Apple’s revenue may fall for the first time in four years, the effect of declining demand

Quarterly revenue for Apple, the US company that makes the world’s popular iPhone, may decline for the first time in nearly four years. Apple has been hit by a decline in demand due to Corona-caused restrictions in China and a reduction in production due to unrest by workers at contract manufacturer Foxconn’s largest factory in China.

Investors will be interested to know what steps CEO Tim Cook is taking to increase demand. Due to the difficult state of the economy, many tech companies have laid off large numbers of workers. However, Apple hasn’t taken that step as the company didn’t do a lot of hiring during the pandemic. Advisory firm Cowen says supply chain challenges have lessened. However, demand for the company has declined due to other reasons. This year, there may be a decline of about two percent in iPhone sales.

Quarterly results can be announced on Thursday by Apple, the world’s most valuable publicly traded company. The last reduction in the company’s iPhone sales was during Corona. UBS analysts estimate that iPhone sales could be higher in the US than in China and Europe. China and Europe have been hit by Corona and the war between Russia and Ukraine.

Apple has increased iPhone manufacturing in India as well as exports. The company has exported $1 billion worth of phones from the country in December. In India, the iPhone is assembled in the factories of Apple’s contract manufacturers Foxconn and Wistron. Apple has set itself a goal of increasing India’s share of total iPhone production to 25 percent. For the company, this figure is currently around seven percent. Apple began assembling the iPhone in the country a few years ago through its contract manufacturer Wistron. China is Apple’s manufacturing center. However, Apple manufacturing in China took a big hit last year due to restrictions and other difficulties due to Corona.

(This news has not been edited by the NDTV team. It is published directly from the syndicate feed).

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