After a market value evaporation of $300 billion, Apple should adjust its strategy.

Apple is the richest tech company in the world. Last year, Apple invested $26 billion in research and development, with annual profits of $100 billion and a current market value of $2.72 trillion, a decrease of $300 billion from its peak in July.

One might think that a company with such vast resources like Apple would continuously develop exciting iPhones. However, that is not the case.

Lack of Innovation in Apple's New Products?

The recently released iPhone 15 series is no exception. Apple has introduced four new models with similar pricing to last year's models, making only minor improvements such as the USB-C power interface.

The starting prices for iPhone 15 and 15 Plus are $799 and $899, respectively, equipped with the A16 Bionic chip from last year's Pro models and slightly better cameras.

The starting prices for iPhone 15 Pro and 15 Pro Max are $999 and $1199, respectively, featuring the new A17 Pro processor and a titanium casing.

Apple observers seem noticeably unimpressed.

Social media is filled with memes about the iPhone 15, highlighting the lack of progress. People seem to agree that these changes are insignificant and not worth the cost.

Apple Should Reconsider Its Strategy

Now, the risk Apple faces is that consumers hold onto their phones for longer or become increasingly skeptical of the company's technological prowess.

Managing customer sentiment and brand reputation remains crucial, even for Apple.

Investors hope that Apple might raise the prices of iPhones across the board. However, if significant improvements are no longer possible, the company should consider lowering prices.

At the same time, if the company cannot bring about significant innovation, Apple may try a two-year cycle.

There is no rule stating that Apple must release a new iPhone every year. After all, Mac and iPad no longer adhere to a fixed release schedule.

Apple is attempting innovation with the upcoming Vision Pro headphones, while AirPods and Apple Watch have already achieved success. However, compared to the iPhone, these product lines are niche in terms of scale and importance in the foreseeable future.

Reflecting on Apple's Own History

In the 1980s and early 1990s, under the leadership of marketing expert John Sculley, Apple sold progressively updated computers at higher prices.

Technological stagnation nearly led Apple to financial collapse until Steve Jobs returned and revitalized innovation. Apple is not at risk of financial bankruptcy, but its complacency towards the iPhone over the past 6 years could undermine the company's ecosystem and its massive economic moat.

It should start thinking differently - sooner rather than later.