A Blog by Jonathan Low

 

Sep 26, 2013

Tales of Its Demise Slightly Exaggerated? Apple's iPhone Sales Alone Greater Than Revenues of Most S&P 500 Corporations

Yeah, so about that decline everyone seems so convinced of...

Context is important. This is not to say that Apple doesnt have problems and that it may be in danger of becoming a one-trick pony sort of like Microsoft did. Success and the complacency it often breeds can be an enterprise's worst enemy. Even in famously paranoid organizations.

And the departure of an iconic leader is difficult for any institution, however well managed, especially one whose image is so closely tied to its founder.

But as for it's disappearing or falling apart or being surpassed anytime soon? Unlikely. JL

Eric Chemi reports in BusinessWeek:

iPhone sales alone eclipse Microsoft and Amazon corporate revenue.
Apple (AAPL) Chief Executive Officer Tim Cook has taken plenty of flack for running a company that is supposedly well past its glory days—and the iPhone smartphone franchise is sometimes dismissed as a spent force, losing ground to more innovative brands such as Android and Samsung (005930:KS). Well, here’s a little perspective for the Apple-haters.
The iPhone 5s and 5c sold a record 9 million units during the first weekend after its launch. Consider this: The brand’s sales haul over the last four reported quarters eclipses that of such companies as Home Depot (HD), Microsoft (MSFT), Target (TGT), Goldman Sachs (GS), Amazon (AMZN), PepsiCo (PEP), Comcast (CMCSA), Dell (DELL), Google (GOOG), Pfizer (PFE), and UPS (UPS).
If this single product were its own company in the Standard & Poor’s 500-stock index, IPhone Inc. would outsell 474 of those companies—ranking between Wells Fargo (WFC) ($90.5 billion) and Marathon Petroleum (MPC) ($84.9 billion). The iPhone’s $88.4 billion in annualized revenue tops 21 of the 30 component companies in the Dow Jones industrial average—it would be the ninth-biggest stock in the Dow 30:

One more fun fact: The majority of Apple sales comes from this one product—iPhone sales ($88.4 billion) are greater than the sum of Apple’s remaining products—including the iPad, Mac laptops and desktops, and iTunes—combined ($81 billion).

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