May Lose 'Most Valuable' Status
Apple needs to come down off its perch and start making nice with Wall Street, analysts said Thursday as investors hammered the company's stock.
The sell off put Apple a hair's breadth away from losing its status as the world's most valuable company. At Thursday's close, it was worth $423 billion, just 1.6 per cent more than No. 2 Exxon Mobil Corp.
The plunge was set off Apple's quarterly earnings report late Wednesday, which suggested the company's nearly decade long growth spurt is slowing drastically.
The stock ended down $63.51 or 12 per cent, at $450.50. It last traded that low a year ago.
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The Maps App Is A MessIf you've been following any coverage of the new iPhone, you've heard that iPhone 5 users (or any iDevice users who have updated their gadgets to iOS 6) are complaining rather loudly about how terrible the Apple Maps app is. The new navigation app, which has replaced Google Maps in new versions of iOS, has been seen to mislabel cities, fail to locate adresses and other problems. Perhaps worst of all (for city dwellers, at least) the new Maps app doesn't provide transit directions, which many became dependent upon with Google Maps.
It's TOO Thin And LightGiven that the new iPhone is touted as Apple's "lightest iPhone ever," the company must be surprised to hear people complaining that it's too light, an issue that Gizmodo has noticed users raising on Twitter.
At 112 grams, the iPhone 5 is 20 percent lighter than the previous generation, the iPhone 4S.
The Updated Siri Is Worse Than Your Local WeathermanThe new Siri for iOS 6 is sometimes confusing cities with the same name but in different states. (A similar problem occurs in the Apple Maps app.) For example, MacRumors noticed that asking for the weather in New York City yields temperatures and forecasts for New York, Texas. Siri is similarly mixing up the St. Louises in Missouri and Georgia and the Carrolltons in Texas and Indiana.
Battery Life Seems Sub Par For SomeEvery new iPhone brings complaints about battery life. (Read more about about the iPhone 4S's battery weakness here.) "horrible battery life, i am disgusted," . He describes losing 40 percent of his fully charged iPhone battery in one hour.
Are people's iPhone batteries just be draining faster because of overuse, a new energy sucking app or a glitch in iOS 6? During the key presentation on the iPhone 5, Apple claimed the iPhone 5 got 225 hours of battery life while on standby, compared to 200 for the iPhone 4S.
If you're having battery life issues with the iPhone 5, we recommend reading the blog iMore's troubleshooting guide.
It 'Leaks' LightWhile white iPhone 5s are apparently not as easy to scuff as the black models, the white models have another problem of their own: A a tiny amount of light leaks out of the top right corner of the device's screen. The light leak can be see when they screen is activated in a dark room, according to complaints at MacRumors.
The tech blog BGR confirms the "light leak" with its own phones. The iPad 2 reportedly had a similar problem in 2011, according to CNET.
[photo via MacRumors]
It Scratches Too Easily When you drop several hundred on a new iPhone, you want it to be pristine. That's what makes the so called "scuff gate" controversy such a blemish on the reputation of a company as obsessed with design as Apple. Bloggers at AllThingsD and posters on the MacRumor forums complain that the black iPhone 5 is very susceptible to dings and scratches, perhaps due to the iPhone 5's aluminum casing (which didn't exist on previous iPhones). Watch a 2 year old girls scuff up a perfectly good iPhone 5 to the right, .
It's Got A Screw Loose? (Well, Not A Screw)Rattle, rattle. Some claim being told by Apple that it's normal noise created by camera competents, other say it's an unglued battery (the latter problem can be fixed with a trip to an Apple Store). In either case, it's annoying, as numerous YouTube videos show.
Its WiFi Radio Is Finicky Again, Internet forums have been lighting up about slow to nonexistent WiFi connectivity in their new iPhones, when compared to the iPhone 4 or 4S. (and posts on the Apple Forums confirm) that the issue for some users has to do with using a certain secure WiFi connection called WPA2. Moving to less secure WiFi connections resolves the issue, according to forums. If you're having this problem, restart your phones by holding down the Home and Sleep buttons. If that doesn't help,ipad mini case prada
, take it to the Apple Store and they can replace your SIM Card.
What can Apple do to boost its stock? Analysts say it may not be able to win back the investors who bought the stock on the way up. They'll be chasing the next hot stock. But the company can make itself appealing to a new crop of investors who've never considered the stock, by doing what Wall Street wants and doling out more of its massive cash pile in the form of more generous dividends and stock buybacks.
Apple's profits for the October December quarter were flat compared with the year before. It still managed to grow revenue 18 per cent from the year before, but the cost of starting up production lines for multiple new products like the iPhone 5 and iPad Mini meant that less revenue flowed to the bottom line.
Of even more concern to investors: Apple's forecast sales growth for the current quarter is around 7 per cent compared with a year ago far from the 50 per cent plus rate it's often hit in recent years.
Apple usually lowballs its forecasts, but Chief Financial Officer Peter Oppenheimer indicated the company will provide more realistic figures from now on.
To be sure, Apple products haven't lost their appeal. Apple CEO Tim Cook said the company couldn't make enough iPhones, iPads and iMacs in the holiday quarter to satisfy demand, so the appeal of Apple's products is intact. The problem is rather that Apple hasn't launched a revolutionary new product since the iPad in 2010.
It may be too much to ask that a company reinvent consumer electronics every few years, but Apple did it three times in a decade with the launch of the iPod, iPhone and iPad. In doing so, the company left investors with the expectation of perpetually zooming growth.
Now, Apple looks quite different. It's still massively profitable, but its growth is moderate, making it similar to companies like IBM Corp. and Microsoft Corp.
"The company is at a bit of a crossroads," said Nomura Securities analyst Stuart Jeffrey. "It's gone from launching big hit products where they didn't have to look at the competitive landscape they just did their own thing and the growth meant they didn't have to focus on the whims of Wall Street."