Apple delaying the launch of iPhone 12 due to a strategic mistake

Apple held its fall promotional event on Tuesday_ introducing a series of new products including an Apple Watch and an iPad. In July_ Apple said the new phone would be late by "a few weeks" more than usual. Alongside its usual system updates and better exterior design_ analysts speculated that the main addition would likely be 5G connection. "The company wrongly judged that the 5G mobile phone market could not flourish_ and it has not made enough technical research in the 5G field_ while other mainstream mobile phone manufacturers including Huawei and Samsung have launched 5G mobile phones since the second half of last year. Apple's fall announcement is its biggest event of the year among China's tech-savvy young customers_ but without a new iPhone_ the event drew much less attention from these customers than in previous years. On Wednesday_ "iPhone 12 is not released" was a top trending topic on Weibo. Many said that a fall announcement without a new iPhone release was not worth watching_ noting that they used to stay up all night awaiting Apple's new releases_ which usually were scheduled at midnight (Beijing time). Lily Jiang_ a Beijing resident_ told that she's been waiting to change her two-year-old iPhone 8 plus into the latest iPhone_ but if it doesn't come out soon there are other options. "I buy iPhones out of habit_ but if the new iPhone 12 doesn't come out soon I might consider buying Huawei's 5G phones. Many of my friends say it's decent." The disappointment was reflected in Apple's shares. The price rose more than 3 percent before the event but fell 1 percent after the event_ which lasted for only an hour. Compared with Chinese smartphone makers_ Apple is lagging in its 5G phone release_ and uncertainties in its 5G supply chain pose a huge question mark over its position in the Chinese market. The market share for iPhones in China fell to the fifth place in the second quarter_ trailing four domestic brands including Huawei_ vivo_ Oppo and Xiaomi. Its share dropped to 8 percent from 9 percent in the first quarter_ according to Counterpoint_ a market research firm. Disruptions in the interconnected global supply chain and US-China trade friction have complicated 5G deployment for both Apple and Huawei. Some observers suggested that if Apple launches 5G iPhones_ it will have to pay royalties to Huawei_ which holds more than 3_000 5G essential patents_ the highest among mobile phone producers. Its technology is also the most mature. Huawei has released several 5G handsets since last year_ and more than 93 million of its 5G smartphones have been sold this year_ according to statistics from the China Academy of Information and Communications Technology_ a government think tank. However_ the company has been besieged by the intensifying US crackdowns. Its major 5G chip providers_ including US-based Qualcomm and Taiwan Semiconductor Manufacturing Co have been prohibited from supplying Huawei. Although the delay in the launch of the iPhone 12 has no particular connection with the US ban on Huawei.