First direct discussion on new product profits! Apple warns: profit margins will decline, and there will be no more products as profitable as the iPhone

Recently, Apple issued a warning to investors, stating that the new products the company plans to launch in the future, such as artificial intelligence and virtual reality headsets, may not generate high profits like the iPhone. This warning appeared in Apple's latest annual report. The report showed that for the quarter ending September 28, the company's revenue grew by 6% to $94.9 billion, with a record gross margin of 46.2%. Apple pointed out that the emergence of new technologies and products could replace existing businesses, leading to declines in revenue and profits: "This could have a significant adverse impact on the overall operating condition of the company." So far this year, Apple's stock price has risen over 20%. “This could have a significant adverse impact on the overall operating condition of the company” Apple frequently warns investors in its annual report that competition, foreign exchange, supply chain issues, and other factors may cause "volatility and downward pressure" on its profit margins. In addition to the previously mentioned competition, exchange rate fluctuations, and supply chain issues, Apple has specifically emphasized the potential risks posed by artificial intelligence and geopolitical tensions this time. The disclosure of these new risk factors comes as Apple launches the Vision Pro headset and Apple Intelligence features. The Vision Pro, as a new product for Apple's entry into the "spatial computing" field, undoubtedly incurs significant research and production costs. Meanwhile, Apple Intelligence marks Apple's further exploration in the field of artificial intelligence, but it also faces fierce competition from rivals like Google and Meta. Gene Munster of Deepwater Asset Management stated: "We are in a moment with many unknowns." Munster also mentioned that aside from using new features to drive device sales, how Apple's services business will profit from generative AI remains uncertain. "Artificial intelligence is transformative, and their first attempts in this area won't be their last." In addition, Apple's App Store and other high-margin service businesses are also facing regulatory pressure, and the recent antitrust victory against Google in the U.S. could potentially cut off billions of dollars in licensing revenue that Apple receives from Google. According to data collected by Visible Alpha, most Wall Street analysts predict that Apple's gross margin will rise in the coming years, reaching 49% by the end of the decade. However, some analysts indicate that Apple's new products may not necessarily match the profit margins of the iPhone and its related services, which include music and video subscriptions, mobile payments, and cloud storage