Apple hoped to offset slowing demand for iPhones by raising the prices of its most important product, but that strategy seems to have backfired after sales sagged during the holiday shopping season.
Results released Jan. 29 revealed the magnitude of the iPhone slump—a 15 percent drop in revenue from the previous year. That decline in Apple’s most profitable product caused Apple’s total earnings for the October-December quarter to dip slightly to $20 billion.
