
Apple's Growing Bet on Hardware - mercutio2
https://www.aboveavalon.com/notes/2017/12/20/apples-growing-bet-on-hardware
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bartart
Hardware in general seems to become more commoditized. In China Apple has lost
market share to local firms that produce cheap phones with good specs. And
most people there spends a lot their time in WeChat anyway so the phone's OS
isn't as important.

As this commoditization happens over time, hardware also seems to reach a
point of just being good enough. You can see this today with people deciding
that their iPhone 6 is good enough and they don't need an iPhone X.

Apple obviously realizes this and is trying to diversify its revenue with
increased growth in its services area, but a lot of those services are
directly tied to its iPhone. If people buy fewer new iPhones that is bad for
Apple, and if people buy a cheaper competitors' phone that is doubly bad for
Apple because it doesn't get services revenue from that person either.

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submeta
> hardware also seems to reach a point of just being good enough

Good enough. That's the key. I too didn't replace my 6s Plus. Because it does
all the things I need. And runs all the apps I use (Evernote, browser, photos,
many more).

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Odenwaelder
Apple isn’t a hardware company?

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bwldrbst
I know... it's pretty hard to continue reading when the first statement is
obviously false.

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thisisit
Normally there is a lot of doubt surrounding whether Chinese manufacturer can
be trusted with the IP/design etc. Any insights on how Apple is able to ensure
this for so many years?

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mafro
Apple has _always_ been a hardware company.

