Sign up to save your podcasts
Or
Share Why the iPhone still rules. For now.
Share to email
Share to Facebook
Share to X
Share to email
Share to Facebook
Share to X
Or
Why the iPhone still rules. For now.
Now we have the Vision Pro announcement out of the way, and all the iOS17 launch stuff too, attention will linger on processing that for a while. But then, it’s eyes on September and all the leaks leading up to the launch of the iPhone 15.
Here’s why this still matters more than the Vision Pro
Replacing the iPhone with the Vision Pro headset would be unthinkable for Apple for at least another 5 years at the earliest. The iPhone makes up half of the company’s profits and is one of the most lucrative products in tech.
Even though iPhones only account for less than 20% of all phone sales, it still makes up to three-quarters of the industry's profits.
The iPhone is a dream product with huge brand value. Recreating this prestige would be a massive undertaking.
But there’s even bigger value that the iPhone brings Apple. Right now, Apple's transitioning into a services company to make money from monthly subscriptions. The iPhone keeps working its magic, getting more people to subscribe.
Apple services like Apple Arcade, Apple TV+, Apple Fitness+, Apple Music, etc. are growing in importance to keep people committed to the Apple ecosystem. The iPhone provides a doorway into that ecosystem.
Factoring in inflation, iPhones are actually becoming more affordable, letting more people join the Apple ecosystem and sign up for Apple services. The Vision Pro is way too pricey at $3,499 to draw in many new users.
The iPhone is essential for the Apple ecosystem. Apple products like AirPods, Apple Watch, AirTag, MacBooks, iPads, HomePod, etc - all made to work with the iPhone. It really is the heart of Apple.
Yes, the Vision Pro seems super-immersive and intuitive too. App developers may innovate with the technology to offer new experiences for productivity, entertainment, gaming and networking. But as an apex device at the top of the chain, the Vision Pro will still be dependent on the beating heart of Apple bringing in new cash, and pumping it through the ecosystem.
That heart is still the iPhone, and it has a way to go yet.
A+ Report is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber.
Get full access to A+ Report at aplusreport.substack.com/subscribe
View all episodes
By Sarb JohalNow we have the Vision Pro announcement out of the way, and all the iOS17 launch stuff too, attention will linger on processing that for a while. But then, it’s eyes on September and all the leaks leading up to the launch of the iPhone 15.
Here’s why this still matters more than the Vision Pro
Replacing the iPhone with the Vision Pro headset would be unthinkable for Apple for at least another 5 years at the earliest. The iPhone makes up half of the company’s profits and is one of the most lucrative products in tech.
Even though iPhones only account for less than 20% of all phone sales, it still makes up to three-quarters of the industry's profits.
The iPhone is a dream product with huge brand value. Recreating this prestige would be a massive undertaking.
But there’s even bigger value that the iPhone brings Apple. Right now, Apple's transitioning into a services company to make money from monthly subscriptions. The iPhone keeps working its magic, getting more people to subscribe.
Apple services like Apple Arcade, Apple TV+, Apple Fitness+, Apple Music, etc. are growing in importance to keep people committed to the Apple ecosystem. The iPhone provides a doorway into that ecosystem.
Factoring in inflation, iPhones are actually becoming more affordable, letting more people join the Apple ecosystem and sign up for Apple services. The Vision Pro is way too pricey at $3,499 to draw in many new users.
The iPhone is essential for the Apple ecosystem. Apple products like AirPods, Apple Watch, AirTag, MacBooks, iPads, HomePod, etc - all made to work with the iPhone. It really is the heart of Apple.
Yes, the Vision Pro seems super-immersive and intuitive too. App developers may innovate with the technology to offer new experiences for productivity, entertainment, gaming and networking. But as an apex device at the top of the chain, the Vision Pro will still be dependent on the beating heart of Apple bringing in new cash, and pumping it through the ecosystem.
That heart is still the iPhone, and it has a way to go yet.
A+ Report is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber.
Get full access to A+ Report at aplusreport.substack.com/subscribe