Apple iPhone sales in India have increased by 50 percent for fiscal ending September 2016. According to Apple CEO Tim Cook, the Apple iPhone sales rapidly grew by over 50 percent for the fiscal ended September 2016 in India. The main reason for the jump in sales is attributed to the partnership with Reliance Jio.
Cook revealed that the company is looking forward to the rapid progress of 4G networks in India. This would raise the proliferation of iPhones in the country that can be as big as China for driving the net level of growth.
Responding to media during the earnings call, Cook disclosed that the iPhone sales in India were up over 50% in fiscal 2016 compared to the prior year, and we believe we are just beginning to scratch the surface of this large and growing market opportunity.
Cook said that Reliance Jio is rolling out 4G coverage in 18,000 cities and 200,000 villages across the country. Moreover, the company had gladly extended free one year of service to buyers of new iPhones. Hence, Apple is keeping to partner with them to ensure excellent iPhone performance on their network.
As part of the deal, the Mukesh Ambani-led Reliance Jio offers free voice calls, 20GB data and unlimited SMS for one year worth Rs. 18,000 to all new iPhone users. However, the phone should be purchased from Reliance Retail or Apple store and make use of Jio connection.
The overall market share of Apple in India is less than 2 percent as of September 2016. Moreover, the company is still behind Samsung in the premium flagship segment.
To enable iPhone to succeed, the need for a strong and reliable cellular network is essential. Hence, the partnership with Reliance Jio will enable the iPhone manufacturer to increase the market share in India.
Meanwhile, Cook added that smartphones are not doing well in India due to lack of 4G infrastructures. However, he anticipates a huge amount of investment in the 4G arena in the upcoming months. According to industry analysts, the current situation will most likely change before the second quarter of 2017.