Apple In Very Early Stages Of Setting Up Exclusive Stores In India
In a townhall meeting, Apple CEO Tim Cook told employees that the company is in the initial stages of setting up its own stores in India. The details of the townhall meeting were reported by 9to5Mac, a website that is known for tracking everything Apple.
In the meeting, Tim Cook noted that the iPhone is the greatest business for the future and the company can grow it with the help emerging markets. He said that while 4G LTE networks weren’t in every emerging market, but markets like India would be key as 4G networks were primed to go mainstream in India in 2016.
More importantly, Cook confirmed news reports that suggest Apple has filed for regulatory approval to open its own premium retail stores in India. He said that Apple was in the early stages of establishing its retail stores in India and the market would be crucial for the growth of the company in the next decade.
In India, Apple doesn’t have its own retail stores, but it rather sells products through partnerships with big retailers and premium hardware resellers. But as the government has eased up on the FDI rules, Apple will be able to open its own retail stores in India.
In India, Apple’s products have seen good growth, but India is also the most expensive market to own an iPhone. To counter this, Apple is expected to launch a more affordable version of the iPhone, which will be smaller like the old iPhone 5S and will have the same processor as the iPhone 6S and also have a 5-megapixel front camera in addition to the 8-megapixel rear camera.
Earlier in the month too, Tim Cook mentioned India as an important market during a call to discuss the company’s earnings report. Growth for the iPhone has slowed and in this quarter the iPhone business saw only a 1 per cent year over year growth.
Apple has also indicated a slowdown in revenues and sales of the iPhone, which is bad news for the company as it accounts for more than 60 per cent of its revenues.
This also comes at a time when Apple was surpassed by Alphabet, which owns Google, as the world’s highest valued company in terms of market cap.