Apple, a representative IT company of the United States that produces iPhones, conspicuously downgraded its quarterly sales outlook Wednesday for the first time in 15 years. Insecurity within the financial market that the U.S.-China trade war and economic slowdown in China is becoming realized is growing bigger again.
Apple CEO Tim Cook adjusted the company’s performance outlook (guidance) by 5 to 9 percent for the fiscal first quarter of 2019, which ended on December 29, 2018, from 89 billion-93 billion dollars to 84 billion dollars in a letter he sent to investors.
“While we anticipated some challenges in key emerging markets, we did not foresee the magnitude of the economic deceleration, particularly in Greater China,” Cook wrote in the letter. “Greater China, a region that includes the mainland, accounted for most of the revenue shortfall.”
The Greater China market take up some 20 percent of the total sales of Apple. Apple’s share in China’s smartphone market decreased from 12.5 percent in 2015 to 7.8 percent in September 2018.
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