Apple Price Cut Focused on China, Analyst Dan Ives Says

The video discusses the impact of China tariffs on Apple's financials, including a potential 4% hit to EPS and the possibility of passing costs to consumers, which could lead to a loss of iPhone sales in the US. It highlights Apple's supply chain adjustments and pricing strategies to mitigate tariff effects. The discussion also covers Apple's market share strategy, particularly in China, and the importance of the iOS install base in maintaining growth despite competitive pressures from Huawei and Samsung.

What is the estimated impact on Apple's EPS if the December 15th tariff is absorbed?

• 6% increase

• 4% decrease

• 2% increase

• 8% decrease

How did Apple respond to the tariffs on iPads and Apple Watches?

• By discontinuing the products

• By speeding up shipments

• By slowing down shipments

• By increasing prices

What is the price difference between the iPhone 11 and the iPhone XR?

• $200 higher

• $50 lower

• $100 higher

• $150 lower

Why might consumers still prefer the iPhone XR over the iPhone 11 despite the tariffs?

• Longer battery life

• Better camera features

• Lower price

• More color options

What is Apple's strategy to maintain its market share in China?

• Reducing product variety

• Doubling down on price cuts

• Increasing product prices

• Introducing 5G technology

How many iOS devices are part of Apple's install base?

• 1.4 billion

• 1.6 billion

• 1.8 billion

• 1.2 billion

What is the significance of Apple's install base according to the discussion?

• It is a minor aspect of their strategy

• It is the core of their growth thesis

• It is only important for US sales

• It is irrelevant to their market strategy