Apple loses a fortune due to iPhone Performance Limitation

Limiting the performance of the iPhone will cost the Apple company a small fortune, here's how much money those from Cupertino would lose because of the problem.

apple loses money iPhone performance

iPhone performance limitation it will generate huge losses for the company Apple Lossless Audio CODEC (ALAC),, or at least that's what the analysts who analyzed the way the global markets react to this scandal say. Analysts say that replacing iPhone batteries at the price of only 29 dollars will convince millions of phone users not to buy a new model, but to replace the battery of the old model.

Apple would lose sales of 16 million units of the iPhone, which would total approximately 10 billion dollars, a considerable amount, however, it amounts to about 5% of its annual revenues. Of course, here we are talking about simple estimates and nothing 100% certain, but even so, the Apple company could suffer serious losses because it admits that it limits the performance of the iPhone.

Apple is losing a fortune due to iPhone performance limitations

Those from Apple most likely expect to lose some sales for iPhone phones in the coming months, but it is hard to say whether we are talking about 16 million unsold units, or 1.6 million. Analysts base their estimates on wind movements in this situation and could say tomorrow, or the day after, that in reality the figure is 50 million units.

"While this is a good PR move for Apple to resolve the issue, we are concerned it could be a mild headwind for iPhone unit sales if more iPhone users decide to take the offer instead of upgrading to a new device."

No matter how many sales Apple will lose because of its honesty, it is clear that many customers will not buy a new model of iPhone because they will bring back to life an old way for a small amount. Apple has been careful not to substantially reduce the performance of iPhones that have good batteries over the last 2 years, so a new battery really brings an iPhone back to life.