Just about three months ago, the California tech-giant was enjoying a smooth ride with profits coming in, constantly; considering the fact that it was also the most valued company on the planet, last year. But since October 2018, the freefall of its revenues has generated a lot of ‘negative buzz’ among the analysts, the investors, the consumers, and also those who are the admirers of Apple Inc. in one or the other ways.
Apple has so far lost $450 billion of revenue since October, which is more than even the ‘overall value of social networking giant Facebook’. The total value of Facebook is about $383.76 billion. Well, FB’s total worth is also more than the total GDP of some countries like Iran, Norway, and Austria!
Now, you can imagine how big the loss is for Apple, even taking into account that it’s still got a lot of money and will probably make up for the losses very soon.
On Thursday, the iPhone maker’s stocks fell by 9.96%.
Way back, three months ago, on October 3rd, 2018, when Apple hit a peak of $232.07 per share, it gained a market cap of $1.16 trillion. But now, it just dropped to a low of about $142.19 per share (new results may vary from the article’s figures), clearing out a massive amount of $450 billion from its revenue. And on Thursday, January 3rd, Apple’s market cap was standing at $710.97 billion, as per the reports of Macrotrends.
And now Apple has also lost its position as world’s third most valuable company to Google’s Alphabet.
Apple has been struggling to maintain its aura for a while now and many experts are saying that to boost the revenues further and by a large number, Apple should also try to enter the budget-flagship or budget range of smartphones, as per the current trend. But that, for now, seems unlikely since Apple is a luxury phone making brand and always keeps the priority very high for the value of its products.
But it needs to understand the changing scenario in the markets currently, across the globe. If it keeps going like this then brands like OnePlus and Xiaomi will eventually end up becoming the true ‘smartphone profit makers’.
It looks like a state of a ‘slight’ emergency for Tim Cook and his team to sustain the company’s growth, just like it was moving three months ago.
Even the famous tech YouTube channel Unbox Therapy also came up with a video recently, discussing how Apple should move ahead if it has to live up to the fast-growing trends. Lewis Hilsenteger, who runs the channel, also talked about Apple’s recent decision to make the iPhones in India, in 2019.
Source: Business Insider