Written by Yang Jianyong

Apple may not win online battles, but its iPhone sales have never lagged behind, making it the most popular and best-selling high-end smartphone on the market. In recent days, I was surprised to see the data on global mobile phone shipments released by various agencies, revealing that demand for iPhones remains robust. Both IDC and Canalys have shown that iPhone sales have grown.

Firstly, this growth can be attributed to the sustained recovery of the smartphone market. According to Canalys data, global smartphone shipments increased by 5% year-on-year in the third quarter of 2024, marking the fourth consecutive quarter of growth.

Secondly, driven by consumer spending, iPhone sales in the third quarter of this year reached their highest level in the same period over the years, narrowly missing out on the top spot globally.

Canalys data shows that both Samsung and Apple hold 18% of the global market share, with Samsung edging out Apple by a narrow margin. However, unlike Samsung, which has seen a decline, Apple has performed robustly, increasing its market share from 17% in the third quarter of 2023 to 18%. It's worth noting that the iPhone 16 series only went on sale on September 20th, contributing little to third-quarter shipments and experiencing average sales initially.

Yet, according to Canalys analysts, as Apple Intelligence (Apple's AI) expands into new markets and supports more languages, iPhone 16 is expected to help Apple maintain strong growth in 2024 and extend its momentum into the first half of 2025. Meanwhile, TF International Securities analyst Ming-Chi Kuo earlier predicted that shipments of the iPhone 16 series in 2024 would reach an estimated 88 to 89 million units.

Apple Intelligence, Apple's first generative AI model, will initially support American English. However, it will soon support more languages in the future, including localized English in Australia, Canada, New Zealand, South Africa, and the UK by December, and additional languages such as Chinese, French, Japanese, and Spanish next year.

Benefiting from the strong global demand for iPhones and the optimistic outlook for AI-powered iPhone 16 series smartphones, Apple has once again set a new high in the capital market, with its market value briefly exceeding $3.6 trillion during trading hours. Although it has since retreated somewhat, its current market value still stands at an impressive $3.56 trillion.

It cannot be denied that Tim Cook is a shrewd businessman. While he may not match Steve Jobs' innovative prowess, Apple's profitability under his leadership is unmatched. In fiscal year 2023, Apple's net income reached $97 billion (nearly RMB 700 billion), and for fiscal year 2024, net income is even expected to exceed $100 billion.

Overall, the iPhone's global cash-generating ability is exceptional, enabling Apple to reap substantial profits. It is the most profitable technology company in the world, truly raking in vast sums daily. Such profitability is unattainable for other handset manufacturers. Even Warren Buffett, known for his aversion to high-tech investments, holds a significant stake in Apple. Despite significant reductions this year, Berkshire Hathaway still held 400 million Apple shares as of June 30, 2024, worth approximately $100 billion.

Lastly, not only has Apple secured a significant share of the global high-end smartphone market with its iPhones, generating the largest profits in the mobile industry, but it has also shone brightly in the capital market. Apple was the first company in the world to surpass a market value of $3 trillion and remains the most valuable company globally. Some institutions even predict that Apple's market value could exceed $4 trillion next year, primarily driven by the 'supercycle' expected for AI-powered iPhone 16 series products, further reflecting Apple's market influence.