Apple's strategic focus seems on India as CEO Tim Cook applauds India's tech advancements and emerging developer community during earning call.
India’s burgeoning tech adoption and advancement has appealed eyes of tech leaders. India’s rising developer community is positioning the country as a pivotal market. Tim Cook, CEO of Apple, lauds India’s expanding developer base, underscoring Apple’s holistic approach that encompasses developer support, market strategies, and operational efficiency, during the 2024 Q2 earning call.
As of February 2024, a Statista report indicates that Apple’s iOS holds a market share of 20.6%, while Android commands nearly 79% dominance in the mobile operating system market across Asia. Other operating system vendors collectively hold less than one percent of the market share.
According to an IDC report, India’s smartphone market saw shipments of 146 million units in 2023, Asia. Within the smartphone category, Apple experienced a significant increase from 4.6% market share in 2022 to 6.4% market share.
Emerging markets are very important for Apple
During the quarter call Tim Cook shared quarterly revenue of $90.8 billion, down 4 percent year over year, and quarterly earnings per diluted share of $1.53. Although India and Indonesia and several emerging markets from Latin America to the Middle East meet the mark in terms of revenue.
“If you look at it, India grew — in revenue terms grew strong double digits in the December quarter and hit a quarter revenue record. The other emerging markets like Indonesia also hit a quarterly record,” Tim Cook shared.
He stressed that the emerging markets are “..very, very important”, And he thinks Apple is “doing a great job there.”
For India Tim expressed how pleased he is with India market “so we were very, very pleased about it. It was a new March quarter revenue record for us. I see India as an incredibly exciting market and it’s a major focus for us.”
To consider the inauguration of Apple’s flagship stores in Mumbai and Delhi in 2023 contributed to the company’s achievement of double-digit growth. The company now optimistic about the prospects of Apple’s Bengaluru operational office, which commenced operations in January 2024.
Apple’s further India Plan
India has ascended to the top of the priority list for global tech corporations, drawn by its vast talent pool, cost-effectiveness, and stable supply chain environment.
With India emerging as a key market for global tech giants, Apple’s CEO, Tim Cook, has expressed optimism about the company’s plans and operations in the country.
Cook highlighted Apple’s strategic focus on both the operational and go-to-market aspects, emphasizing the importance of production in India to maintain competitiveness.
“In terms of the operational side or supply chain side, we are producing in it, from a pragmatic point of view, you need to produce there to be competitive. And so yes, there the two things are linked from that point of view. But we have both operational things going on and we have go-to-market, and initiatives going on. We just opened a couple of stores as last year, as you know, and we see enormous opportunity in India.”
He also noted the significant growth of the developer ecosystem in India and Apple’s efforts to expand its channels and nurture this ecosystem further.
Tim expressed its optimistic India plan. He shared “We’re continuing to expand our channels and working on the developer ecosystem as well. And we’ve been very pleased that there is a rapidly growing base of developers there. And so, we’re working with all the entire ecosystem from developer to the market to operations, the whole thing. And I just — I could not be more excited and enthusiastic about it.”
Looking forward, Cook hinted at an undisclosed upcoming product announcement, hinting at something exciting for customers. Additionally, he mentioned the highly anticipated Worldwide Developers Conference scheduled for next month, which has garnered immense excitement from developers worldwide. Apple looks forward to unveiling its latest innovations and developments at the event.
AI and other plans
Previously, Apple remained tight-lipped about (Artificial Intelligence) AI, but now the company has hinted at its further plans in AI.
Tim shared that Apple is a firm believer in the “transformative power of artificial intelligence (AI)”, and they will set themselves apart in this new era with their innovative silicon, industry-leading neural engines, and seamless integration of hardware, software, and services. They also prioritize privacy.
They’re also investing in new solar and wind power in the US and Europe. Their aim is to harness renewable energy to power our expanding operations and the devices of our users. Tim added, “Collaborating closely with partners in India and the US and we’re working with partners in India and the US to replenish 100% of the water we use in places that needed most with a goal of delivering billions of gallons of water benefits. Over the next two decades. Restore fine, Apple has committed $200 million to nature-based carbon removal projects. And last month, we welcome to supplier partners as new investors who will together invest up to an additional 80 million in the fund.”
With India’s AI market surpassing $4.1 billion in 2023, according to Statista, tech giants are eyeing the country for expansion due to India’s various favorable conditions.
