NEWS ANALYSIS

Apple's Product Problem

Apple
Apple

Warning signs emerged for Apple investors this week when the company said its hot new iPhone 5C didn’t sell as expected and sales for the current quarter could be weak.

But investors who want to understand the company for the long-term should focus on another potential problem. This one isn’t with individual products, like the iPhone or iPad. It’s with Apple’s product orientation itself, and what it means for how the company innovates. 

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But if Apple continues to view these services as ways to sell more hardware, its destiny will still hang on a big hardware hit. And hit hardware is harder to come by. 


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