Apple's $29 Battery Replacements Could Result in 16 Million Fewer Sales [Report]

Apple's $29 Battery Replacements Could Result in 16 Million Fewer Sales [Report]

Posted by · 5845 views · Translate
Apple's lowering of battery replacement costs could result in fewer sales this year, according to a Barclays investor note via CNBC.

The company recently launched a $29 battery replacement program after admitting that it been secretly slowing down devices as their batteries aged.

"While this is a good PR move for Apple to resolve the issue, we are concerned it could be a mild headwind for iPhone unit sales if more iPhone users decide to take the offer instead of upgrading to a new device," Barclays said.

It's estimated that 77% of iPhone users are eligible to upgrade their battery.

"In our base case scenario, 10% of those 519M users take the $29 offer, and around 30% of them decide not to buy a new iPhone this year. This means around 16M iPhone sales could be at risk, creating ~4% downside to our current revenue estimate for C2018."

Barclays is neutral on AAPL and believes that Wall Street is "too optimistic about the iPhone X super cycle"; however, it notes that the new tax law and Apple's growth in services are positives.

Read More


Apple's $29 Battery Replacements Could Result in 16 Million Fewer Sales [Report]
Fred - January 6, 2018 at 10:41am
Really bad Apple! I bet there is the same shit with iPad Mini! I have noticed it!
Saurik - January 5, 2018 at 9:38pm
You Android junkies have to be really high to compare Apple's battery issue to Samsung's. Samsung's batteries threatened people's lives, while Apple helped people out but is accused of not being 'transparent enough.' What a crock.
Vida - January 4, 2018 at 5:05pm
Wow , business and this country is amazing , they worry about a drop on sell , when they fuckUpBigTime
iSheep - January 4, 2018 at 4:07pm
Samsung lost 1.5 plus Billion and even scrapped their Samsung Note 7 because of their exploding batteries. Let see how Apple fairs out from this. #BatteryGate - #ChipGate - #iOsGate - and #WhatTheFckElseTheirDoingToOurDevicesGate! :-P
iSheep - January 4, 2018 at 3:52pm
When they say bad publicity is good publicity, this isn’t one of them! Lol
12 More Comments
Recent