Latest news with #EricSchiffer
USA Today
02-05-2025
- Business
- USA Today
Apple to move iPhone production to India to mitigate tariffs as sales decline
Apple to move iPhone production to India to mitigate tariffs as sales decline Show Caption Hide Caption Apple moving most US iphone production from China to India Apple has a strategy for avoiding President Trump's steep tariffs on China: making more of its iPhones in India. A source told Reuters the tech giant is holding urgent talks with manufacturers Foxconn and Tata with the goal of producing most of its U.S.-bound iPhones in India by the end of 2026. Apple AAPL.O is expected to face a string of questions over the delayed roll-out of key AI features and the impact of the Sino-U.S. tariff standoff on its business, when it reports results on Thursday. Even as Apple benefited from a rush of orders for its recently launched lower-priced iPhone 16e in the January-March period ahead of potential tariffs, Wall Street analysts still expect the company will report a small fall in iPhone sales. That would mark a second straight quarter of declines. The Trump administration has so far spared electronics from tariffs, but Washington has signaled that some levies could come in the coming weeks. The uncertainty has sent shares of Apple, which makes 90% of its products in China, down more than 16% this year, and wiping off over $600 billion from its market value. A $2,300 iPhone? What Trump tariffs could mean for your next Apple purchase Apple will try to mitigate tariffs by shifting production of U.S.-bound iPhones to India, Reuters has reported. Analysts expect the company to spread some of the tariff costs through its supply chain, while keeping price increases to a minimum to avoid losing market share. "Tariffs are a sword of Damocles for Apple – dangling, disruptive and politically charged," said Eric Schiffer, chairman of Patriarch Organization, a California-based private equity firm that holds Apple shares. Unlike rivals such as Samsung and Alphabet's GOOGL.O Google, Apple has also been slow to roll out some important AI features it promised last year at its developer conference. Improvements to voice assistant Siri, a common ask from users and investors, have been delayed to 2026, and Apple pulled a commercial that promoted AI functionalities that were not yet available. AI features are especially important in China, where Apple has been losing market share to domestic rivals such as Huawei. Apple has partnered with Alibaba to offer AI services in China but hasn't offered a timeline for their roll-out. IPhone shipments in China fell 9% in the March quarter, the only major smartphone maker to post a decline in the region, according to data from research firm IDC. Despite these challenges, strong demand for the $599 iPhone 16e in India helped Apple take the top spot for global smartphone sales in the quarter, according to Counterpoint Research. Apple's cautious, privacy-first approach to AI deployment has slowed its roll-out and left the company playing catch up, said Jacob Bourne, analyst at eMarketer. "With tariffs threatening cost structures, Apple faces pressure to move faster on AI innovation and supply chain realignment - both of which are capital intensive". Overall, Apple's revenue is expected to rise 4.2% in the January-March period, its fiscal second quarter, roughly matching the pace in the first quarter. Growth will likely be driven by upbeat iPad demand and growth in the services business. IPad sales are expected to rise 9.1% in the second quarter, while the services business, Apple's biggest revenue generator after the iPhone, will likely grow 11.8%. Reporting by Akash Sriram in Bengaluru; Editing by Sayantani Ghosh and Shounak Dasgupta
Business Recorder
30-04-2025
- Business
- Business Recorder
Wall Street choppy as markets juggle trade war news
NEW YORK: Wall Street's main indexes moved higher in volatile trading on Tuesday as a mixed bag of corporate earnings, soft economic data and fresh developments on the US-China trade front kept investors on the sidelines. US Treasury Secretary Scott Bessent predicted China could lose 10 million jobs quickly due to tariffs, but signaled progress on trade deals with other countries including Japan and India. The world's two largest economies have slapped tit-for-tat import tariffs on each other and uncertainty around the state of negotiations between the two has kept markets on edge. There is still some optimism around 'what will likely be deals with India, Japan, Australia, and South Korea', but talks with China will likely be 'the last pin to fall', said Patriarch Organization CEO Eric Schiffer. A day after US officials said the Trump administration will move to reduce the impact of automotive tariffs, shares of Ford were only marginally higher and Tesla fell 0.6%. The blue-chip Dow got a boost as Honeywell jumped 5.4% on reporting a rise in adjusted profit for the first quarter. Paintmaker Sherwin-Williams gained 5% after its quarterly profit beat estimates. However, General Motors fell 1.6% after the automaker pulled its annual forecast due to tariff uncertainty. The day's data releases also pointed to an increasingly murky economic outlook. The Conference Board's consumer confidence index dropped to its lowest reading since May 2020, while job openings came in at 7.19 million in March, below estimates of 7.48 million. 'We're just in this eye of the storm ... for a lot of investors, consumers, and business leaders wondering what the future looks like as potential tariffs kick in down the road,' said Matthew Stucky, chief portfolio manager at Northwestern Mutual Wealth Management. At 11:49 a.m. ET, the Dow Jones Industrial Average rose 243.76 points, or 0.61%, to 40,471.35, the S&P 500 gained 13.75 points, or 0.25%, to 5,542.50 and the Nasdaq Composite gained 26.30 points, or 0.15%, to 17,392.44. More economic data, including nonfarm payrolls, is expected this week, and results from many of the 'Magnificent Seven' group of megacap stocks are also due, with investors hawk-eyed on any signs of tariff impact on their outlook. All three major indexes remain down for the year, despite the S&P 500 logging its best winning streak since November on Monday. HSBC became the latest brokerage to trim its year-end target for the S&P 500 index, cutting it to 5,600 from 6,700 earlier.
