If there was a good time for COVID-19 to impact Apple, it is now

Hardware sales for Apple have dipped over the last three months, but with services gaining weight and the firm still in the building stages for 5G, few seem to be worried.

Apple is in an interesting position currently. Thanks to the product roadmap, if there was a good time for sales to plunge due to extenuating circumstances, now is it.

While the team has recently announced the launch of a new device, the 2020 iPhone SE, this is only a taster of what is to come. The latter part of this year and the early part of 2021 is where the iGiant should make serious waves as it launches its own assault on the 5G era.

“Despite COVID-19’s unprecedented global impact, we’re proud to report that Apple grew for the quarter, driven by an all-time record in Services and a quarterly record for Wearables,” said Apple CEO Tim Cook. “In this difficult environment, our users are depending on Apple products in renewed ways to stay connected, informed, creative, and productive.”

Apple financial results for period ending March 31 (USD ($), millions)
  Total Year-on-year
Total revenues 58,313 +0.5%
Cost of sales 35,943 -0.7%
Net income 11,249 -2.7%

Source: Apple Investor Relations

Although iPhone sales have been hit by the pandemic, revenues are down by roughly 6.8%, as have Mac and iPad sales, decreasing 2.9% and 10.4% respectively, the wearables, home entertainment and services business units are on the up. The gains have compensated for the losses.

Apple released the figures following the close of financial markets, though share price was down by 3% in overnight trading.

Investors might not be thrilled by these figures, which were less than Wall Street expectations, there is perhaps evidence the diversification efforts of Apple are paying off.

Apple revenues split by product and service segments
Period iPhone Mac iPad Other Services
Q2 2020 49.6% 9.1% 7.5% 10.7% 22.9%
Q1 2020 60.9% 7.8% 6.5% 10.9% 13.8%
Q4 2019 52.1% 10.9% 7.2% 10.2% 19.5%
Q3 2019 48.3% 10.8% 9.3% 10.2% 19.2%
Q2 2019 53.4% 9.5% 8.4% 8.8% 19.7%
Q1 2019 61.6% 8.8% 7.9% 8.7% 12.9%

*Other = Wearables, Home and Accessories

With iPhone sales in particular being hit hard by the coronavirus pandemic, diversification efforts from Apple put the company in a promising position. Wearables, home entertainment and services in particular are making Apple seem like a much more well-rounded and sustainable business.

This is not a one-off either, diversification is key to navigating difficult periods. During this current crisis, Google and Microsoft are two companies who are performing admirably, another two example of organisations who have driven towards diversification from core competencies.

Perhaps the most important note to take away from this earnings call is that if Apple’s ability to make money was impacted by external influences, now is the best time for it to happen.

As with every other premium smartphone manufacturer, ambitions have been cast towards the up-coming 5G era, as well as the device refreshment cycle which is likely to accompany. 2020 was supposed to be the year of 5G, though perhaps the slowing of base station deployment has postponed this slightly.

Apple was never going to launch a 5G device in the first half of the year, it traditionally saves its flagship launch for the autumn, as consumers are preparing for Christmas purchases. There are of course reports that the launch of the Apple device in a few months will be delayed, but as long as it is before Christmas few executives will be worried. Interestingly enough, anticipation will also be extended to the telco industry.

The launch of the next Apple device could be a catalyst to launch 5G into the mainstream. Such is the power of Apple and its brand, 5G could be the new norm once the Cupertino-based tech giant makes a powerful statement. This could be a major influence in the migration of customers from 4G to 5G tariffs.

Apple is a very powerful company, and while sales have been impacted by COVID-19, its diversification efforts are compensating, and its major marketing activities are being reserved. As long as lockdowns have been eased by the end of the year, few Apple executives will be bothered by the financial impact of the coronavirus.

France does exactly what it was told not to with COVID-19 app

Much has been said about using technology to combat the coronavirus outbreak, but France has done exactly what many critics feared by cutting corners to compromise security and privacy.

France is one of the hardest hit countries during this pandemic, with more than 114,000 confirmed cases at the time of writing, therefore it is understandable the Government wants to accelerate the deployment of any projects. However, this latest debacle will have data security and privacy advocates tearing their hair out.

Having developed an application to track the spread of COVID-19 using Bluetooth contact tracing, though some functionality of the app is being prevented by Apple’s security features. Designed to protect user data, the iOS feature prevents data being moved off Apple devices via Bluetooth.

