{"id":654802,"date":"2024-11-07T00:00:00","date_gmt":"2024-11-07T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2024\/11\/07\/apple-says-its-most-lucrative-days-are-behind-it\/"},"modified":"2024-11-07T00:00:00","modified_gmt":"2024-11-07T00:00:00","slug":"apple-says-its-most-lucrative-days-are-behind-it","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2024\/11\/07\/apple-says-its-most-lucrative-days-are-behind-it\/","title":{"rendered":"Apple says its most lucrative days are behind it"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong>Apple recently warned investors that future products probably won\u2019t reach the <\/strong><strong>profitability heights of the iPhone. <\/strong>In the company\u2019s latest <a target=\"_blank\" href=\"https:\/\/www.sec.gov\/Archives\/edgar\/data\/320193\/000032019324000123\/aapl-20240928.htm\" style=\"\" rel=\"noopener\">annual report<\/a>, it acknowledged that the emerging ventures \u2014 like AI and VR \u2014 <a target=\"_blank\" href=\"https:\/\/www.ft.com\/content\/e30eb646-a7ad-496e-8fa4-ff1b4445e853\" style=\"\" rel=\"noopener\">may not yield returns<\/a> comparable to the iPhone, the tech giant\u2019s long-time key revenue driver. The company\u2019s statement noted that \u201cnew products, services, and technologies may replace or supersede existing offerings, and may produce lower revenues and lower profit margins.\u201d<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>(Tap or click the headline above to read this story with all of t<\/strong><strong>he links <\/strong>to external sources.)<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Apple\u2019s trying to catch up with the AI industry. <\/strong>The company has rushed headlong into the field with large investments to compete with companies like Google and Meta, which were quick to jump on the bandwagon after OpenAI. While this signals a pivot in strategy that investors were awaiting with bated breath, it also carries financial uncertainties demonstrated by early adopters. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The long-term revenue generation of the iPhone:<\/strong> The concern is that iPhone\u2019s high margins are bolstered by services like subscriptions and cloud storage that allow the product to provide continuous revenue, whereas Apple has yet to monetize its AI features \u2014 which are still rolling out \u2014 independently.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>They\u2019re facing some potential penalties as well. <\/strong>Sources have confirmed that Apple may face fines for intentionally stifling developers\u2019 ability to promote cheaper offers outside the App Store. These fines could permanently impact its lucrative services sector, according to <a target=\"_blank\" href=\"https:\/\/www.ft.com\/content\/e30eb646-a7ad-496e-8fa4-ff1b4445e853\" style=\"\" rel=\"noopener\">FT<\/a> <strong>.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Apple\u2019s future products probably won\u2019t reach the profitability heights of the iPhone<\/p>\n","protected":false},"author":1,"featured_media":654803,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7215],"tags":[184,633,638,639],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-654802","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-for-your-commute","tag-apple","tag-enterprisepm","tag-for-your-commute","tag-technology","wpautop","entry"],"acf":{"mongo_id":"4ce08eeb-da2f-405a-aeda-db249907b65d","order":"3","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2024\/11\/681.jpg","photo_position":"above","homepage_title":"","full_issue_title":"","related_issue":[654798],"teaser":"Apple\u2019s future products probably won\u2019t reach the profitability heights of the iPhone","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2024\/11\/.5ed1bcf2-f11a-4028-a1c8-51626de87561.mp3"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - 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