When it comes to selling iPhones on a particular carrier, said carriers sign a contract with Apple to buy a certain amount of devices in order to sell on its network. Well, because of what has been described as a “down” year for iPhone sales, it is looking like Verizon might be out $14 billion that it must pay to Apple, at least one analyst said.
Verizon’s 2010 agreement told Apple that it would sell $23.5 billion worth of iPhones this year; that puts sales at around double of what was sold lat year. That means that Verizon might have to pay up for unsold iPhones.
Verizon isn’t the only company that hasn’t been selling that great though, as many analysts expect Apple to see up to a 22% drop in revenue during Q3 of this year, which will be announced on July 24th.
Sprint played it a little safer, going with $15.5 billion worth of iPhones, which, according to Bloomberg, should be met if it keeps on track. If Apple wants to stay competitive, it will need to find a way to break in to the emerging mobile markets.
This is where the ever rumored budget iPhone could come in to play, and it could help boost Apple’s iPhone sales and keep its revenue in the green. The budget iPhone is expected to come out later this year.
What do you think? What Apple could do to stay relevant? Is the iPhone on the downfall? Let us know in the comments