Instead of attempting to adapt the application, to ensure privacy and security is maintained for the users, according to Bloomberg French authorities have made the almost laughable decision to request Apple turn off the features in France.

Almost everyone in the digital community recognises the importance of maintaining security and privacy principles despite the severity of the situation, but it appears France missed this memo.

“We’re asking Apple to lift the technical hurdle to allow us to develop a sovereign European health solution that will be tied our health system,” French Digital Minister Cedric O said.

The French Government has stated the data would only be stored on its own servers, with the healthcare authority acting as the data controller, but this seems to be missing the point. O is effectively asking Apple to lift a security protocol and introduce a vulnerability to French Apple devices. And wherever there is a slightly weakness in cyber-defences, the nefarious characters of the dark web are waiting to pounce.

Over the last few weeks, European Data Protection Supervisor Wojciech Wiewiórowski has been quite active. In one letter, responding to concerns over user privacy, Wiewiórowski said the transfer of data would be fine under GDPR assuming the relevant protections have been put in place. It is questionable whether asking Apple to remove a security feature is consistent with this message from Wiewiórowski.

The collection of data is a reasonable approach by any authority, though it does not have to be done in a way which compromises user security and privacy. There are thousands of applications on the App Store which makes use of location or device proximity data without compromising iOS guidelines, so it clearly can be done.

What is also worth noting is that Apple is currently working in partnership with Google to create a framework for COVID-19 applications.

Although bringing the smarts of Google and Apple into the equation will certainly help, the framework which is being proposed would rely on short-range Bluetooth signals, secure local databases and anonymized device identifiers, but would ultimately store data locally on user devices. This is a point of contention with Governments who would like to collect data on centralised servers.

The application of new technologies is certainly the best way to tackle this on-going pandemic, however what appears to be the case here is a fragmented ecosystem.

Silicon Valley is taking one approach, dozens of governments are putting together their own ideas, while privacy advice is being given by centralised regulators but not being adhered to by localised authorities. The mishmash of policies and ideas is not the most efficient way to tackle the problem, or to ensure data protection and security principles are being respected.

Three weeks ago, the European Data Protection Supervisor called for a consolidated, co-ordinated approach, creating a pan-European effort which would be significantly more beneficial. More data, more scientists and more money being thrown at the problem, but this logical idea has fallen on deaf ears as the French ignore advice, cut corners and endanger the digital lives of users.

Apple launches a new version of its least expensive iPhone

Gadget giant Apple wasn’t about to let a global pandemic cramp its style, but don’t get too excited because the iPhone SE is just an old phone with a newer chip.

‘A powerful new smartphone in a popular design’ is how Apple marketing genius Phil Schiller is spinning it. The popular design is the iPhone 8 chassis and the power boost comes from the A13 Bionic chip, so called because that sounds futuristic and cool. There’s also a tweak to the camera and the screen seems to be a bit better than the 8. All of this will set you back a mere £419 for the vanilla version.

“The first iPhone SE was a hit with many customers who loved its unique combination of small size, high-end performance and affordable price; the new second-generation iPhone SE builds on that great idea and improves on it in every way — including our best-ever single-camera system for great photos and videos — while still being very affordable,” said Schiller, who is not a fan of full-stops or the definite article.

“[The] iPhone SE features the industry-leading performance of A13 Bionic that enables great battery life, takes stunning Portrait mode and Smart HDR photos, shoots amazing videos with stereo audio, is great for games and super fast web surfing, and is built with the same industry-leading security features our customers expect. We can’t wait to get [the] iPhone SE into customers’ hands.”

The iPhone SE will be available to buy through the usual channels on 24 April, implying its far-Eastern supply chains haven’t been too badly affected by the coronavirus pandemic. On the other hand, since much of the phone uses older kit, there may have already been a fair bit of it kicking about at the start of the year. Here’s a vid.

What a Wonderful World of 5G Devices

Many brands have already brought to market large numbers of 5G devices, such as smartphones and hotspots. According to the latest tracking done by the GSA (Global mobile Suppliers Association), an industry organisation, over 250 devices had been announced by mid-March 2020, with 67 of them commercially available, including 40 smartphones. Half a year previously, the same tracking recorded only 100 public device announcements, with only nine 5G smartphones commercially available. The pace of new 5G device launches has clearly been accelerating.

