There have long been indications that the Chinese market is going to overtake the U.S. to become Apple’s biggest market. Apple CEO Tim Cook himself pointed out this possibility back in October last year, he said that this was “just a matter of time,” and if analysts are to be believed this time has come. Analysts expect that Apple is going to confirm this possibility tomorrow during its Q1 earnings call.
According to UBS analysts customers in China accounted for 36 percent of all iPhone shipments in the most recent quarter, as opposed to 24 percent for the United States. Comparing with the same time last year we see the U.S. accounting for 29 percent of all iPhone shipments against China’s 22 percent.
Creative Strategies backs this assumption by UBS analysts and forecasts that Apple will have sold 2 million more iPhone units in China than it has in the United States during the company’s final calendar quarter of 2014.
Analysts are of the view that Apple is going to increase its focus on China now. It is a lucrative market for the company, seeing as how the iPhone accounts for a substantial chunk of its revenue, so it may not be long before Apple Pay lands in the country along with a plethora of new retail stores planned to cover major cities of the People’s Republic.