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Apple beats sales expectations on iPhone, services, China strength – Yahoo News Canada

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By Stephen Nellis

(Reuters) -Apple Inc said on Tuesday that a global chip shortage that has bit into its ability to sell Macs and iPads will start to affect iPhone production and forecasted slowing revenue growth, sending its shares lower.

Apple executives said revenue for the current fiscal fourth quarter will grow by double-digits but be below the 36.4% growth rate in the just-ended third quarter. Growth will also slow in Apple’s closely watched services business, they said.

In a conference call with investors, Apple executives also said that while the impact of the chip shortage was less severe than feared in the third quarter, it will get worse in the fourth, extending to iPhone production.

Shares of Apple, whose valuation has more than doubled in about three years to nearly $2.5 trillion, were down 1.7% to $144.24 in after-hours trading after the call.

Earlier in the day, Apple reported third-quarter sales and profits that beat analyst expectations as consumers bought premium versions of its 5G iPhones and signed up for its subscription services. China sales grew 58% to $14.76 billion in the quarter, which ended June 26.

Driven by the better-than-expected iPhone sales, total revenue hit $81.43 billion, above analyst expectations of $73.30 billion, according to IBES data from Refinitiv. Apple’s profits were $21.74 billion, or $1.30 per share, above estimates of $1.01 per share, according to Refinitiv.

During the investor call, Chief Executive Tim Cook said that chips affected by the shortages are made with older technology but are still needed as supporting parts to make the company’s flagship device, the iPhone.

“We do have some shortages,” Cook said, “where the demand has been so great and so beyond our own expectation that it’s difficult to get the entire set of parts within the lead times that we try to get those.”

Cook declined to predict whether the shortages would last into Apple’s fiscal first quarter, when it typically sees its biggest iPhone sales. Angelo Zino, an analyst with research firm CFRA, said Apple could be stockpiling chips for its next generation of phones to the detriment of current models.

“Apple will want as many chips as it can get its hands on,” Zino said. “But when you couple that with the existing supply constraints, Apple is likely going to have a more difficult time meeting demand this year.”

Apple had told investors last quarter that the chip shortage could hold back sales by $3 billion to $4 billion.

In an interview on Tuesday, Cook told Reuters that the hit to overall revenue in the third quarter was “lower than the low end” of its previously forecasted range.

CHINA, 5G

Apple’s strongest sales growth came from China, where Cook told Reuters that customers are buying up accessories such as the Apple Watch to pair with their iPhones.

“It wasn’t just iPhone. We set a new quarterly record for Mac, for wearables, home and accessories, and for services” in China, Cook said. “It was our strongest geography.”

Upgrading for 5G appeared to be driving a better buying cycle for iPhones than many analysts expected. Apple said iPhone sales were $39.57 billion, up nearly 50% from a year earlier and above analyst expectations of $34 billion.

Cook told Reuters that Apple’s iPhone 12 Pro and 12 Pro Max, the premium tier of the device, were strong sellers. That helped pushed gross margins to 43.3%, above estimates of 41.9%, according to Refinitiv.

On the conference call, he said 5G adoption is in its early stages of deployment in many countries around the world. Some analysts wondered whether that means the boom in 5G iPhone sales won’t last – consumers may buy a phone ahead of time and keep it until the service rolls out. Other analysts believe that means Apple can keep riding the boom.

“The low 5G penetration is a reminder that the best is yet to come for the company’s 5G iPhones,” said Tom Forte, an analyst at D.A. Davidson & Co.

The other major driver of Apple’s results was its services business, which includes paid subscriptions for television and music as well as its App Store. Services revenue reached a record high of $17.49 billion, up by a third from a year earlier and above analyst expectations of $16.33 billion. Cook told Reuters that Apple now has 700 million subscribers on its various platforms, up from 660 million a quarter earlier.

Chief Financial Officer Luca Maestri told investors that services growth will slow, however.

“We expect still-significant growth in services but not to the level that we’ve seen in June,” he said on the call.

Cook said Apple set quarterly sales records in many of its first-party services, including its AppleCare hardware insurance plans, which had slowed somewhat during the pandemic when many of the company’s retail locations were closed.

Sales of iPads and Macs were $7.37 billion and $8.24 billion, compared with analyst expectations of $7.15 billion and $8.07 billion, according to Refinitiv data.

