Apple May Slow Down Hiring Due To Weak iPhone Sales
Apple was riding the wave of becoming a trillion dollar company, but in the field of tech nothing is certain. Each company has good days and bad days. In a recent report by a reputed news website, Apple has been reported to be planning to cut back on hiring new employees. This indicates that the company may be entering a period of financial problems soon.
Apple’s CEO recently sent out a revised revenue forecast in the light of major issues and challenges that the company is facing. One of the biggest issues is that of iPhone sales in China. China’s economy began to slow down in the second half of 2018. The ban of sales of older iPhones due to a dispute with Qualcomm over patents also played a part. The strong US dollar and the US – China trade tensions didn’t help either. Apple has faced a backlash in emerging and price sensitive markets as well. Chinese manufacturers have taken these markets by storm with their low priced higher spec’d phones.
Batterygate also harmed the company quite badly. They had to provide replacement batteries to consumers at a lower than expected price. This led to a lot of consumers jumping on the opportunity and getting their batteries changed at just $29 instead of buying new phones. According to the news website, the slump in hiring forecast was made by the CEO of the company in a meeting held a day after the Letter to investors was published.
That being said, it is not unusual for companies to hire lesser number of people. And it definitely isn’t as bad as not hiring any new employees or laying off the ones who work in a company. It might just be a small dent in Apple’s trajectory and may not be a horrible financial problem as most news websites are making it out to be.