Falling sales, Apple cuts iPhone prices in China

Apple's difficulties in China have been written about many times in recent months. Especially those related to the sales of the iPhone 15, forced to reckon with Beijing's ostracism but above all with the arrival on the Chinese market of high-performance competing products (above all the smartphones launched by Huawei and Xiaomi).

All these difficulties are weighing on Apple, even on the stock market where the share price has lost momentum. Hence the Cupertino giant's decision to launch a rare iPhone discount campaign in China. According to Reuters, in fact, Apple has cut retail prices by up to 500 yuan ($70) amid growing competitive pressure in what remains the world's largest smartphone market.

The US technology giant has cut the prices of some iPhones by 5%. A limited-time promotion (it will last from 18 to 21 January) in view of the Chinese festivities in mid-February.

Sales of Apple's latest iPhone 15 series were far below those of its predecessor models in China. As mentioned, local rivals - such as Huawei and Xiaomi - brought very competitive models to the market. All this while companies and government departments have restricted staff use of Apple devices in response to US government restrictions on Chinese apps for security reasons.

In the first week of 2024 alone, iPhone sales in China dropped by 30 per cent compared to the same period last year, according to analysts at Jefferies. And the forecasts are by no means optimistic.