LightShed Says Apple Is Hoping AI Will Encourage Subscribers to Buy New Phones
By making AI available on just its newest devices, Apple appears to be attempting to encourage customers to replace their old phones, LightShed’s Walter Piecyk told investors Tuesday. “The addition of AI features to the newest iPhone comes at an…
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ideal time for Apple,” Piecyk wrote: “Its iPhone revenue has been stagnant, and the vast majority of its installed base has old phones as the upgrade cycle slowed to record lows. It should therefore be an easy lift for Apple to stimulate a stabilization or inversion of the lengthening replacement cycle.” Apple’s announcement Monday was “what was necessary to stay in the game,” Piecyk added in the note.