Fans of dissecting and fixing smartphones have discovered a huge pleasant surprise in Apple’s latest and greatest iPhones. Apple (AAPL -1.51%), the world leader in consumer technology, has introduced the iPhone 14 series. In other words, you know what to do. The new device has a more powerful processor, much better cameras and other features not available on the old one.
In particular, the iPhone 14 has an unexpected and welcome update that may convince some staunch Android users to switch to the iPhone. Although Apple didn’t highlight this breakthrough update during the product introduction. Understandably, Apple would like to keep this significant update a secret. The company’s decision is motivated by sound business reasons. Wait until I break this down for you.
Apple’s user-friendly secret
Apple is known for limiting access to in-home repair services. The iPhone and iPad use special screws and extra-resistant glue to assemble them. Your iPhone 13’s automatic brightness and ambient light settings will stop working after you replace the cracked screen yourself. An expensive authorized repair by Apple specialists is the only way to keep these functions working, as they will be able to use a special connector to update the expected serial number of the screen.
New iPhone models are notoriously difficult to fix, although Apple has made significant improvements in this area with the release of the iPhone 14 series . Repair shops and hobbyists like iFixit and Zach Nelson of JerryRigEverything agree: this is a major upgrade. The back panel and screen come off effortlessly, making routine phone maintenance a pleasure. In addition to the screen and back panel, you can now replace the camera lens without taking the phone apart.
According to iFixit , “these improvements to the iPhone will help it last longer and minimize its overall impact on the earth. Hopefully, this will serve as a catalyst for other companies to adopt similar policies. Zach Nelson noted that the most commonly broken parts of the iPhone 14 are easy to replace when it breaks. Unlike most Android phones, I believe the iPhone 14’s screen and rear glass are now even more repairable. Keep in mind that this wasn’t just an appearance; the insides of the iPhone have been completely rethought. Everything inside the iPhone has been rearranged to make room for an entirely new frame.
Why isn’t Apple pounding the table about this remarkable update?
Apple is keeping quiet about the fact that this is probably the most user-friendly update to the iPhone platform in years. From the folks at iFixit:
All of our – and your – work has paid off. Our advocacy, our lobbying, our yelling in the streets. We convinced Apple’s design team of the importance of repairability. Now we need your help to convince their marketing team to spread the word.
It’s a bargain, though. If Apple wants to attract users who use the Android operating system, it will actively market the exceptional repairability of the iPhone 14. Unfortunately, that’s not the point at all. Compared to the almost rabid Apple fans, some Android users care more about the cost. Cupertino doesn’t care about increasing sales if it requires lower prices. This is especially true in light of the scarcity of semiconductors currently available. Apple no longer limits the number of iPhones sold. The iPhone’s profit margins in this region may remain unchanged.
As an additional argument, the manufacturer may say that a device that is easy to fix will stay in the customer’s possession much longer. Apple still wants you to upgrade your iPhone as often as possible. Why extend the life of a product that is already very profitable? Even now, Apple doesn’t really encourage in-house repairs or third-party repairs. Even if you manage to get an original Apple replacement screen for your iPhone 14 , you’ll still lose access to several useful features due to the lack of serial number updates.What’s the big idea?
It seems more likely that Apple intends to increase its profits through more iPhone repairs. There may be a small percentage of failed repairs when replacing the back glass on the iPhone 14 Pro Max , and the device could probably be serviced quickly. However, Apple is still asking $549 for the replacement. The price of the same service on last year’s iPhone XS Max 13 was $399.
It’s hard to gauge the impact of AppleCare on the company’s revenue and profits. Sales and operating profits for this Apple division are not reported separately, but instead are included in the service division’s total along with advertising, digital content and payment services revenues.
It is difficult to estimate the impact of AppleCare on the company’s revenues and profits. The sales and operating profits of this Apple division are not reported separately, but instead are included in the total of the services division along with advertising, digital content, and payment services revenues.
Nevertheless, Apple’s service division is the second largest after iPhone sales. This sector is also the most dynamic in revenue growth for the firm. The possibility of increasing Apple’s profits in this key market should be explored in every way possible. The improved repairability of the iPhone is a good illustration of this type of concept in action. Many long-term investors love Apple stock because the company does not feel guilty about its large profits.