Though it seems new smartphones are launched according to their initial schedule, the overall market is affected a lot. And there is every reason to predict that many manufacturers will suffer a lot, and what’s worse, many unstable companies will quit. Of course, Apple and the likes won’t face such a danger. But according to the previous predictions, consumer demand for iPhone will decrease significantly. As for now, some analysts believe, the Cupertino-based company may recover in the second half this year.
Also read: Apple Delays The Mass Production Of 2020 Flagship iPhones
According to a recent survey report, total smartphone shipments will fall by 15% this year. However, a financial services company Cowen believes that in the second half of 2020, consumer demand for iPhone will begin to recover.
In a report released by AppleInsider to investors on Monday, Cowen expects Apple to sell 33 million iPhones in the fiscal quarter of March. For the March quarter, the analyst expects iPhone revenues to hit $25.1 billion based on 33 million units sold.
Will Apple Still Focus On iPhone?
After 2020, Cowen expects consumer demand for iPhone 5G to remain stable. In addition, the investment banking company also believes that as major countries around the world are blocked due to the epidemic, the demand for entertainment services such as Apple TV + has increased.
Cowen forecasts that Apple’s Services sector will remain strong. That’s logical because due to current coronavirus work-from-home policies, in-home entertainment services are getting more popular. However, this could also make Apple revise its strategy. In fact, we have already seen such a trend of focusing on services more. And this situation may boost it. The Services sector is growing at an 18% compound annual growth rate between 2018 and 2021. And Cowen added that the launch of premium offerings like Apple TV+ could accelerate that growth trajectory.