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> Budgeting $69-99 once every 3-4 years hardly seems like it's going to nuke their business from orbit. Apple's business model partially depends on selling peo
by meragrin_ 2y ago
> Budgeting $69-99 once every 3-4 years hardly seems like it's going to nuke their business from orbit.
Apple's business model partially depends on selling people a new phone every few years. If people switch to battery replacements in place of new phones in large quantities, that is going to significantly hurt their business model.
- acdha 2y agoApple makes a ton of money from services: https://www.statista.com/statistics/382136/quarterly-segments-revenue-of-apple/ https://www.statista.com/statistics/382136/quarterly-segment... That’s not an accident, they spent a lot of effort building up their portfolio when this trend was obviously unavoidable. They’d love it if you buy a new phone every year but they’re almost as happy if you keep the same phone for 5 years, buy apps, and subscribe to Apple One. One of the really big questions is what impact the EU DMA will have on this strategy: a lot of what’s kept them ahead of Android on things like CPUs is the geyser of App Store cash stabilizing revenue for long-term commitments.
- wooger 2y agoInterestingly, it was recently revealed that 22% of their services income is comprised of payments from Google to keep their search engine as the default in iOS / Safari. Soon to disappear given the antitrust case.
- szundi 2y agoIf this becomes the dominant source of revenues, it makes sense for them to make the phone more repairable and to have a longer lifetime - but then this dominance have to really show, otherwise it is a future revenue instead of a present one.