Internal Apple Slides: Growth Rates Slipping, Consumers Want Cheaper Devices With Larger Screens

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Apple’s popularity is on the decline, and the company knows it. Internal documents from 2013 straight from the Cupertino company reveal that Apple is well aware of the company’s shortfalls. The slides were released as part of evidence in Apple’s ongoing patent battle with Samsung. Re/Code spotted the slides, which were submitted as evidence by Samsung.

According to Apple’s slides, consumers are gravitating to more affordable handsets, and ones with larger screens than the iPhone offers. The caption of one of the slides reads, “Consumers want what we don’t have,” followed by another slide which reads, “ growth rates are slowing.” It’s worth noting that the slides come from an April 2013 meeting, which was months before the iPhone 5S and 5C were released. Even with the success of the iPhone 5S, Apple’s decline in the consumer market is surely still relevant.

While Apple’s popularity may be on the decline, that doesn’t mean that the company is by any means dead and buried. In fact, Apple still makes incredible profits off of its iOS devices, and commands a huge presence in the mobile sphere. Many companies manufacturer Android smartphones, but only one company makes iOS devices.

So why the decline in Apple sales? Over the last couple of years, heavyweights such as Samsung, HTC and Sony have been pumping out some impressive smartphones, packed with features that best the iPhone in terms of processing power. The iPhone’s screen size isn’t helping things, either - Android handsets with screens bigger than 4.7 inches have become extremely popular as of late. Manufacturers such as Samsung, HTC and Nokia have upped their advertising budgets, targeting consumers with flashy, hip and silly advertisements.

And of course, pricing comes into play. Android and Windows Phone smartphones tend to come in way cheaper than iOS devices, appealing to those who are on a budget or just want to save a couple of bucks. That goes for carriers too – Apple devices command a bigger premium than Android devices do.

Based on the slides alone, I’d be willing to bet that Apple will unveil an iPhone 5S successor with a larger screen come this fall. We all know that Apple strives to release a “perfect” device every year, which has kept the company from increasing the size of the iPhone. But as the slides show, consumers want bigger screens, come hell or high water. If Apple’s next iPhone doesn’t deliver, the company could be in for a world of hurt.

via: TUAW , Re/Code

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