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Apple Needs a Rescue Plan to Revive Smartphone Sales. All Eyes Are on the Alleged iPhone 17 Air

  • The iPhone remain the world’s best-selling smartphone, but it’s not enough.

  • Apple could lose its second place ranking in market share if Xiaomi keeps pushing.

  • The iPhone 17 Air could be the lifeline in these choppy waters.

The iPhone 17 Air could be the lifeline in these choppy waters
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iPhone 17 Slim, iPhone 17 Air. Rumors about Apple have increased in recent weeks, and there's a good reason. According to Bloomberg's Mark Gurman, Apple is purportedly preparing an iPhone with a much more attractive design than its siblings.

"The sales pitch will probably go like this: If you want something snazzier than a standard iPhone—but don’t really need the performance, screen size or cameras of a Pro model—you can get something that looks much cooler while still having the specifications of a regular iPhone," Gurman noted earlier this month.

This move reflects a strategy Apple has been cooking up for a while. For years, the company couldn’t figure out how to sell the second model of its “non-Pro” family. The iPhone mini was a sales failure despite being the cheapest: Users didn’t want small phones. Something similar is happening with the Plus model.

The curse of the second model. Since the launch of the iPhone 12, Apple has released a lineup with four models (except for the SE models): iPhone 1X, iPhone 1X (with surname), iPhone 1X Pro, and iPhone 1X Pro Max. The second model, generation after generation, hasn't brought in good sales.

Apple said goodbye to the mini after a remarkable sales failure. Even though there are lovers of small mobile phones, they’re a minority. So much so that Apple completely changed its strategy. The company replaced the mini with the Plus model, a standard iPhone with a bigger screen.

The Plus models aren’t taking off either. Apple has had success with the iPhone 15 Plus and 14 Plus. They were the seventh and eighth best-selling phones worldwide in Q1 2024 and 2023. Interestingly, however, these aren’t the best numbers.

In Q1 2024, the iPhone 15 Pro Max was the best-selling phone worldwide, followed by the iPhone 15 and iPhone 15 Pro—a full house for Apple. The iPhone 14 was in fourth place. And the iPhone 15 Plus? It was eighth.

This isn’t a bad place to be in, but it’s far from the top 3 occupied by its three siblings, which makes it clear that the Plus is the model of least interest. Something similar happened last year. The iPhone 14, 14 Pro Max, and iPhone 14 Pro occupied the top slots. The iPhone 14 Plus? Seventh place.

Despite being cheaper (though not much) than the Pro model, the data shows that users seem to prefer to bet on the other options.

A rescue plan: launching a completely different phone. A smaller iPhone didn’t work. A bigger iPhone didn’t work. So, what’s the plan? A bet on design. The rumored iPhone 17 Air, as far as we know, will purportedly be the thinnest iPhone in the line, a model that will share specs with the iPhone 17 and be much more attractive in design.

While this is the data we have based on the latest rumors, it seems clear that you can’t conquer the market with a made-up iPhone 17. The key will be what else the iPhone 17 Air offers over the standard model to become a bestseller.

Apple needs more of a push with the iPhone. Although the iPhone is still the world’s best-selling device, Apple is on the verge of losing its spot as the second-biggest phone manufacturer worldwide.

Top 5 smartphone companies

China's Xiaomi is closer than ever to overtaking both Samsung and Apple in global sales. In the second quarter of 2014, Apple grew by 1.5% compared to 0.7% for Samsung. Xiaomi, on the other hand, grew by 27.4%. Let's suppose that Xiaomi maintains this growth despite the difference in total units shipped. In that case, it will end the year as the top smartphone manufacturer.

Year-over-year growth or decline in Apple divisions

Apple continues to make a lot of money, but revenue from iPhone sales is stagnate. Th Services and iPad divisions are the two lifelines every time Apple reports earnings, but reviving iPhone sales is key for the company.

If true, the iPhone 17 could be a possible lifeline, but it raises as many doubts as it does hopes. Will it have the same camera system as the iPhone 17? Will being thinner compromise its battery? Will the change in design be noticeable enough to make a case worth the investment? We hope to answer these questions soon.

This article was written by Ricardo Aguilar and originally published in Spanish on Xataka.

Image | Xataka On

Related | iPhone 16: Release Date, Price, Models and Everything We Think It’s Coming

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