Apple reveals iPhone 15 amid stock price struggles
Apple is trying to clamber back from a share price topple last week and grapple with falling global phone demand with the reveal of its latest innovations in California.
Chief executive Tim Cook released swanky-looking new iPhone, Apple Watch and Airpod models on Tuesday during the tech giant’s annual hardware product launch event in Silicon Valley, dubbed ‘Wonderlust’ this year.
A polished presentation, streamed live on Youtube, tried to tempt customers with improved chips and cameras in the newest iPhones – the 15 and 15Pro.
The updated devices have switched to a USB-C charging port, aligning with European regulations coming into force next year, although this could “irk” some buyers according to Ben Wood, chief analyst at CCS Insight.
On the New York Nasdaq where Apple is listed, its shares edged down over two per cent following the launch.
A large bite was taken out of Apple’s stock last week, erasing $200bn (£160bn), or six per cent, from its market cap in two days.
It followed reports that Beijing has barred central government officials from using Apple devices, reflecting both US and Chinese efforts to reduce reliance on foreign technology due to cybersecurity concerns.
Victoria Scholar, head of investment at Interactive Investor ,said recent developments in China have “overshadowed” the launch.
“Beijing is clamping down on the use of iPhones among government officials there, as the US-Sino tensions intensify with technology becoming a key battleground,” she said.
But Nigel Green, chief executive and founder of global financial consultancy Devere, said the impact of Beijing’s reported ban on government workers using iPhones has been “greatly exaggerated”.
The move also comes hot on the heels of a new a Huawei device, the Mate 60, and as Apple looks back on three straight quarters of falling sales due to frosty global demand.
“These should be the main reasons stock prices fell last week, not the knee-jerk reaction to a ban that affects only around 500,000 government employees’ phones,” said Green.
The launch will not be enough to help Apple recover its share price knock, he added.
“Apple’s iPhone events typically generate significant buzz and anticipation, leading to a surge in sales. This in turn will boost stock prices for shareholders in the short-term,” he said.
“However, we don’t expect it to be enough to recover its full stock market valuation.”