Apple Magic is a term used by Apple Fan Boys to Define Apple’s Innovation. When the power of Steve came together on 1 April 1976 in the garage of Jobs. A tech conglomerate was born. It might have had a humble born but it turned out to be the biggest and the most valuable tech giant in the business.
Look back in the times when Apple magic had lost and gained its Magic
Sure, it had a shaky past when Steve was removed from his title and was thrown out of the company. But sooner than later the executives came back to their senses and hired him back as their CEO and then now there was no looking back for the company.
The company went to released a few groundbreaking and industry revolutionizing products. Once tech was a perfect completion but they created a monopoly competition. They laughed the products where there was no close substitute like the iPads, iPhones, iPods, iMac. Sure, one can argue that iMac wasn’t innovation but isn’t it though.
Steve to Tim
After the demise of a legendary innovator sir Steve Jobs, the de-facto captain of the ship became Tim Cook. But after Jobs was gone company hasn’t produced the product which could be said that it’s a Jobs certified product or something jobs would have been proud of. So, in a way, Apple lost magic when it was started to be driven by Tim instead of Steve Jobs.
So, don’t get me wrong they have created some of the best laptops or iPhones but the foundation for all the products had already been laid down by Jobs. Apple started losing its magic when the products lacking the i-factor and rising prices of the products the sale started to decline and in an interview with CNBC, Tim Cook said that the reason for decline in the sale was not the increasing price but the reason was that the products were so good that people didn’t felt the need to upgrade in one year.
If really Tim that’s your go-to reason. There are many countries where iPhone goes for more than $1000 price point. Countries like:
Current Lawsuits on Apple:
When it comes to Apple, the company can be considered as a leader for lawsuits in their Sector.
Recently, Apple agreed to pay $27.4M (25M Euros) for failing to tell the iPhone users that Updates could potentially slow down their phones. This scandal actually saw the light back in 2017 where the critics accused the Tech Giant to force their users to buy phones sooner than necessary. Due to this, the French Prosecutors started an inquiry into the same in January 2018 at the request of the Halt Planned Obsolescence (HOP) association. The DGCCRF anti-fraud agency said in a statement, “iPhone owners were not informed that installing iOS updates (10.2.1 and 11.2) could slow down their devices”. This further proves facts on “Has Apple lost its magic’.
Apple Loses The Caltech Lawsuit
Apple Inc. and Broadcom Inc. were sued by Caltech Institute of technology for using its patents and infringing the same. As stated by Sources, Apple was on the trial for nearly $838 million of the damages awarded in the lawsuit that said Broadcom used its patented Wi-Fi data transmission technology in computer chips that went into iPhones, iPads, Apple Watches and other Apple devices.
These are not the only cases that apple is currently facing. This however in no way shows that Apple has Really lost the magic. Lawsuits happen when you operate at the Giant Level. You can find more such cases on Apple Insider.
Apple losing magic: Reduced Prices for New Launches:
Most noteworthy, Apple has recognized its past mistakes and has tried to cover up for the same as seen in the pricing of its iPhone 11. Apple also released a statement that said that it would launch a new low-cost iPhone in 2020.
Tim has understood that Apple has started to lose its magic needs to Tap into the mid-smartphone segment to survive in the long run.
Back in 2019, owing to reduced sales, Apple also slashed the pricing of its products by up to $150. Started losing the Apple Magic, eh?
VentureBeat Stated this in its article here. 2019 was a tough year for Apple, the world’s most valuable brand. In January 2019, it slashed its earnings forecast, erasing $446 billion in shareholder value.
Also Read: Xbox Failed in Japan
So, has Apple really lost its magic?
The times ahead for Apple
While the tech giant surely might be the most valuable brand of the world but the upcoming future cannot be so easy for Apple. With competitors like Xiaomi, Samsung gearing up its game and strategies, Apple should realize that Premium Tier can’t be the only segment that it can cater to.
However, that said Apple has a ton of resources and a lot of Patents in its Name that can help Apple earn in Millions, if not Billions, even if it considers of Shutting Down manufacturing for iPhones. So, accordingly, I would say that Apple has not really lost is magic at large, although it is losing some bits and parts of it.