its revenues are declined to $13.17 billion in China in 2019, a decline of $5 billion from the same period last year. In an interview with Josh Lipton of CNBC in January 2019, Chief Executive Officer of Apple, Tim Cook said its sales from iPhone are down by more than 100% and mainly in China. It shows that the economy is slowing down in the second half. The trade tensions between China and the US are causing a drop in the economy. However, the sales have staged a comeback in the recent period.
Market share of Apple drops in China
The market share of Apple in China has declined to 8% in Q3 2019 when compared to 9% from the same period last year. Huawei holds a lion share of 40%, followed by Vivo and Oppo. Dan Ives, an analyst with Wedbush, said a recent increase in iPhone sales show optimism. With upgrades to 5G and the recent positives in Asia indicates a bullish outlook for Apple in 2020. China is a promising market for Apple going forward.
A setback for Apple
The much-touted new project for Apple TV Plus hits a snag because Oprah Winfrey will not work as an executive producer for a documentary that focuses on sexual harassment in the industry. Amy Ziering and Kirby Dick are the creators of this documentary “rape allegations again music mogul Russell Simons.” The documentary is scheduled for publishing on Apple TV Plus. It is slated for a debut at the Sundance Film Festival on January 25, 2020.
Oprah stepped down from the documentary because of creative differences. She said a lot more work is to be done to show how the victims endured. Ziering and Dick said the film is on track for screening at Sundance Film Festival this month.