Impact In Russian Sales Due To Apple’s Decision To Ban Its Products In Russia

It has been in the news that Apple decided to stop selling its products in Russia along with other major actions. This decision puts a lot of pressure on other renowned smartphone companies to follow in the footsteps of Apple. This decision was announced by Apple on Tuesday because Russia invaded Ukraine forcefully. 

Russian Sales Is Likely To Get Affected

All the online stores are not selling any Apple product in Russia and there are no physical stores in that country. In the views of Ben Wood, the Chief Insight Analyst of CNBC stated that all other cellphone companies are under pressure and Samsung did not yet come up with their response to this unfortunate event. He even added that Samsung must comment soon as most of the competitors of Apple sell significantly in the Russian market. 

Apple also removed outlets that are controlled by Russian states like Sputnik News and RT News from the Apple store in all the countries apart from Russia. As per Wood’s opinion, Apple is a technological giant and a big shark in the market and thus, can take a strong stand against Russia. Apple roughly sells 15% of phones in Russia which approximately accounted for 32 million phones in Russian sales last year. 

In the view of Wood, Russian sales is not a major market for Apple and hence its actions are not going to adversely affect its revenue. The company is too big and resilient and cannot be affected by minor changes. Moreover, Benedict Evans stated that other reasons for banning their products could be the volatile currency and financial sanctions. They also repeated the same action in Turkey when its currency lira collapsed. 

Mykhailo Fedorov, the Deputy Prime Minister of Ukraine requested companies like Apple, Sony, Microsoft to stop Russian sales so that its economy is disrupted. Though all the major companies in the world are refusing to do business with Russia, China is utilizing its well-established trade links to expand its business.