(Here we are sharing the opening section of this Telecoms.com Intelligence special briefing to look into how 5G operators and device makers can work together to deliver a win-win solution to grow the 5G ecosystem.

The full version of the report is available for free to download here.)

Consumers Love 5G Smartphones, or Do They?

Even in the midst of the ongoing uncertainty of COVID-19, the smartphone marketplace has been busy. A number of flagship 5G smartphones have been launched by companies like Samsung and Huawei as well as their challengers, most of which had been meant to be unveiled at this year’s Mobile World Congress that did not happen. Many companies have moved their launch events online.

Consumers have signed up to 5G services faster than they did 4G. South Korea clocked up 5 million 5G subscribers by the end of 2019, eight months after the three operators switched on their 5G networks. China’s total number of 5G subscribers topped 10 million by the end of 2019, only two months after the three operators launched 5G in the world’s biggest smartphone market. China Mobile, the world’s largest mobile operator by subscriber number, reported that it had attracted 15.4 million 5G customers by the end of February, four months after launch. Despite that few if any other operators have published their 5G subscriber numbers, the momentum is there.

So far, 5G device shipment numbers have been strong. The research firm Strategy Analytics estimated that 19 million 5G smartphones were shipped in 2019. This was higher than most analysts had expected. So, at the first sight at least, consumers have shown strong enthusiasm in embracing 5G smartphones. Meanwhile, some evidence is showing that consumers have bought 5G smartphones not necessarily for 5G, or at least not the 5G the industry professionals would define it.

A research recently published by the software company Amdocs found that over a third of British consumers are interested in upgrading to 5G devices this year, but most of them are not sure what 5G is all about. The minority of consumers that claimed to know 5G would primarily cite faster internet. However, if the consumers take operators’ “gigabit speed” promise literally, they will be disappointed.

The network benchmarking and testing firm Global Wireless Solutions conducted a field test of the 5G networks in the centre of London towards the end of last year. The highest download speed of 470 Mbps was recorded on EE network, while the lower speeds of 330 Mbps and 320 Mbps were recorded on O2 and Vodafone networks respectively. These numbers, in addition to falling far short of “gigabit”, could only be achieved if the customer stood next to the base stations. Even those consumers well versed enough to quote buzz words like “low latency” would also be disappointed. The Global Wireless Solutions tests have found no meaningful improvement in latency from 4G connectivity.

This is an indication that the success to expand 5G adoption from early adopters to early majority is far from certain. While operators are honing their skills to convince consumers of 5G benefits, device makers, in particular smartphone brands, would also have much to lose if consumer enthusiasm should dampen by the underwhelming experience and patchy coverage.

To explore the topic further, the rest of this report first discusses what operators are looking for in 5G devices. We then analyse the key drivers for higher consumer adoption of 5G devices, including the underlying technologies. The report concludes by looking at the leading trends in the 5G device market in the next two to three years.

The rest of the report include these sections:

  • Do Not Ask What Operators Can Do For You, Ask What You Can Do For the Operators
  • What Is Happening Under the Hood?
  • Plenty To Look Forward To
  • Q&A with Daniel Gleeson, Principal Analyst, Omdia
  • Additional Resources

The full version of the report is available for free to download here.

Apple settles iPhone hobbling case out of court

Gadget giant Apple had been the subject of a class action lawsuit alleging it deliberately slowed older iPhones in order to compel customers to upgrade.

Now Reuters reports that Apple decided to settle the suit out of court, while at the same time maintaining its innocence. The settlement seems to be capped at a payout of $500 million, even though it’s not yet known how many devices might qualify for a compensation payment. Claimants will probably get around $25 per phone.

The allegation is that older iPhones noticeably slowed after Apple software updates. That in turn made their owners believe their phones were knackered and that it was time to upgrade. They seem to think Apple deliberately slowed their phones in order to shift more product. Apple insists the slowing could have been down to all sorts of other things such as, somewhat implausibly, temperature changes.

The reason Apple apparently gave for settling even though it didn’t think it had done anything wrong was that it couldn’t be bothered with the hassle of litigation. Qualcomm, among others, will have been surprised at Apple’s sudden reluctance to unleash its lawyers. The Apple we thought we knew would never have hesitated to litigate so long as it thought it had a chance of winning, which makes you wonder whether this claim had more merit than it would have us believe.

