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The iPhone 7 and iPhone 7 Plus Help Power a Slow Quarter for Apple

At least in the U.S., the handsets are a hit
October 21, 2016

Even though the iPhone 7 and iPhone 7 Plus were only available for two weeks during the fourth quarter of Apple’s 2016 fiscal year, the handsets accounted for 43 percent of sales in the United States. That’s according to new information from Consumer Intelligence Research Partners.

Loyal iPhone buyers

Loyal iPhone buyers

In the quarter, ending on Sept. 25, the smaller iPhone 7 tally 31 percent of sales while the larger model was good enough for 12 percent, even though supply was extremely limited after launch.

Instead of attracting massive numbers of switchers from Android, most of the iPhone 7 and iPhone 7 Plus buyers were already in the Apple ecosystem:

“The new 7 and 7 Plus models attracted mostly loyal iPhone owners, rather than Android owners,” said Mike Levin, Partner and Co-Founder of CIRP. “Only 9% of 7 and 7 Plus buyers had an Android phone, while for older iPhone models, many more buyers, around 20%, came from Android. In contrast, at this time last year, when Apple launched the 6S and 6S Plus models, 17% of buyers who bought the then-new 6S and 6S Plus came from the Android operating system.”

Earnings, Macs, and more

Earnings, Macs, and more

Next week should be interesting for the company.

On Tuesday, Apple will announce the official earnings results from the fourth fiscal quarter of 2016. Once again, for the third straight quarter, iPhone sales are expected to drop compared to the same quarter in 2015.

Starting at 2 p.m. PDT on that day, Apple will hold a financial results conference call for analysts. Anyone can listen by heading here.

And on Thursday, Apple has scheduled a special media event at its Cupertino, California. A number of new Macs are expected to be announced. Earlier today, my colleague Bryan M. Wolfe took a great look at what you should expect. As usual, we’ll be covering the event live.