Tag Archives: Products / Services

Apple to reveal streaming service prices while iPhones on ‘holding pattern’ until 5G

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(Reuters) – Apple Inc (AAPL.O) is set on Tuesday to announce pricing for its forthcoming streaming TV service as well as updates to its iPhone lineup, as the tech giant reaches a turning point where it focuses as much on services as its hardware and software.

FILE PHOTO: A demonstration of the newly released Apple products is seen following the product launch event at the Steve Jobs Theater in Cupertino, California, U.S. September 12, 2018. REUTERS/Stephen Lam

The annual upgrade to the iPhone is expected to include new camera features but few big changes, with Apple in a “holding pattern” until it rolls out 5G phones with faster mobile data speeds next year, analysts said. Instead, services like the television content featuring the likes of Oprah Winfrey that will compete with Netflix Inc (NFLX.O) and Walt Disney Co (DIS.N) could take center stage.

While the iPhone still makes up more than half of Apple’s sales, Tuesday’s event may nudge it off center stage after a decade in the limelight.

Apple long boasted about its competitive advantage over rivals such as Samsung Electronics Co Ltd (005930.KS), which makes handsets, or Alphabet Inc’s Google (GOOGL.O), which provides the Android operating system for most of the world’s phones. Apple touted controlling both the hardware and software, resulting in polished products that commanded premium prices and captured most of the smart phone industry’s profits.

But at the fall event at 10 a.m. PT (1700 GMT) in the Steve Jobs Theater in Cupertino, California, typically Apple’s splashiest and dedicated to its flagship devices, Apple is cementing a third element to its focus: hardware, software and services.

The new strategy, which Apple hinted at an event in March where it gave some details about the streaming TV service, comes as iPhone sales have declined year-over-year for the past two fiscal quarters and investors are fixed on the growth potential for services.

Questions about how Apple will price its television service, and whether it will bundle it with its streaming music products, will weigh on the minds of Wall Street and analysts just as much as whether the Apple TV hardware box gets an upgrade or how many cameras the iPhone has. Apple has not yet given a specific launch date or price.

“This is the first time we’ll get to see Apple’s strategy with all three parts of the business,” said Ben Bajarin, an analyst with Creative Strategies.

With streaming content, Apple is entering a crowded field. Since Apple’s initial television event in March, rivals like Walt Disney Co (DIS.N) have since announced a $6.99 per month service that will contain that firm’s iconic children’s content.

With no historic library of television content of its own, Apple will sell its own service – Apple TV+ – even as it already serves as a reseller of other channels like HBO and, analysts believe, takes a cut of sales. Bajarin said Apple’s challenge is to persuade consumers that its family of devices, from its set-top box to phones, are the best one-stop place to watch shows, despite the fact that Netflix has yet to come on board with the integrated viewing system. (Netflix remains available as a standalone app on Apple devices, and its shows appear in search results in the Apple TV app.)

“Netflix is sort of gaping void” in the Apple TV app “but they’ve got Amazon and all the channels on board,” Bajarin said. “The vast majority of content providers are playing nice with Apple TV.”

Apple is also likely to unveil updates to the iPhone and Apple Watch. Analysts expect the iPhone to feature better cameras, and perhaps new chips to help handle the work of sensors on the device, but few new blockbuster features. Those are not expected until next year, when Apple is expected to have a 5G device capable to taking advantage of faster mobile data networks.

“I believe we are in an incremental holding pattern until 5G. Customers with iPhone X and beyond likely won’t have a reason to upgrade,” said Patrick Moorhead of Moor Insights & Strategy.

In terms of pricing, most analyst expect prices to remain unchanged from the last year’s models, between $749 and $1,099 depending on size and features. Apple makes much of its profits on selling memory upgrades to devices with larger storage capacity, and Moorhead said falling memory chip prices could help Apple absorb the cost of tariffs on Chinese-made goods, which are expected to hit mobile phones starting Dec. 15.

“Thankfully storage and memory prices have declined so instead of taking more profit, I see Apple eating the cost and not raising prices,” Moorhead said. “I can also see Apple leaning heavily on its supply chain to eat some of the cost.”

Reporting by Stephen Nellis; Editing by Lisa Shumaker

Our Standards:The Thomson Reuters Trust Principles.

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Apple to reveal streaming service prices while iPhones on ‘holding pattern’ until 5G

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(Reuters) – Apple Inc (AAPL.O) is set on Tuesday to announce pricing for its forthcoming streaming TV service as well as updates to its iPhone lineup, as the tech giant reaches a turning point where it focuses as much on services as its hardware and software.

FILE PHOTO: A demonstration of the newly released Apple products is seen following the product launch event at the Steve Jobs Theater in Cupertino, California, U.S. September 12, 2018. REUTERS/Stephen Lam

The annual upgrade to the iPhone is expected to include new camera features but few big changes, with Apple in a “holding pattern” until it rolls out 5G phones with faster mobile data speeds next year, analysts said. Instead, services like the television content featuring the likes of Oprah Winfrey that will compete with Netflix Inc (NFLX.O) and Walt Disney Co (DIS.N) could take center stage.

