“Apple CEO Tim Cook has also stated that the AirPods and Apple Watch have sold significantly more than iPods, compared in same time duration.”
Apple CEO Tim Cook has been going through a fairly tough time, with falling revenues, injunctions, lacklustre devices and even software flaws rearing up to give Apple possibly its toughest time since nearly going bankrupt. Very recently, Cook addressed his shareholders and investors, cutting down on revenue forecast. The biggest causing factor of that has been attributed by analysts to the slowdown in iPhone sales, although Cook remains firm that while iPhone sales have indeed slowed down, other channels have picked up pace. Case in point: the Apple Watch and the AirPods (review).
In a recent interview on CNBC’s Mad Money, Cook stated that contrary to popular belief, products such as Apple Watch and AirPods are selling significantly more than even the iPod. The iPod, which is often credited with popularising the concept of portable music player and personal audio, has been deemed as a massive success — one that fuelled Apple’s recovery until its last decade of meteoric, iPhone-driven growth. The Apple Watch and AirPods, meanwhile, is often perceived as not-so-iconic, which is understandable seeing that the outright scales of innovation have changed.
Cook stated that in comparison to the iconic iPods, the Apple Watch and the AirPods now generate nearly 50 percent higher revenue than what the iPods ever did, even at their peak. Furthermore, if a similar time frame is calculated since the launch of the iPods, the Apple Watch and the AirPods have sold nearly six times the total number of units than what the iPods did. While there have been no revelation in terms of exact number of units sold for either the Watch or the AirPods, such claims are quite believable, and even realistic.
For one, the iPod’s heyday came in more restricted selling conditions, where technology was not as openly and easily accessible as it is today. The spending power of an average individual was lesser, and splurging on a gadget was more often than not a thing of festivities. Today, however, the number of potential customers for any given gadget is exponentially higher than a decade and half ago, which somewhat explains the reason why the iPod, despite having been so widely popular, may have sold at such fewer numbers when put in comparison to the likes of the AirPods and the Watch.
Nevertheless, such information is a positive nod for investors who may have concerns around Apple’s overt dependence on the iPhone. Despite the aforementioned factors, both the Watch and the AirPods appear to be reasonably strong sellers, and will be important as Apple looks to come out of its iPhone-based revenue generation. With the saturation of the smartphone industry, it will be products such as these, along with services, that will drive technology behemoths such as Apple forward — provided, of course, that they do it right.