Gartner Research

An Apple Inflection Point and the Effect on Technology and Service Providers

Published: 26 June 2013

ID: G00253651

Analyst(s): Carolina Milanesi

Summary

Apple's growth in the mobile market challenged an industry to react to its success. An Apple inflection point in 2013 will cause both Apple and competitors to innovate and evolve their business models for continued growth.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • Apple's move into less expensive price points for the iPhone will not be done for the sake of market share, meaning that Apple will disrupt the midtier segment and put pressure on already struggling vendors such as HTC, Nokia and LG
  • CSPs' need to cut subsidies will drive them to work with Apple's competitors to raise the visibility of alternative brands and use subsidies for alternative devices to meet consumer needs
  • iCloud's focus on users that are already in the ecosystem versus outsiders will drive Apple to open up some of the services in its curated ecosystem, challenging vendors that take pride on openness but do not have a differentiated offering

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