While the iPhone still makes up more than half of Apple’s sales, Tuesday’s event may nudge it off center stage after a decade in the limelight.

Apple long boasted about its competitive advantage over rivals such as Samsung Electronics Co Ltd (005930.KS), which makes handsets, or Alphabet Inc’s Google (GOOGL.O), which provides the Android operating system for most of the world’s phones. Apple touted controlling both the hardware and software, resulting in polished products that commanded premium prices and captured most of the smart phone industry’s profits.

But at the fall event at 10 a.m. PT (1700 GMT) in the Steve Jobs Theater in Cupertino, California, typically Apple’s splashiest and dedicated to its flagship devices, Apple is cementing a third element to its focus: hardware, software and services.

The new strategy, which Apple hinted at an event in March where it gave some details about the streaming TV service, comes as iPhone sales have declined year-over-year for the past two fiscal quarters and investors are fixed on the growth potential for services.

Questions about how Apple will price its television service, and whether it will bundle it with its streaming music products, will weigh on the minds of Wall Street and analysts just as much as whether the Apple TV hardware box gets an upgrade or how many cameras the iPhone has. Apple has not yet given a specific launch date or price.

“This is the first time we’ll get to see Apple’s strategy with all three parts of the business,” said Ben Bajarin, an analyst with Creative Strategies.

With streaming content, Apple is entering a crowded field. Since Apple’s initial television event in March, rivals like Walt Disney Co (DIS.N) have since announced a $6.99 per month service that will contain that firm’s iconic children’s content.

With no historic library of television content of its own, Apple will sell its own service – Apple TV+ – even as it already serves as a reseller of other channels like HBO and, analysts believe, takes a cut of sales. Bajarin said Apple’s challenge is to persuade consumers that its family of devices, from its set-top box to phones, are the best one-stop place to watch shows, despite the fact that Netflix has yet to come on board with the integrated viewing system. (Netflix remains available as a standalone app on Apple devices, and its shows appear in search results in the Apple TV app.)

“Netflix is sort of gaping void” in the Apple TV app “but they’ve got Amazon and all the channels on board,” Bajarin said. “The vast majority of content providers are playing nice with Apple TV.”

Apple is also likely to unveil updates to the iPhone and Apple Watch. Analysts expect the iPhone to feature better cameras, and perhaps new chips to help handle the work of sensors on the device, but few new blockbuster features. Those are not expected until next year, when Apple is expected to have a 5G device capable to taking advantage of faster mobile data networks.

“I believe we are in an incremental holding pattern until 5G. Customers with iPhone X and beyond likely won’t have a reason to upgrade,” said Patrick Moorhead of Moor Insights & Strategy.

In terms of pricing, most analyst expect prices to remain unchanged from the last year’s models, between $749 and $1,099 depending on size and features. Apple makes much of its profits on selling memory upgrades to devices with larger storage capacity, and Moorhead said falling memory chip prices could help Apple absorb the cost of tariffs on Chinese-made goods, which are expected to hit mobile phones starting Dec. 15.

“Thankfully storage and memory prices have declined so instead of taking more profit, I see Apple eating the cost and not raising prices,” Moorhead said. “I can also see Apple leaning heavily on its supply chain to eat some of the cost.”

Reporting by Stephen Nellis; Editing by Lisa Shumaker

Our Standards:The Thomson Reuters Trust Principles.

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Huawei unveils new OS to be used in smartphones, different units

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FILE PHOTO: A Huawei gadget is pictured within the Manhattan borough of New York, New York, U.S., July 22, 2019. REUTERS/Carlo Allegri/File Picture

DONGGUAN, China/HONG KONG (Reuters) – Huawei Applied sciences [HWT.UL] unveiled on Friday its proprietary working system to be used in smartphones and different units, as U.S. commerce curbs imposed in Could threaten to chop the Chinese language agency’s entry to essential U.S. applied sciences akin to Android.

“Concord OS is totally totally different from Android and iOS,” stated Richard Yu, head of Huawei’s client enterprise group, referring to working programs developed by Alphabet Inc’s (GOOGL.O) Google and Apple Inc (AAPL.O).

“You’ll be able to develop your apps as soon as, then flexibly deploy them throughout a variety of various units,” he advised a builders’ convention held in Dongguan in southern China, the place Huawei has constructed a lavish new campus modeled after European cities.

Concord, referred to as Hongmeng in Chinese language, is prepared to be used in smartphones however Huawei prefers to stay to Android for now to help its app builders, Yu stated, including the Honor sensible display product it plans to unveil on Saturday would be the first product utilizing the Concord OS.

He stated it could be tough for Huawei to satisfy its earlier purpose of changing into the world’s largest smartphone maker by shipments this 12 months because of the U.S. curbs.

The corporate would have been capable of ship 300 million smartphones this 12 months with out such restrictions, Yu stated.

Reporting by Sijia Jiang; Enhancing by Miyoung Kim and Muralikumar Anantharaman

Our Requirements:The Thomson Reuters Belief Rules.