Benign brother has got your back: China launches coronavirus app

China’s government bodies and businesses have jointly launched a mobile app to help detect if people have been in close contact with those suspected of carrying the novel coronavirus.

The app has access to multiple official holders of private data. By registering with his or her name and Chinese ID number, a smartphone user can use the app, called “Close Contact Detector” to check if he or she has been in proximity of those who are later either confirmed or suspected to have the virus. Such close contacts include travelling in the same train carriage or sitting within three rows on the same flight with those carrying the virus.

One registered user can check the status of up to three users by inputting their ID numbers and names. One ID number is limited to one check per day. The app will then return an assessment of which category the individual in question falls into: Confirmed case, Suspected case, Close contact, Normal. Xinhua, one of the major official propaganda outlets, reported that over 105 million checks have been made by users three days after the app was launched.

The app development was led by the government organisations responsible for health which was joined by China Electronics Technology Group, one of the country’s largest state-owned enterprises, as well as the leading smartphone makers Huawei, Xiaomi, OPPO, and Vivo. The backend data comes out of the National Health Commission, the Ministry of Transport, China State Railway Group Company, the state owned enterprise that operates all the rail transport in China, and the Civil Aviation Administration, the aviation regulator.

The fact that private travel data is made readily available to business entities without explicit consent from the individuals involved may raise plenty of eyebrows in places like Europe, but the attitude in China is different. “From a Chinese perspective this is a really useful service for people… It’s a really powerful tool that really shows the power of data being used for good,” Carolyn Bigg, a Hong Kong-based lawyer, told the BBC.

“Close Contact Detector” has been pushed out by the smartphone brands as a priority app to their users in China. It is unclear how or if promoting to users of other smartphone brands, iOS users, or non-smartphone users, will be conducted. Nor is it clear if there are plans to extend the coverage to residents without a Chinese ID number, such as foreign nationals staying in China.

Telecoms.com has learned that over the last few weeks there have been other online tools to help concerned users check if they had unknowingly come into contact with confirmed victims of the new coronavirus. The key difference from the new contact detector is that, in the earlier attempts, backend data was crowdsourced from publicly available information including the flight and train numbers of the confirmed cases published in the media.

Neither is contact detector the only use case where user data is playing a role. A recent video clip making rounds on social media shows a drone flying a blown-up QR code that drivers can scan to register before they enter Shenzhen after the long Chinese New Year break. The method is deployed presumably to prevent cars and drivers registered to the major disease hit regions from going through, as well as reduce human-to-human interaction. Xinhua reported that the Shenzhen Police, which is responsible for managing the local traffic and owns the automobile and driver data, is behind this measure.

Wearables and services are paying off for Apple

The iPhone is still the biggest contributor to the monstrous profits Apple claws in each quarter, but efforts in wearables and services are balancing out the company.

While Apple is not a company which is going to go bust at any point in the foreseeable future, the dependence on the performance of the iPhone was leaning onto the unhealthy side. With more consumers leaning towards second-hand, refurbished devices, or extending the life of products due to the eye-watering price of new iPhones, there was a threat to profitability.

For the most recent quarter, there are no worries about the profitability of Apple, however. Total revenues for the three-month period, including Christmas sales, stood at $91.8 billion, a 9% increase from the same period in 2019. Net income set a new record of $22.2 billion, while international sales accounted for 61%.

That said, efforts over the last few years to supercharge alternative revenue streams and diversify the profit channels have certainly been paying off. The iPhone is still king at Apple, but it is evolving into a different company.

Quarter Product Revenue Software and Services Revenue Ratio
Q1 2020 79,104 12,715 86.2/13.8
Q1 2019 73,435 10,875 88.2/12.8
Q1 2018 79,768 8,471 90.4/9.6

For the purpose of continuity, we have only selected Q1 for the above comparison. This is a quarter which contains the Christmas period and therefore revenues are almost incomparable to the rest of the year.

As you can see, there is a clear trend of Apple become less reliant on hardware for revenues and profits, with the Software and Services becoming more than a bolt-on bonus for investors. $12.715 billion is an amount most companies would be happy to call group revenues for the year.

Interestingly enough, even in the ‘product’ segment, the team is becoming less reliant on the iPhone to drive revenues and profits.

