Despite persistent complaints about Apple's lack of innovation and sluggish sales in recent years, marked by an unchanged design for eight years and technology focused on iterative updates, it remains undeniable that the company retains a remarkable ability to sell well even without groundbreaking advancements.

Consider the year 2024 as an illustration. Critics panned the iPhone 15 series for its lack of innovation and deemed the iPhone 16 series even worse. Yet, in 2024, Apple still emerged as the global leader, shipping 232.1 million units and capturing a market share of 18.7%.

Let's delve into Apple's recently released data for the first quarter of 2025.

In this quarter, Apple's revenue amounted to $95.359 billion, marking a 5% year-on-year increase and surpassing analysts' expectations. Its net profit also saw a 5% year-on-year growth, reaching $24.78 billion, again exceeding analysts' projections. From a global perspective, Apple continues to perform exceptionally well, with both revenue and profit showing increases of 5%, a significant achievement for such a large company.

Regarding the regional distribution of revenue, the picture is as follows: America tops the list with 42.28%, followed by Europe at 25.64%. Greater China, however, has slipped to 16.78%, accounting for just 20% of Apple's total revenue.

What is particularly embarrassing for Tim Cook is that, in terms of global revenue growth, Apple is currently experiencing a decline exclusively in China, while experiencing increases in all other regions worldwide.

As evident from the chart above, China's revenue declined by 2.26%, whereas all other key regions are experiencing growth, with none showing a decline. Notably, Japan and the Asia-Pacific region are witnessing substantial growth rates.

The reason for the decline in China is straightforward: the return of Huawei and Xiaomi's rapid growth have significantly eroded Apple's market share. Previously, Huawei's sales plummeted due to external pressures, allowing Apple to capture a substantial portion of the market. With Huawei's resurgence, Apple has naturally had to cede some of its share, resulting in a sales decline.

Furthermore, Xiaomi has been pushing into the high-end market in recent years and has successfully established a presence. According to agency statistics for 2024, depicted in the chart above, Apple's market share of high-end smartphones priced above $600 has fallen to 54%, marking a recent low. In contrast, Huawei's share has surged to 29%, its highest in four years. Xiaomi has also experienced three consecutive years of growth, which undoubtedly impacts Apple's sales.

However, Cook noted that the Chinese market has shown improvement compared to the previous quarter. In the previous quarter, Apple's revenue in China declined by 11%, whereas in this quarter, it declined by just 2.26%, indicating a positive shift.