Tomahawk, WI 10/07/2013 (BasicsMedia) – Before Apple Inc. (NASDAQ:AAPL) released it latest iPhone models, the famed iPhone 5C and iPhone 5S, there had been reports that it might not be the number one seller of Smartphone gadgets. This allegation was made with respect to the international scene seeing that it already boasts of being the number one seller in the U.S. market which it has firmly in its grip. AAPL has a number of competitors globally, and some of them price their products much cheaper compared to this U.S based company. How much share of the market is under AAPL now?

 Prior too the release of the latest gadgets by AAPL, it was reported that close to 35 million of its iPhone products had been sold worldwide. The figure was inclusive of a few preorders made for the iPhone 5C and 5S. To get a better understanding of these figures, one needs to go back a few months before the release of both iPhone 5C and 5S. Although AAPL doesn’t always release or provide a proper breakdown of how its iPhones are doing with regard to sales, collection of results from its major stores indicate that demand for its products was still quite high.

At the end of August 2013, AAPL enjoyed close to 40.7% of the market share in the U.S. If you were to go back to May 2013, you will realize that the company had 39.2% of the market share in the U.S. Therefore, this is a clear indication that the company enjoyed some growth in this arena within a 3-month period. One could be tempted to think that the increase was a result of the impending release of iPhone 5S. However, the truth is that by that time, no official announcement had been made regarding the launch of iPhone 5S or any other new product.

 I agree that it is possible for the market to respond positively to rumors regarding the soon to be launched products, such as iPhone 5S. However, if we were to take this as fact, it would be wise to look at it this way if the figures showed that a larger percentage of the increase in sales was as a result of preorders made for iPhone 5S. What the data above shows, is that the increased sales were mostly for the previous iPhone gadgets, and not 5S. This is clear demonstration that the market responded well to AAPL products, not due to iPhone 5S, but because it is the norm.

The huge appreciation that exists for AAPL iPhones is something worth taking into account. The increase in sales was probably the result of the decision by AAPL to sell its iPhones on discounted prices. This had gone on in the three months prior to September, that is, June, July and August. It was a smart move by AAPL considering that it was planning to release the iPhone 5S and its success would be reliant on getting rid of old stock. The fact that the company was also on the verge of releasing iOS 7 must have influenced the increase in sales for its products.

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