Last week, for the first time in 13 years, Apple reported a drop in quarterly revenue. This was mainly due to a fall in sales of their flagship product, the iPhone. The worrying bit for the company is that they are predicting a further fall in the coming quarter due to the same reason. Of course, when the quarterly revenue base is over $50 billion, it’s really hard to keep growing, especially when that base was created due to the blockbuster release of the iPhone 6. How does a company that size keep growing? Is it possible to keep repackaging the iPhone every year and expect bumper sales? Or does one need to keep innovating to put more things in the market? The Apple Watch does not seem to have generated as much enthusiasm as the iPhones. However, rumor has it that a lot of work is going on developing an electric car and a virtual reality device. But will these match the success and should I say near ‘monopoly’ of the iPhone. Only time will tell.
Another event from last month was the release of the ‘Panama papers’ – a set of 11.5 million leaked documents with sensitive information including the details of shareholders and directors of more than 214,000 offshore companies. Some really big names from across the world cropped up and held center stage on all news media for about a week – and disappeared from the news as suddenly. The source of the leaks finally came down to lax data security and use of ‘outdate open source technology’ with known vulnerabilities. High time for the law firms in tax havens to charge their clients a Data Security surcharge and upgrade their systems!”