Apple Stock News: Weak Demand, Goldman Sachs Break Up, Foldable iPad

Apple Stock News: MacBook Air Demand


Apple Stock News: The new 15-inch MacBook Air’s initial customer demand has been weaker than expected. Shipments in July were 50% lower than the original estimate due to a downturn in the notebook market. Some Apple suppliers have requested reduced shipments because of this slow start. The laptop, which starts at $1,299, has the same design and M2 chip as the 13-inch model but features a larger display and two extra speakers. It remains unclear if the demand meets Apple’s internal expectations. The company is set to report its third-quarter earnings on August 3, and more information may be shared then. Additionally, there are rumors of an upcoming announcement about a new MacBook Pro, including a new 13-inch model with an M3 chip that is expected to offer significant performance and power efficiency improvements compared to the existing M2 chip.

Goldman Sachs Break Up


Recent reports indicate that Goldman Sachs and Apple’s financial partnership might come to an end due to several issues. The venture has not been profitable for Goldman Sachs, and customer service problems with the Apple Savings account have affected Apple’s reputation. During the development phase, Apple had specific demands for the Apple Card that caused problems, such as instant cash back rewards that didn’t launch and unique billing statements.

One notable issue arose when Apple CEO Tim Cook couldn’t get approved for an Apple Card due to credit bureau flags on his accounts. This, along with other internal problems, led to an investigation by the U.S. Consumer Financial Protection Bureau. Goldman Sachs was also investigated for gender discrimination related to credit limit increases, which created further tension with Apple.

Goldman Sachs wants to move away from consumer banking and tried to transfer the Apple partnership to American Express, but contractual obligations with Mastercard, Apple’s approved payment network, prevent this until 2026. Few companies are willing to meet Apple’s terms to become a new partner.

Goldman Sachs is not collecting typical partnership fees for the Apple Card and is not benefiting from merchant fees or other charges, making the deal less attractive. Apple might consider partnering with a different bank to handle regulatory functions while handling underwriting, fraud prevention, and customer service themselves. It is unclear if the partnership will continue, but sources believe it could take around 18 months to dissolve.

Apple Considering Foldable iPad


Apple is reportedly considering launching a foldable iPad in the future, as mentioned in a forthcoming DigiTimes report. The device would have a hinge, allowing it to open and close like a book, resulting in a larger display. Apple has previously been rumored to be working on foldable smartphones and may explore other options, such as foldable iPhones and Macs. However, it is uncertain if these plans will materialize beyond the research and development stage.

Read More Apple Stock News in 2023

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