&w=3840&q=100)
Business Standard
29-04-2025
- Business
- Business Standard
Wall Street choppy as markets juggle trade war news, mixed earnings
Wall Street's main indexes moved higher in volatile trading on Tuesday as a mixed bag of corporate earnings, soft economic data and fresh developments on the US-China trade front kept investors on the sidelines. US Treasury Secretary Scott Bessent predicted China could lose 10 million jobs quickly due to tariffs, but signaled progress on trade deals with other countries including Japan and India. The world's two largest economies have slapped tit-for-tat import tariffs on each other and uncertainty around the state of negotiations between the two has kept markets on edge. There is still some optimism around "what will likely be deals with India, Japan, Australia, and South Korea", but talks with China will likely be "the last pin to fall", said Patriarch Organization CEO Eric Schiffer. A day after US officials said the Trump administration will move to reduce the impact of automotive tariffs, shares of Ford were only marginally higher and Tesla fell 0.6 per cent. The blue-chip Dow got a boost as Honeywell jumped 5.4 per cent on reporting a rise in adjusted profit for the first quarter. Paintmaker Sherwin-Williams gained 5 per cent after its quarterly profit beat estimates. However, General Motors fell 1.6 per cent after the automaker pulled its annual forecast due to tariff uncertainty. The day's data releases also pointed to an increasingly murky economic outlook. The Conference Board's consumer confidence index dropped to its lowest reading since May 2020, while job openings came in at 7.19 million in March, below estimates of 7.48 million. "We're just in this eye of the storm ... for a lot of investors, consumers, and business leaders wondering what the future looks like as potential tariffs kick in down the road," said Matthew Stucky, chief portfolio manager at Northwestern Mutual Wealth Management. At 11:49 a.m. ET, the Dow Jones Industrial Average rose 243.76 points, or 0.61 per cent, to 40,471.35, the S&P 500 gained 13.75 points, or 0.25 per cent, to 5,542.50 and the Nasdaq Composite gained 26.30 points, or 0.15 per cent, to 17,392.44. More economic data, including nonfarm payrolls, is expected this week, and results from many of the "Magnificent Seven" group of megacap stocks are also due, with investors hawk-eyed on any signs of tariff impact on their outlook. All three major indexes remain down for the year, despite the S&P 500 logging its best winning streak since November on Monday. HSBC became the latest brokerage to trim its year-end target for the S&P 500 index, cutting it to 5,600 from 6,700 earlier. Coca-Cola rose 0.6 per cent after beating revenue and profit estimates, while United Parcel Service edged 0.2 per cent lower after its quarterly results. Wells Fargo gained 1.3 per cent after announcing a stock buyback program of up to $40 billion. Advancing issues outnumbered decliners by a 1.26-to-1 ratio on the NYSE and by a 1.11-to-1 ratio on the Nasdaq. The S&P 500 posted 3 new 52-week highs and 4 new lows while the Nasdaq Composite recorded 23 new highs and 47 new lows. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
NDTV
29-04-2025
- Business
- NDTV
Apple Investors Seek Clarity On Tariffs, AI Strategy As iPhone Sales Decline
Bengaluru: Apple is expected to face a string of questions over the delayed roll-out of key AI features and the impact of the Sino-U.S. tariff standoff on its business, when it reports results on Thursday. Even as Apple benefited from a rush of orders for its recently launched lower-priced iPhone 16e in the January-March period ahead of potential tariffs, Wall Street analysts still expect the company will report a small fall in iPhone sales. That would mark a second straight quarter of declines. The Trump administration has so far spared electronics from tariffs, but Washington has signaled that some levies could come in the coming weeks. The uncertainty has sent shares of Apple, which makes 90% of its products in China, down more than 16% this year, and wiping off over $600 billion from its market value. Apple will try to mitigate tariffs by shifting production of U.S.