Sales of Apple products have declined across almost all countries

According to the latest reports from the tech giant, Apple sales have declined in nearly all global markets. In the first quarter of this year, demand for its smartphones decreased by over 10%, with sales dropping across every geographic region except Europe. Despite this, the company’s overall revenue fell by 4% to $90.8 billion, the largest decline in over a year. However, the results were better than anticipated, leading to a rise in Apple’s share price in after-hours trading in New York.

Apple attributed the sales slump partly to Covid-related supply disruptions, which boosted sales during the same period last year. It expects sales to rebound in the coming months, citing upcoming product launches and investments in artificial intelligence (AI). In the critical greater China market, overall sales dipped by 8%, though iPhone sales in mainland China saw an increase.

CEO Tim Cook expressed optimism about China’s long-term prospects despite increased competition from local rivals like Huawei. Analysts noted that while homegrown brands like Huawei perform well in China, Apple’s iPhone maintains an edge in terms of features, functionality, and prestige.

Apple’s struggles contrast with the broader smartphone market, which experienced a 10% increase in shipments during the first quarter, according to research firm Canalys. Analysts attribute Apple’s challenges partly to the lack of significant improvements to its handsets since the launch of the iPhone 12 nearly four years ago, which introduced 5G connectivity.

Looking ahead, Apple is banking on the release of the iPhone 16 later this year, hoping that new AI features will drive a significant upgrade cycle among consumers.