(Reporting by Stephen Nellis in San Francisco and Danielle Kaye in New York and Subrat Patnaik in Bengaluru;Editing by Sonya Hepinstall)

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Why did Apple change the camera position on the iPhone 13? – The Next Web

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Aesthetically, the iPhone 13 is similar to last year’s model — apart from one key element: the camera placement.

The iPhone 12 had vertically stacked lenses. On the iPhone 13, these are now diagonal. So, here’s the question we’re going to answer today: why?

In my mind, there are two key reasons Apple has changed the iPhone 13 lens placement — and you can split these into technical and marketing.

The technical reason for the diagonal camera layout on the iPhone 13

I’m beginning with this because I believe it’s the biggest reason for the design change.

Now, one of the new features introduced with the iPhone 13 and iPhone 13 mini is something called “sensor shift image optical stabilization.”

This appeared in the iPhone 12 Pro models last year and is effectively a mechanism that moves the lens to help you get steadier shots. Think of it as a counter to the slight movement your hands make while you’re taking a photograph.

When Apple announced the iPhone 13, they showed the sensor shift image optical stabilization in action:

Watch this GIF a few times. Notice anything? About the size of the housing?

It’s plain to see that, comparatively, the sensor shift image optical stabilization hardware is large. In fact, it takes up a huge chunk of camera bump.

It’d be technically impossible to fit the mechanism in while keeping the vertical camera layout of the iPhone 12. Making the lens placement on the iPhone 13 diagonal is an elegant solution.

The other option would be changing the location of the camera bump altogether, potentially to the middle of the phone. But this would not only alter the iPhone 13‘s aesthetics, but it would also make a lot of accessories useless too.

That, friends, is the technical reason Apple has made the iPhone 13 cameras diagonal.

The marketing reason for changing the camera position on the iPhone 13

While I think this argument has legs, I don’t think marketing was a direct force for the change. Instead, it’s something that likely supported the shift.

Basically, the iPhone 13 is very similar to the iPhone 12. The upgrades, including things like a smaller notch, brighter screen, and a bigger battery, aren’t exactly attention grabbing,

These aren’t bad updates per se, but they’re expected, not lusted after.

Here’s a picture of the iPhone 13 phones to help break up this damn waffle.
apple iphone 13

Really, the biggest point of differentiation for the public at large is the new diagonal camera layout. It’s a clear way to signal that you’re in possession of the latest device and is an excellent marketing tool to encourage people to upgrade.

This is also partly the reason why the change has been mocked. For those outside the tech bubble, changing the iPhone camera layout seems like solely a cheap trick to increase sales. Which is a half truth.

Ultimately,  the new camera placement on the iPhone 13 is a technical solution that also delivers some marketing ammunition. Which is either lucky, clever, or, well, both.

There we have it! Two solid reasons why Apple has changed the position of cameras on the iPhone 13.

Did you know we have a newsletter all about consumer tech? It’s called Plugged In – and you can subscribe to it right here.

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Apple Online Store Down Ahead of iPhone 13 and 13 Pro Pre-Orders – MacRumors

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Apple’s online store is down ahead of iPhone 13 mini, ‌iPhone 13‌, iPhone 13 Pro, and ‌iPhone 13 Pro‌ Max pre-orders, which are set to begin at 5:00 a.m. Pacific Time in the United States.


“You’re… early,” reads the Apple Store message when attempting to visit the U.S. website. “Pre-order begins at 5:00 a.m. PDT. Enjoy the extra sleep.” Apple used to do new device pre-orders at 12:01 a.m. Pacific Time, but since 2019, has been holding iPhone pre-orders at 5:00 a.m.

The ‌‌iPhone 13‌ mini, ‌iPhone 13‌,‌ ‌iPhone 13 Pro‌, and ‌iPhone 13 Pro‌ Max are launching in more than 30 countries and regions around the world, and a full list of launch times can be found in our time zone guide.

All of the new ‌iPhone 13‌ models are nearly identical in design to last year’s iPhone 12 models, featuring flat edges, an aerospace-grade aluminum enclosure, a glass back, and a slight increase in thickness.

Key features across the ‌iPhone 13‌ lineup include a faster A15 Bionic chip, camera improvements, longer battery life, and a smaller notch. The two Pro models also feature a ProMotion display with a variable refresh rate up to 120Hz. The ‌iPhone 13‌ models are available in Pink, Blue, Midnight (black), Starlight (silver/gold), and (PRODUCT)RED.

If you’re hoping to get one of the models in the ‌new ‌iPhone 13‌ lineup on launch day, it’s a good idea to purchase early because there’s no word on how much supply Apple will have.

