Apple Inc. (AAPL) Is Faced With Its Toughest Decision Yet

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To worsen the odds for Apple Inc. (NASDAQ:AAPL), analysts believe that the high-end market is slowing. Berenberg Bank’s Adnaan Ahmad says that the high end of the market will grow 10-15% in the next 24 months. This is a huge dip from the 50-100% growth that has been witnessed before. Ahmad argues that this stunted growth could affect Samsung. Fortunately for Samsung, it has a very solid footing in the low and mid range smartphone market. My worries lie with Apple. With nothing to fall back on, Apple could take the biggest beating in its history.

I have to admit that Apple’s current case is in many ways reminiscent of Research In Motion Ltd (NASDAQ:BBRY) in its hey days. At the time, BlackBerry handsets were reserved for a particular incline in the business class. Only the who’s who in the business world could afford to rub away at that timeless ball. That however changed when demand for smartphones in the consumer market gnawed at BlackBerry’s share. Currently, the device maker has a paltry 1.1 % market share in the U.S, according to Kantar Research.

The only difference in Apple’s story and that of BlackBerry is that unlike BlackBerry, Apple went for the who’s who in the consumer market. Now however, there is a high risk that Apple could go the BlackaBerry way. Samsung and a host of other Android smartphones have downplayed Apple’s dominance in the high end consumer market.

Apple Inc. (NASDAQ:AAPL) should understand that there are no winners in maintaining some lavish image, only terrible margins. Market conditions dictate that an ‘iPhone mini’ is the only way to go. Will Tim Cook make this game changing decision?

The article Apple Is Faced With Its Toughest Decision Yet originally appeared on Fool.com.

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