Report Overview

Cut-price iPhones: Apple’s innovative approach

Apple’s iPhone launch event was relatively light on iPhone, which shared the stage with games, TV, Watch, iPad and retail announcements
This reflects Apple’s developing priorities: as iPhone sales soften, it needs to find new ways to extract value from the wealthy user base it has spent a decade nurturing
Apple has embraced this new strategy, offering a range of cheaper points of entry into its ecosystem, making the lost profits back on accessories or content subscriptions



Apple’s flywheel: an iPhone sale is just the beginning

Apple TV+

List of charts/tables

Figure 1: Apple revenue by segment, 12m tracking ($bn)

Figure 2: YoY change in revenue by product (12m ending Q3 2019, $bn)

Figure 3: Base iPhone model prices ($)

Figure 4: Apple gross margin by segment

Figure 5: Stages of Apple TV+ productions

Figure 6: Apple TV+ production slate