Quarter iPhone Mac iPad Wearables and Home
Q1 2020 55,957 (60.9%) 7,160 (7.8%) 5,977 (6.5%) 10,010 (10.9%)
Q1 2019 51,982 (61.6%) 7,416 (8.8%) 6,729 (8%) 7,308 (8.7%)
Q1 2018 61,576 (70%) 6,895 (7.9%) 5,862 (6.6%) 5,489 (6.2%)

In short, diversification of revenues is an excellent way forward for the Apple business and demonstrative of the power of the Apple brand.

Apple is a brand which certain consumer identify with, and such is the innovation and creativity of the Apple marketing department, loyalty has been almost cult-like. Cross-selling alternative products when the consumer is so heavily invested in the brand and ecosystem is a much simpler task, this will be one of the reasons Apple’s services division is becoming so successful, but it also explains the growing wearables segment.

Wearables is a family of technologies which has struggled through the years. The first smart watch, in its current form, was released in 2011, though the segment has never really gained the traction to make it an attractive business. Apple has been persisting with its own portfolio of smart watches for years, but it does now appear to have turned a corner.

“Apple Watch had a great start to fiscal 2020, setting an all-time revenue record during the quarter,” CEO Cook said during the earnings call. “It continues to have a profound impact on our customers’ lives and it continues to further its reach as over 75% of the customers purchasing Apple Watch during the quarter were new to Apple Watch.”

Apple is no-longer simply satisfying product refreshment cycles but attracting new customers into the smart watch bonanza. The more smart watch customers there are, the more normalised the product becomes, which then compounds the success, especially with more digital natives entering their 20s and collecting bigger salaries.

Apple is a company which is defined by iPhone. This will not change, such is the success of the product and the importance of the smartphone in today’s society, but diversifying the business was always viewed as critical to expanding the profitability of the firm. Apple is doing a remarkable job of capturing new revenues.

Early 5G smartphone market all about Samsung and Huawei

Research firm Strategy Analytics has been looking at last year’s 5G smartphone shipments and found most of them were accounted for by just two vendors.

SA says there was more demand for 5G smartphones than it expected. It looks like operators jumped on the future-proofing bandwagon, even though any 5G devices they sold would probably only get a 5G connection in their own HQ, and even then only if you were actually sat on a base station. As a consequence SA says around 19 million 5G phones were shipped, with almost three quarters of those made by Samsung or Huawei.

“Global 5G smartphone shipments grew from zero in 2018 to 18.7 million units in 2019,” said Ken Hyers of SA. “Demand for 5G smartphones is higher than many expected. Fierce vendor competition in China and heavy carrier subsidies across South Korea have been the main drivers of 5G demand. Other regions, like the US and Europe, are lagging behind Asia, but we expect them to close the gap later this year.”

“Almost all Huawei’s 5G smartphones were shipped in China, where US sanctions have made relatively less impact,” said Ville-Petteri Ukonaho of SA. “Popular 5G models for Huawei include the Mate 20 X 5G and Mate 30 Pro 5G. Samsung is number two and shipped 6.7 million 5G smartphones worldwide during 2019, capturing a healthy 36 percent marketshare. Samsung’s 5G smartphone shipments are international and span a wide spread of countries, from South Korea to the UK to the United States. Popular 5G models for Samsung include the Note 10 5G and S10 5G.”

“Upcoming 5G models from Apple iPhone and other big brands mean 5G will be the hottest part of the worldwide smartphone market this year,” said Neil Mawston of SA. “However, the recent coronavirus scare is currently restricting trade in some parts of China and this may well cause a slowdown in 5G supply or demand across Asia or worldwide during the first half of 2020. Industry players should be prepared for bumpy 5G sales in some markets.”

A couple more of them piped up too, but we figure you got the message. The presumed launch of 5G iPhones will definitely take 5G hype into the mainstream and will also put pressure on operators to deliver a network and service that offers something more than 4G. These numbers largely follow the broader smartphone market, given Apple’s early absence thanks to its feeble efforts to strong-arm Qualcomm. It is interesting to see how much of a jump Huawei seems to have got in the Chinese market, however.

