Apple Inc. has achieved remarkable milestones in its recent quarterly report, with China and India standing out as bright spots in an otherwise challenging period for the tech giant. Despite a third consecutive quarter of declining sales, Apple managed to secure an 8% revenue growth in China, which includes Hong Kong and Taiwan, reaching an impressive $15.7 billion. This achievement is notable given the difficult conditions in China’s smartphone market following the post-COVID economic turbulence.
One of the key factors behind Apple’s success in China was its ability to attract users who switched from Android alternatives offered by its major rivals, Xiaomi Corp. and Huawei Technologies Co. The company’s Chief Executive Officer, Tim Cook, highlighted the significance of these switchers and revealed that Apple set a record in iPhone sales for the quarter.
China’s smartphone market has been struggling amidst the economic downturn, experiencing shrinking shipments since the beginning of 2022.
While there is hope for a potential rebound in the fourth quarter when new devices are typically released, analysts predict the growth might not be as robust as anticipated.
On the other hand, Apple’s performance in India has been exceptional, with double-digit growth in iPhone sales reaching an all-time high. Although precise sales figures were not disclosed, the Indian market is increasingly becoming a focus for Apple. In recent years, the company has recognized the vast retail potential and the importance of India as a production base for its gadgets in the long run.
Apple’s revenue in India witnessed an impressive surge of nearly 50% in the year through March, reaching around $6 billion. With a strategic focus on the Indian market, Apple recently opened its first stores in the country and has plans to expand its network further as part of an Asia-wide expansion effort.
Despite these positive results in China and India, Apple faces challenges due to the industry-wide slump, which has affected the demand for phones, computers, and tablets. The company’s outlook for the current period is similar, with a prediction of relatively stagnant sales. Nevertheless, Apple’s ability to seize opportunities in emerging markets and attract customers from competitors demonstrates its resilience and strategic approach to global expansion.
