iPhone Sales Could Tank 25-30% As A Result Of US Ban On WeChat, Kuo Suggests

0 0 10‏/08‏/2020 2020-08-10T09:29:00-05:00 Edit this post

Well-known Apple analyst Ming-Chi Kuo published a report on the impact of the US ban on WeChat on Apple’s iPhone sales. Kuo specified in the...

Well-known Apple analyst Ming-Chi Kuo published a report on the impact of the US ban on WeChat on Apple’s iPhone sales.


Kuo specified in the report that the US government's ban on WeChat has the greatest impact on the iPhone among Apple hardware products. Apple may be forced to remove WeChat from the App Store. The pessimistic/optimistic approximation is that the ban may prompt iPhone shipments to decline by 25-30%/3-6%. 
Since WeChat is very critical to Chinese users, integrating communications, payments, e-Commerce, social software, news reading, and productivity functions, we believe that the move will tank ‌iPhone‌ shipments in the Chinese market. We estimate that global ‌iPhone‌ shipments will decline by 25–30%. Global shipments of other Apple hardware products, including AirPods, iPad, Apple Watch, and Mac, will decline by 15–25%.
In Kuo's view, the most pessimistic case of the US ban on WeChat is that Apple has to remove WeChat from the global App Store. In an optimistic situation, Apple would only remove WeChat from the US App Store.

US President Trump has signed an executive order prohibiting transactions with WeChat as well as Tik Tok, both of them are owned by Chinese companies, Tencent and ByteDance, and the order will take effect in 45 days.

Image Via Financial Times

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Loveios: iPhone Sales Could Tank 25-30% As A Result Of US Ban On WeChat, Kuo Suggests
iPhone Sales Could Tank 25-30% As A Result Of US Ban On WeChat, Kuo Suggests
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