Tomahawk, WI 01/20/2014 (BasicsMedia) – Leading software and mobile technology behemoth Apple Inc. (NASDAQ:AAPL) seems quite upbeat about its China venture for its flagship iPhone, in collaboration with China’s biggest national telecom services provider China Mobile Ltd. (ADR) (NYSE:CHL).

Apple CEO Tim Cook expects huge revenue from the alliance, with China Mobile’s vast spread across the Chinese subcontinent envisaging a gigantic chunk of its over 8 billion subscriber base. Prior to this, Apple’s largest iPhone supplier Foxconn is reported to have already dispatched over 1.4 million iPhones to China Mobile. Earlier, China Mobile’s Chairman Xi Guohua had said that a significant portion of China Mobile customers had placed orders for iPhones.

The iPhone’s China history and prospects

The iPhone is not new to China and has been available in China for quite some time through other leading Chinese telecom players like China Unicom and China Telecom. But then, the vast demographic reach offered by China Mobile should fetch Apple (NASDAQ:AAPL) a considerable, if not a gigantic, chunk of its base.

Industry analysts opine that the China Mobile tie-up could see iPhone sales volumes fall anywhere in the range of 17 million devices in 2014 alone, accounting for only 2% of China Mobile’s subscriber base, though Apple’s agreement with China Mobile extends far beyond mere iPhone device sales, according to Cook.

Apple’s future iPhone and technology plans

With the upcoming iPhone 6 expected to sport the much talked-about AMOLED screen technology, the iPhone seems ready for another round of reinvention. Apple, meanwhile, seems keenly interested in increasing AMOLED’s use in future creations like the much rumored Apple iWatch, in addition to Apple tablets – the iPads.

The iWatch, in particular, has spurred much speculation ever since CEO Cook announced Apple’s strategic plans for the wearable technology segment, where archrival Google Inc (NASDAQ:GOOG) has already made a big splash with the Google Glass,  would be more wrist-based.

iPhone’s contribution to Apple’s overall profit margins

Without a doubt, iPhone, the pioneer of the smart device revolution, continues to sway the classes and masses toward its sleek design and irresistible features. Back in the U.S., Apple’s home country, the iPhone saw spikes in sales volumes, with market share rising by 42% in the fourth quarter, going up by 7% considered over a year, while nearest competitor Samsung saw 26% share for the same fourth quarter, up from roughly 22% a year prior.

According to analyst estimates over Apple Inc. (NASDAQ:AAPL)’s revenue from its star product – the iPhone – peg iPhone sales for the quarter at around 55.3 million devices, which is a considerable jump by 16% from a year ago. This is expected to get better, with tablets and smartphones touted to be the future of the fast vanishing personal computers.

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