China iPhone fan base a ‘powder keg’ primed to upgrade for new series
Apple’s earnings missed expectations this time last year on a 26% decline in China sales, but this cycle may be an opportunity for iPhones to rebound in the market
Cowen group analyst Timothy Arcuri is betting on the new iPhone series to have a good year in China, writing Wednesday that a massive base of customers ready to upgrade in China is poised to create a “powder keg.”
A rebound in China sales could be just what Apple needs, following the downturn reported this time last year when the company missed earnings estimates on a 26% drop in China sales.
The company has also made moves to improve public relations in the country with investments including a commitment of more than US$500 million in R&D in the country and a high-profile meeting with Premier Li Keqiang.