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Supply hyperlink

EBay to launch warehousing and transport companies subsequent 12 months

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(Reuters) – EBay Inc (EBAY.O) stated on Wednesday it might launch a warehousing and transport service for retailers promoting by way of its website beginning subsequent 12 months, a brand new technique that’s anticipated to draw extra sellers to the e-commerce platform.

FILE PHOTO: An eBay signal is seen at an workplace constructing in San Jose, California Might 28, 2014. REUTERS/Beck Diefenbach/File Photograph

This system is at the moment in trial in the USA and Germany and is much like Amazon.com Inc’s (AMZN.O) “Achievement By Amazon” service, or FBA, which permits retailers to hire house in warehouses worldwide to allow them to retailer stock nearer to prospects.

It’s poised to assist eBay ship merchandise sooner, more and more a key consideration of consumers after they browse for objects on-line. EBay sellers ship about 1.5 million packages day by day in the USA.

EBay, primarily based in San Jose, California, held the mantle of being the highest on-line vacation spot for sellers earlier than Amazon’s market gained traction over a decade in the past with the assistance of FBA. That gave the Seattle firm way more management over the transport course of.

Whereas EBay lengthy resisted rising its logistics footprint, Amazon raised the stakes additional this April, asserting it might halve supply occasions to in the future by way of its loyalty membership Prime, a service that prices U.S. members $119 per 12 months. On the similar time, improved logistics networks and excessive warehouse capability made a supply service extra possible for eBay.

Devin Wenig, eBay’s chief govt, stated the corporate was focusing on free two-day transport below this system.

“What this isn’t about is us attempting to win a quick transport warfare,” he stated in a phone interview. “Our 182 million customers store on eBay due to the worth and uniqueness of our stock. We’re not the one-hour supply guys. We’re by no means going to be that, however client expectations are altering.”

Some 40% to 50% of things on eBay will qualify, whereas the corporate can supply its assured three-day supply program introduced in 2017 for the rest, Wenig stated.

Wenig didn’t focus on how a lot eBay would spend on the service, often known as “Managed Supply,” however he stated it may be a worthwhile enterprise by itself proper.

Sellers in this system will probably be charged a charge for warehousing and for transport as soon as an merchandise is offered. The service will allow them to fulfill orders positioned on eBay or on different on-line platforms, the corporate stated.

Reporting by Akanksha Rana and Munsif Vengattil in Bengaluru and Jeffrey Dastin in San Francisco; enhancing by Shinjini Ganguli and Susan Thomas

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BMW and Jaguar Land Rover to jointly develop electric car parts

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FRANKFURT (Reuters) – BMW and Jaguar Land Rover on Wednesday said they will jointly develop electric motors, transmissions and power electronics, unveiling yet another industry alliance designed to lower the costs of developing electric cars.

Both carmakers are under pressure to roll out zero-emission vehicles to meet stringent anti-pollution rules, but have struggled to maintain profit margins faced with the rising costs of making electric, connected and autonomous cars.

“Together, we have the opportunity to cater more effectively for customer needs by shortening development time and bringing vehicles and state-of-the-art technologies more rapidly to market,” said BMW board member Klaus Froehlich.

BMW and Jaguar Land Rover said they will save costs through shared development, production planning and joint purchasing of electric car components. Both companies will produce electric drivetrains in their own manufacturing facilities, BMW said.

The BMW Jaguar Land Rover pact comes as rivals FiatChrysler and Renault explore a $35 billion tie-up of the Italian-American and French carmaking groups.

Nick Rogers, Jaguar Land Rover’s engineering director said, “We’ve proven we can build world beating electric cars but now we need to scale the technology to support the next generation of Jaguar and Land Rover products.”

BMW was in talks with rival Daimler about developing electric car components but was also in discussions with Jaguar Land Rover, a company it once owned, to explore an alliance on engines.

BMW already has a deal to supply an 8 cylinder engine to Jaguar Land Rover.

Carmakers are increasingly open to sharing electric car parts because the technology is expensive and because customers no longer buy a car based on what engine a vehicle has.

“Carmakers are much less precious about sharing electric car technology because it is much harder to create product differentiation with electric car tech. They all accelerate fast, and everybody can do quality and ride and handling,” according to Carl-Peter Forster a former chief executive of Tata Motors and a former BMW executive.

Slideshow (2 Images)

Jaguar Land Rover is still run by former BMW managers, including Ralf Speth the company’s chief executive who spent 20 years at BMW prior to joining JLR, and Wolfgang Ziebart, the engineer who oversaw Jaguar’s iPace electric car program, who is a former head of research and development at BMW.

Jaguar Land Rover said it would redouble efforts to cut costs after it posted a $4 billion loss earlier this year, hit by a downturn in demand for sports utility vehicles in China and a regulatory clampdown on diesel emissions.

BMW bought Britain’s Rover Group, which included the Jaguar and Land Rover brands, for 800 million pounds in 1994 only to sell Jaguar Land Rover to Ford in March 2000 for $2.7 billion. In 2008 India’s Tata Group bought Jaguar and Land Rover from Ford for $2.3 billion.

Reporting by Edward Taylor, editing by Riham Alkousaa, Thomas Escritt and Alexandra Hudson

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