Pricing on the ‌iPhone 13‌ mini starts at $699, while pricing on the ‌iPhone 13‌ starts at $799, the ‌iPhone 13 Pro‌ starts at $999, and the ‌iPhone 13 Pro‌ Max begins at $1099. The official launch, when pre-orders will be out for delivery, is next Friday, September 24.

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The new iPad Mini seems great even if you love Android – Android Central

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Source: Apple

I’ve been an Android user since the first day the first Android phone became available, and I’ve been through many different devices. Of course, like many of you all, I’ve also owned and used iPhones, BlackBerrys, Windows phones, and all the rest of the “cool” tech because I just love cool tech.

I’m also very much a small phone guy because one of the most important things to me is how easy it is to carry something that basically lives inside my pocket. One of the reasons the Galaxy S21 is one of the best Android phones is because it’s not gigantic, for example. The only time I wish my phone were bigger is when I want to veg out and just consume.

I just want to consume.

That’s where tablets shine. Watching videos or playing games on something with a much larger screen is just better, ya know? Yes, I can use my phone and do those same things, and I won’t try to say it’s a bad experience because it’s not. It’s just not as good. I’ve been thinking about getting a smaller tablet to try it again, and Apple might just have shown me what I want in the 2021 iPad Mini.

No, I’m not some sort of “traitor” to the Android ecosystem because I owe zero allegiance to any tech company. I like the way Android works better than iOS does, but that’s just me, and plenty of people feel differently. But I don’t run out and buy a thing because some tech company made it. Every company needs to work for my dollars. And since Google is unwilling to remake the Nexus 7 with great new specs, I don’t have a “favorite” tablet brand.

Nexus 7

Nexus 7Source: Android Central

I want a tablet for all the wrong reasons, according to the companies that make them. I have no desire to replace my PC or Chromebook with a Pro tablet. I’m not going to replace my phone with a cellular tablet just because it can make calls and get messages. I like the phone and Chromebook I use, and don’t see how a tablet can replace either.

Since Google isn’t going to remake the Nexus 7, the iPad Mini might be the best substitute.

But the right tablet can tempt me, so long as it’s on the smaller side. I have a Pixel Slate here if I wanted to use a ginormous heavy tablet, and because it has a desktop browser, it’s going to be better at doing many of the things I want a tablet to do. It needs to be plenty powerful enough to play HD video without sputtering and have Wi-Fi that’s strong enough to keep up. A few cool games are a plus, too. My tablet would be just for fun and not at all for work.

I’ve thought about foldables here, too. Something like the Galaxy Z Fold 3 could work, but I’m not yet sold on how the phone side of things play out. Maybe in a couple of years, but now I think I would end up spending twice as much on a device that I would only use as a tablet. Not an ideal situation for my wallet.

I basically ignored all the talk about how artists and professionals love the iPad Mini, but what I did pay attention to has me thinking it might be the one. The power is there — forget all the XX% faster marketing stuff, but I’ve seen enough from Apple to know the Bionic SoC platform is going to handle things. The size is right, and even the $500 price tag isn’t insane like many other Apple devices are.

Samsung Galaxy Z Fold 3 S Pen Taking Notes

Samsung Galaxy Z Fold 3 S Pen Taking NotesSource: Nick Sutrich / Android Central

Mostly though, it’s the ecosystem. Yes, that word gets tossed around a lot, and sometimes my brain goes numb after hearing it, but this is one place where everything can work great for me. All of Google’s services work well on iOS, so I know I’ll have the experience I want from Google Photos or YouTube, and Apple does a great job at filling in the rest.

Say what you will about Apple’s way of doing business, but the App Store has plenty of great tablet apps.

Yeah, Apple’s walled garden sucks. Ask anyone who wants to play Fortnite on a new iPad Mini about that if you want another opinion, and I’m not a fan of a company trying to tell me what I can do with something I paid money to buy. But I can’t deny that Apple has its shit together when it comes to tablet apps, and chances are I would find a few I would want to install. Google could learn a lot here.

I think an iPad Mini would complement my Android phone and my other tech in the right ways. I’m not rushing out to preorder one just yet, and I’ll wait to read some reviews before I whip out the plastic. I’d also recommend any Android or Chrome user as interested in the iPad Mini as I am to do the same thing.

I’ve talked to a lot of you guys who use an iPad along with your Android phones, and I think I get it now. I’m not going to write it off just because it’s from that fruit company. It might be what a lot of Android folks just like me are looking for.

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