Apple is also collaborating with Alibaba to enhance its Apple Intelligence rollout in China, aiming to regain market share lost to local competitors like Huawei and Vivo. Despite reporting its "best quarter ever," Apple missed iPhone revenue expectations for the first fiscal quarter, with net sales of $69.1 billion falling short of the anticipated $70.7 billion. The company's revenue in greater China declined by 11% year over year. CEO Tim Cook highlighted better performance in markets with Apple Intelligence, suggesting the importance of AI features in driving sales.
Key takeaways:
- Apple is expected to release a new version of the iPhone SE, featuring the A18 chip, a full-screen OLED display, and Apple Intelligence capabilities.
- The new iPhone SE will reportedly lose its home button and resemble the iPhone 14, but will have only one rear camera compared to the three cameras on the iPhone 13 Pro and 14 Pro.
- Apple is partnering with Alibaba to support the rollout of Apple Intelligence in China, aiming to regain smartphone market share lost to local competitors.
- Despite having its "best quarter ever," Apple missed iPhone revenue expectations for the first fiscal quarter, with greater China revenue down by 11% year over year.