-bound iPhones to India, Reuters has reported. Analysts expect the company to spread some of the tariff costs through its supply chain, while keeping price increases to a minimum to avoid losing market share. "Tariffs are a sword of Damocles for Apple - dangling, disruptive and politically charged," said Eric Schiffer, chairman of Patriarch Organization, a California-based private equity firm that holds Apple shares. Unlike rivals such as Samsung and Alphabet's Google, Apple has also been slow to roll out some important AI features it promised last year at its developer conference. Improvements to voice assistant Siri, a common ask from users and investors, have been delayed to 2026, and Apple pulled a commercial that promoted AI functionalities that were not yet available. AI features are especially important in China, where Apple has been losing market share to domestic rivals such as Huawei. Apple has partnered with Alibaba to offer AI services in China but hasn't offered a timeline for their roll-out. IPhone shipments in China fell 9% in the March quarter, the only major smartphone maker to post a decline in the region, according to data from research firm IDC. Despite these challenges, strong demand for the $599 iPhone 16e in India helped Apple take the top spot for global smartphone sales in the quarter, according to Counterpoint Research. Apple's cautious, privacy-first approach to AI deployment has slowed its roll-out and left the company playing catch up, said Jacob Bourne, analyst at eMarketer. "With tariffs threatening cost structures, Apple faces pressure to move faster on AI innovation and supply chain realignment - both of which are capital intensive". Overall, Apple's revenue is expected to rise 4.2% in the January-March period, its fiscal second quarter, roughly matching the pace in the first quarter. Growth will likely be driven by upbeat iPad demand and growth in the services business. IPad sales are expected to rise 9.1% in the second quarter, while the services business, Apple's biggest revenue generator after the iPhone, will likely grow 11.8%.
Mint
29-04-2025
- Business
- Mint
Apple investors seek clarity on tariffs, AI strategy as iPhone sales decline
Company's AI strategy seen as conservative, lagging Android competitors Tariff threats may lead to higher costs, analysts warn Apple stock down 16% year to date April 29 (Reuters) - Apple is expected to face a string of questions over the delayed roll-out of key AI features and the impact of the Sino-U.S. tariff standoff on its business, when it reports results on Thursday. Even as Apple benefited from a rush of orders for its recently launched lower-priced iPhone 16e in the January-March period ahead of potential tariffs, Wall Street analysts still expect the company will report a small fall in iPhone sales. That would mark a second straight quarter of declines. The Trump administration has so far spared electronics from tariffs, but Washington has signaled that some levies could come in the coming weeks. The uncertainty has sent shares of Apple, which makes 90% of its products in China, down more than 16% this year, and wiping off over $600 billion from its market value. Apple will try to mitigate tariffs by shifting production of U.S.-bound iPhones to India, Reuters has reported. Analysts expect the company to spread some of the tariff costs through its supply chain, while keeping price increases to a minimum to avoid losing market share. "Tariffs are a sword of Damocles for Apple – dangling, disruptive and politically charged," said Eric Schiffer, chairman of Patriarch Organization, a California-based private equity firm that holds Apple shares. Unlike rivals such as Samsung and Alphabet's Google, Apple has also been slow to roll out some important AI features it promised last year at its developer conference. Improvements to voice assistant Siri, a common ask from users and investors, have been delayed to 2026, and Apple pulled a commercial that promoted AI functionalities that were not yet available. AI features are especially important in China, where Apple has been losing market share to domestic rivals such as Huawei. Apple has partnered with Alibaba to offer AI services in China but hasn't offered a timeline for their roll-out. IPhone shipments in China fell 9% in the March quarter, the only major smartphone maker to post a decline in the region, according to data from research firm IDC. Despite these challenges, strong demand for the $599 iPhone 16e in India helped Apple take the top spot for global smartphone sales in the quarter, according to Counterpoint Research. Apple's cautious, privacy-first approach to AI deployment has slowed its roll-out and left the company playing catch up, said Jacob Bourne, analyst at eMarketer. "With tariffs threatening cost structures, Apple faces pressure to move faster on AI innovation and supply chain realignment - both of which are capital intensive". Overall, Apple's revenue is expected to rise 4.2% in the January-March period, its fiscal second quarter, roughly matching the pace in the first quarter. Growth will likely be driven by upbeat iPad demand and growth in the services business. IPad sales are expected to rise 9.1% in the second quarter, while the services business, Apple's biggest revenue generator after the iPhone, will likely grow 11.8%.
