iPhone sale zooms by 56% in India, says Tim Cook as Apple reports revenue loss
New Delhi: For the first time in 13 years, Apple recorded a dip in its revenues. But not everything is as bad as it seems, and the Cupertino-based giant has some positive news to share as far as India is concerned.
In the earnings call, CEO Tim Cook highlighted that iPhone sales have grown 56 percent year-over-year in India. Cook compared India with China, which is Apple’s biggest market outside the US.
“India is where China was maybe seven to ten years ago,” Cook said during the earnings call.
Apple’s revenues in the second quarter stood at $50.6 billion, which has marked a 13 percent decline from the same quarter last year, and 33 percent from last quarter. Also the Net income for the last quarter went down from $13.6 billion to 10.5 billion.
But Apple managed to record over 50 percent rise in iPhone sales in India. Cook was not just pleased with the growth in India, but also mentioned the country’s role for Apple’s growth. “If you take a look at India, we grew by 56 percent, and we’re placing increasing emphasis in these areas, where it’s clear there will be disproportionate growth versus the more developed areas,” Cook was said during the earnings call.
Cook further said Apple will speed up its expansion in India with the fourth generation mobile internet services or LTE roll out, which will begin this year. He added that this will make mobile networks better and "unleash the power and capability of the iPhone in a way that an older network, a 2.5G or even some 3G networks, would not do."
Apple is also working on the retail distribution expansion in India and will take the iPhone to the smallest of shops. Cook said: "We've been working in India now for a couple of years or more, but we've been working with great energy over the last 18 months or so, and I'm encouraged by the results that we're beginning to see there, and believe there's a lot, lot more there."
Apple has recently working hard on the permission to open Apple Stores in India. It recently gave a presentation to a DIPP-led panel, and according to reports the company is close to getting permission to open stores in India without the 30 percent domestic local sourcing norms. It is also setting up a Rs 150 crore technology development center in Hyderabad.