 

Global 5G Smartphone Shipments by Vendor (Millions of Units) 2018 2019
Huawei 0.0 6.9
Samsung 0.0 6.7
Vivo 0.0 2.0
Xiaomi 0.0 1.2
LG 0.0 0.9
Others 0.0 1.0
Total 0.0 18.7
     
Global 5G Smartphone Marketshare by Vendor (% of Total) 2018 2019
Huawei 0.0% 36.9%
Samsung 0.0% 35.8%
Vivo 0.0% 10.7%
Xiaomi 0.0% 6.4%
LG 0.0% 4.8%
Others 0.0% 5.3%
Total 0.0% 100.0%
     
Source: Strategy Analytics

Apple forecast to dominate the 5G smartphone market next year

A report from analyst firm Strategy Analytics reckons that then Apple launches its 5G iPhones next year it will immediately become the biggest 5G player.

Right now SA says Samsung has around 40% of the market and Huawei has another 30%. Apple hasn’t launched a 5G phone yet, thanks in part to it trying to get tough with 5G modem leader Qualcomm, before eventually capitulating. That’s all set to change when the next lot of iPhones gets launched, Which SA says will all be 5G enabled.

“It may seem counterintuitive that Apple, which currently has no 5G phones in its portfolio will be able to pass current 5G market leaders Samsung and Huawei,” said SA’s Ken Hyers. “But with three new 5G models coming next year, Apple merely needs to match its current upgrade rates for newly introduced iPhone models to take the lead next year.”

“Currently Samsung is the undisputed market leader in 5G smartphones,” said Ville-Petteri Ukonaho, of SA. “But with the two largest 5G markets in 2020, China and the USA, dominated by Huawei and Apple respectively, these two vendors are set to lead in 5G next year.”

Eventually, however, the balance will inevitably be restored at 5G modems find their way further down the Android product stack. “Despite the strong showing that is expected for Apple in 5G in 2020, in the longer term Samsung will regain the 5G crown,” said Hyers. As more markets cut over to 5G, Samsung will capture the majority of that share by virtue of its dominance of the overall smartphone market and a broader portfolio of 5G devices across more price-bands.”

“Huawei’s potential in 5G smartphone sales is currently limited by the US technology trade ban,” said Ukonaho. “Huawei is dominant in China and will likely remain so. But until the ban is lifted, prospects for Huawei in 5G smartphone sales elsewhere are limited. Regardless of its long-term prospects in terms of 5G smartphone marketshare. 2020 will be Apple’s time to grab bragging rights in 5G.”

Here’s the SA forecast chart, showing Apple quickly grabbing a 40% share of the 5G market and topping 50% by the end of the year. As Hyers indicated the forecasting is simply based on the historical uptake of new iPhones, which seems fair enough. If Apple decides some of its new iPhones are undeserving of a 5G modem then the things could look pretty different.

Apple continues its transition from products to services

Quarterly revenues for gadget giant Apple were up year-on-year but down for the full year, as the company increasingly relies on services.

The headline of Apple’s latest quarterly announcement read: ‘Services Revenue Reaches All-Time High of $12.5 Billion’. This achievement masked the fact iPhone revenues continue to decline, which in turn dragged full year revenues into the red. On the whole, however, these were solid results for Apple and it seems to be managing its strategic transition well.

“We concluded a groundbreaking fiscal 2019 with our highest Q4 revenue ever, fueled by accelerating growth from Services, Wearables and iPad,” said Tim Cook, Apple’s CEO. “With customers and reviewers raving about the new generation of iPhones, today’s debut of new, noise-cancelling AirPods Pro, the hotly-anticipated arrival of Apple TV+ just two days away, and our best lineup of products and services ever, we’re very optimistic about what the holiday quarter has in store.”

The services side of things was the focus of the tech press in its analysis. Apparently Apple pay transaction volume overtook that of PayPal in the most recent quarter. A significant initiative that illustrates the symbiosis of the services and hardware side is Apple’s decision to offer interest-free financing of new iPhones through its own credit card. This will also be a significant blow for the postpaid phone contract sector as subscribers will no longer be dependent on operators for handset financing.

The fact that iPhone shipments are declining is not disastrous, so long as Apple maintains the massive iOS installed -base. As the Apple Pay numbers show, Apple’s services are bound to do well so long as there are lots of iPhones in use. The financing initiative implies Apple is worried about that installed-base declining, however, and may not be the last time we see Apple further incentivising people to buy iPhones.

The columns in the table below are as follows: fiscal Q4 2019, Q4 2018, full fiscal year 2019, full year 2018.