Apple’s failure to blow the world away during Tuesday’s event has taken a pretty big bite out of its shares today. They were down about 5 percent to $469.65 as of this post, continuing the drop that started yesterday after the announcement. Apple suppliers’ shares are also falling.
In case you missed it, Apple unveiled the cheaper iPhone 5c, plus an iPhone 5s that includes a new fingerprint sensor. Some, like our very own Troy Wolverton, are critical, saying “it’s clear the company’s not exactly stretching itself.” From ExtremeTech: “For better or worse, [CEO Tim Cook’s] best ideas so far have been coloring a phone gold, and not releasing a smartwatch.”
Also, the purportedly cheaper ($99 with a two-year contract) iPhone, which is supposed to appeal to overseas markets, really isn’t. It has a steep price when not subsidized by a wireless carrier: $549 in the United States, $730 in China, according to Reuters.
“Critically, by ignoring the mid-tier smartphone segment, Apple will continue to lose users to the Android ecosystem,” Credit Suisse analyst Kulbinder Garcha reportedly wrote. It was a common refrain among analysts.
Photo: Apple CEO Tim Cook at Tuesday’s unveiling of the company’s new iPhones. (Glenn Chapman/AFP/Getty Images)